Comparing COPT Defense Properties (NYSE:CDP) & HG (OTCMKTS:STLY)

HG (OTCMKTS:STLY) and COPT Defense Properties (NYSE:CDP) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, institutional ownership, dividends, earnings, profitability and risk.

Institutional & Insider Ownership

1.7% of HG shares are held by institutional investors. 75.0% of HG shares are held by company insiders. Comparatively, 1.4% of COPT Defense Properties shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares HG and COPT Defense Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HG	5.02%	1.84%	1.33%
COPT Defense Properties	19.23%	9.38%	3.39%

Valuation & Earnings

This table compares HG and COPT Defense Properties”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HG	$11.51 million	2.06	-$240,000.00	$0.26	17.50
COPT Defense Properties	$753.27 million	4.20	$138.93 million	$1.28	21.89

COPT Defense Properties has higher revenue and earnings than HG. HG is trading at a lower price-to-earnings ratio than COPT Defense Properties, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

HG has a beta of 0.42, meaning that its share price is 58% less volatile than the S&P 500. Comparatively, COPT Defense Properties has a beta of 0.94, meaning that its share price is 6% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for HG and COPT Defense Properties, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HG	0	0	0	0	0.00
COPT Defense Properties	0	2	6	0	2.75

COPT Defense Properties has a consensus price target of $33.75, suggesting a potential upside of 20.46%. Given COPT Defense Properties’ stronger consensus rating and higher probable upside, analysts clearly believe COPT Defense Properties is more favorable than HG.

Summary

COPT Defense Properties beats HG on 12 of the 14 factors compared between the two stocks.

About HG

HG Holdings, Inc. engages in the title insurance and real estate businesses in the United States. It operates through four segments: Title Insurance Services, Reinsurance, Management Services, and Real Estate. The company provides title insurance, closing and/or escrow, and similar or related services in connection with residential and commercial real estate transactions. It also owns and operates a portfolio of single-tenant properties leased for the occupancy by U.S. government tenant agencies and sub-agencies, such as the Federal Bureau of Investigation, the Department of Veterans affairs, the Drug Enforcement Administration, Immigration & Customs Enforcement, the Social Security Administration, and the Department of Transportation. In addition, the company provides excess-of-loss reinsurance coverage related to catastrophic weather risk in Texas; and management advisory services, such as formation, operational, and restructuring services. The company was formerly known as Stanley Furniture Company, Inc. and changed its name to HG Holdings, Inc. in March 2018. HG Holdings, Inc. was incorporated in 1984 and is headquartered in Charlotte, North Carolina.

About COPT Defense Properties

COPT Defense Properties is a real estate investment trust. It acquires, develops, manages, sells, and leases out office properties and data centers. The firm operates through the following segments: Defense/Information Technology Locations, Regional Office, Wholesale Data Center, and Other. The company was founded on January 22,1988 and is headquartered in Columbia, MD.