Head-To-Head Comparison: Hudson Pacific Properties (NYSE:HPP) vs. NNN REIT (NYSE:NNN)

Hudson Pacific Properties (NYSE:HPP) and NNN REIT (NYSE:NNN) are both finance companies, but which is the superior business? We will compare the two companies based on the strength of their risk, institutional ownership, earnings, profitability, dividends, valuation and analyst recommendations.

Analyst Ratings

This is a summary of current recommendations and price targets for Hudson Pacific Properties and NNN REIT, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hudson Pacific Properties	1	6	4	0	2.27
NNN REIT	2	10	1	0	1.92

Hudson Pacific Properties presently has a consensus target price of $3.20, suggesting a potential upside of 12.08%. NNN REIT has a consensus target price of $44.33, suggesting a potential upside of 4.86%. Given Hudson Pacific Properties’ stronger consensus rating and higher probable upside, equities research analysts clearly believe Hudson Pacific Properties is more favorable than NNN REIT.

Valuation and Earnings

This table compares Hudson Pacific Properties and NNN REIT”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hudson Pacific Properties	$842.08 million	1.29	-$352.29 million	($2.81)	-1.02
NNN REIT	$869.27 million	9.18	$396.83 million	$2.10	20.13

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

Insider and Institutional Ownership

97.6% of Hudson Pacific Properties shares are owned by institutional investors. Comparatively, 90.0% of NNN REIT shares are owned by institutional investors. 4.9% of Hudson Pacific Properties shares are owned by insiders. Comparatively, 0.8% of NNN REIT shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Hudson Pacific Properties has a beta of 1.63, suggesting that its share price is 63% more volatile than the S&P 500. Comparatively, NNN REIT has a beta of 0.95, suggesting that its share price is 5% less volatile than the S&P 500.

Profitability

This table compares Hudson Pacific Properties and NNN REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hudson Pacific Properties	-53.76%	-15.10%	-5.27%
NNN REIT	43.90%	9.00%	4.37%

Summary

NNN REIT beats Hudson Pacific Properties on 8 of the 14 factors compared between the two stocks.

About Hudson Pacific Properties

Hudson Pacific Properties (NYSE: HPP) is a real estate investment trust serving dynamic tech and media tenants in global epicenters for these synergistic, converging and secular growth industries. Hudson Pacific's unique and high-barrier tech and media focus leverages a full-service, end-to-end value creation platform forged through deep strategic relationships and niche expertise across identifying, acquiring, transforming and developing properties into world-class amenitized, collaborative and sustainable office and studio space.

About NNN REIT

NNN REIT invests primarily in high-quality retail properties subject generally to long-term, net leases. As of December 31, 2023, the company owned 3,532 properties in 49 states with a gross leasable area of approximately 36.0 million square feet and a weighted average remaining lease term of 10.1 years. NNN is one of only three publicly traded REITs to have increased annual dividends for 34 or more consecutive years.