Contrasting Corporacion Inmobiliaria Vesta (NYSE:VTMX) and Brookfield (NYSE:BN)

Brookfield (NYSE:BN) and Corporacion Inmobiliaria Vesta (NYSE:VTMX) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, profitability, risk, earnings, valuation and institutional ownership.

Risk & Volatility

Brookfield has a beta of 1.73, indicating that its stock price is 73% more volatile than the S&P 500. Comparatively, Corporacion Inmobiliaria Vesta has a beta of 0.71, indicating that its stock price is 29% less volatile than the S&P 500.

Dividends

Brookfield pays an annual dividend of $0.24 per share and has a dividend yield of 0.5%. Corporacion Inmobiliaria Vesta pays an annual dividend of $0.17 per share and has a dividend yield of 0.6%. Brookfield pays out 66.7% of its earnings in the form of a dividend. Corporacion Inmobiliaria Vesta pays out 850.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Brookfield has raised its dividend for 2 consecutive years.

Institutional and Insider Ownership

61.6% of Brookfield shares are owned by institutional investors. Comparatively, 6.6% of Corporacion Inmobiliaria Vesta shares are owned by institutional investors. 11.0% of Brookfield shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Brookfield and Corporacion Inmobiliaria Vesta’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brookfield	1.11%	3.77%	1.21%
Corporacion Inmobiliaria Vesta	1.83%	0.19%	0.12%

Analyst Ratings

This is a summary of recent ratings for Brookfield and Corporacion Inmobiliaria Vesta, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brookfield	0	2	9	2	3.00
Corporacion Inmobiliaria Vesta	2	1	2	1	2.33

Brookfield currently has a consensus price target of $53.47, suggesting a potential upside of 19.56%. Corporacion Inmobiliaria Vesta has a consensus price target of $32.00, suggesting a potential upside of 4.71%. Given Brookfield’s stronger consensus rating and higher possible upside, equities analysts clearly believe Brookfield is more favorable than Corporacion Inmobiliaria Vesta.

Earnings & Valuation

This table compares Brookfield and Corporacion Inmobiliaria Vesta”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brookfield	$74.37 billion	1.49	$641.00 million	$0.36	124.22
Corporacion Inmobiliaria Vesta	$252.33 million	10.25	$223.35 million	$0.02	1,528.00

Brookfield has higher revenue and earnings than Corporacion Inmobiliaria Vesta. Brookfield is trading at a lower price-to-earnings ratio than Corporacion Inmobiliaria Vesta, indicating that it is currently the more affordable of the two stocks.

Summary

Brookfield beats Corporacion Inmobiliaria Vesta on 14 of the 18 factors compared between the two stocks.

About Brookfield

Brookfield Corporation is an alternative asset manager and REIT/Real Estate Investment Manager firm focuses on real estate, renewable power, infrastructure and venture capital and private equity assets. It manages a range of public and private investment products and services for institutional and retail clients. It typically makes investments in sizeable, premier assets across geographies and asset classes. It invests both its own capital as well as capital from other investors. Within private equity and venture capital, it focuses on acquisition, early ventures, control buyouts and financially distressed, buyouts and corporate carve-outs, recapitalizations, convertible, senior and mezzanine financings, operational and capital structure restructuring, strategic re-direction, turnaround, and under-performing midmarket companies. It invests in both public debt and equity markets. It invests in private equity sectors with focus on Business Services include infrastructure, healthcare, road fuel distribution and marketing, construction and real estate; Industrials include manufacturers of automotive batteries, graphite electrodes, returnable plastic packaging, and sanitation management and development; and Residential/ infrastructure services. It targets companies which likely possess underlying real assets, primarily in sectors such as industrial products, building materials, metals, mining, homebuilding, oil and gas, paper and packaging, manufacturing and forest product sectors. It invests globally with focus on North America including Brazil, the United States, Canada; Europe; and Australia; and Asia-Pacific. The firm considers equity investments in the range of $2 million to $500 million. It has a four-year investment period and a 10-year term with two one-year extensions. The firm prefers to take minority stake and majority stake. Brookfield Corporation was founded in 1997 and based in Toronto, Canada with additional offices across Northern America; South America; Europe; Middle East and Asia.

About Corporacion Inmobiliaria Vesta

Corporación Inmobiliaria Vesta, S.A.B. de C.V., together with its subsidiaries, acquires, develops, manages, operates, and leases industrial buildings and distribution facilities in Mexico. The company was incorporated in 1998 and is headquartered in Mexico City, Mexico.