Realty Income (O) versus MTGE Investment (MTGE) Critical Contrast

Share on StockTwits

Realty Income (NYSE:O) and MTGE Investment (NASDAQ:MTGE) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, earnings, analyst recommendations, dividends, institutional ownership, valuation and risk.

Dividends

Realty Income pays an annual dividend of $2.71 per share and has a dividend yield of 3.9%. MTGE Investment pays an annual dividend of $1.52 per share and has a dividend yield of 7.7%. Realty Income pays out 85.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Realty Income has increased its dividend for 23 consecutive years and MTGE Investment has increased its dividend for 2 consecutive years.

Analyst Recommendations

This is a breakdown of current ratings for Realty Income and MTGE Investment, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Realty Income 0 6 4 0 2.40
MTGE Investment 0 0 0 0 N/A

Realty Income presently has a consensus target price of $60.80, indicating a potential downside of 12.23%. Given Realty Income’s higher probable upside, equities research analysts plainly believe Realty Income is more favorable than MTGE Investment.

Profitability

This table compares Realty Income and MTGE Investment’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Realty Income 28.70% 7.65% 2.59%
MTGE Investment N/A N/A N/A

Institutional and Insider Ownership

73.5% of Realty Income shares are owned by institutional investors. Comparatively, 77.2% of MTGE Investment shares are owned by institutional investors. 0.2% of Realty Income shares are owned by company insiders. Comparatively, 1.1% of MTGE Investment shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Realty Income and MTGE Investment’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Realty Income $1.33 billion 16.42 $363.61 million $3.19 21.71
MTGE Investment N/A N/A N/A N/A N/A

Realty Income has higher revenue and earnings than MTGE Investment.

Summary

Realty Income beats MTGE Investment on 7 of the 11 factors compared between the two stocks.

Realty Income Company Profile

Realty Income, The Monthly Dividend Company, is an S&P 500 company dedicated to providing stockholders with dependable monthly income. The company is structured as a REIT, and its monthly dividends are supported by the cash flow from over 5,700 real estate properties owned under long-term lease agreements with regional and national commercial tenants. To date, the company has declared 584 consecutive common stock monthly dividends throughout its 50-year operating history and increased the dividend 100 times since Realty Income's public listing in 1994 (NYSE: O).

MTGE Investment Company Profile

MTGE Investment Corp., formerly American Capital Mortgage Investment Corp., is a real estate investment trust. The Company invests in, finances and manages a leveraged portfolio of real estate-related investments, which include agency residential mortgage-backed securities (RMBS), non-agency securities, other mortgage-related investments and other real estate investments. Agency RMBS includes residential mortgage pass-through certificates and collateralized mortgage obligations (CMOs) structured from residential mortgage pass-through certificates for which the principal and interest payments are guaranteed by a government-sponsored enterprise (GSE), or by a United States Government agency, such as Government National Mortgage Association (Ginnie Mae). Non-agency securities include securities backed by residential mortgages that are not guaranteed by a GSE or the United States Government agency, and credit risk transfer securities (CRT). The Company’s manager is MTGE Management, LLC.

Receive News & Ratings for Realty Income Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Realty Income and related companies with MarketBeat.com's FREE daily email newsletter.



Latest News

Analysts Expect Bank of Hawaii Co.  to Announce $1.38 Earnings Per Share
Analysts Expect Bank of Hawaii Co. to Announce $1.38 Earnings Per Share
Soarcoin 1-Day Trading Volume Tops $220.00
Soarcoin 1-Day Trading Volume Tops $220.00
Mason Graphite  Shares Up 5.6%
Mason Graphite Shares Up 5.6%
Continental Gold  Shares Up 0.7%
Continental Gold Shares Up 0.7%
Arcus Biosciences Inc  Short Interest Update
Arcus Biosciences Inc Short Interest Update
Hancock Whitney Corp  Given Average Rating of “Buy” by Analysts
Hancock Whitney Corp Given Average Rating of “Buy” by Analysts


 
© 2006-2019 Zolmax.