Reviewing Gladstone Commercial (NASDAQ:GOODO) and First Industrial Realty Trust (NYSE:FR)

First Industrial Realty Trust (NYSE:FR) and Gladstone Commercial (NASDAQ:GOODO) are both real estate companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, risk, analyst recommendations, earnings, valuation, profitability and institutional ownership.

Earnings & Valuation

This table compares First Industrial Realty Trust and Gladstone Commercial”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Industrial Realty Trust	$727.08 million	11.46	$247.44 million	$2.74	22.93
Gladstone Commercial	$170.20 million	N/A	N/A	N/A	N/A

First Industrial Realty Trust has higher revenue and earnings than Gladstone Commercial.

Dividends

First Industrial Realty Trust pays an annual dividend of $2.00 per share and has a dividend yield of 3.2%. Gladstone Commercial pays an annual dividend of $1.50 per share and has a dividend yield of 7.2%. First Industrial Realty Trust pays out 73.0% of its earnings in the form of a dividend. First Industrial Realty Trust has raised its dividend for 12 consecutive years.

Analyst Ratings

This is a breakdown of current ratings and price targets for First Industrial Realty Trust and Gladstone Commercial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Industrial Realty Trust	0	7	7	1	2.60
Gladstone Commercial	0	0	0	0	0.00

First Industrial Realty Trust currently has a consensus target price of $67.07, indicating a potential upside of 6.75%. Given First Industrial Realty Trust’s stronger consensus rating and higher probable upside, research analysts plainly believe First Industrial Realty Trust is more favorable than Gladstone Commercial.

Profitability

This table compares First Industrial Realty Trust and Gladstone Commercial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Industrial Realty Trust	47.97%	12.99%	6.41%
Gladstone Commercial	N/A	N/A	N/A

Institutional and Insider Ownership

99.8% of First Industrial Realty Trust shares are held by institutional investors. 1.1% of First Industrial Realty Trust shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

First Industrial Realty Trust beats Gladstone Commercial on 11 of the 13 factors compared between the two stocks.

About First Industrial Realty Trust

First Industrial Realty Trust, Inc. (NYSE: FR) is a leading U.S.-only owner, operator, developer and acquirer of logistics properties. Through our fully integrated operating and investing platform, we provide high quality facilities and industry-leading customer service to multinational corporations and regional firms that are essential for their supply chains. Our portfolio and new investments are concentrated in 15 target MSAs with an emphasis on supply-constrained, coastally oriented markets. In total, we own and have under development approximately 68.5 million square feet of industrial space as of December 31, 2023.

About Gladstone Commercial

gladstone commercial corporation is a publicly traded reit (nasdaq: good) that invests in single tenant and anchored multi-tenant net leased industrial, office and, to a lesser extent, medical properties nationwide. we also invest alongside developers in build-to-suit transactions where a tenant requires a new building. we buy properties with strong tenants of all sizes and we believe our track record of underwriting the credit of middle market businesses is unmatched. we target primary and secondary growth markets that possess favorable economic growth trends, diversified industries, growing populations, and strong employment. our senior management team, under the guidance of david gladstone, has over 200 years of combined experience investing in real estate and middle market businesses. we have a track record of success, as exhibited by a history of strong distribution yields, consistent occupancy greater than 96.0%, and 10+ years of paying continuous monthly cash distributions. we a