Altisource Portfolio Solutions (NASDAQ:ASPS – Get Free Report) and Star (NASDAQ:STHO – Get Free Report) are both small-cap real estate companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, risk, earnings, institutional ownership, analyst recommendations, profitability and dividends.
Profitability
This table compares Altisource Portfolio Solutions and Star’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Altisource Portfolio Solutions | -5.93% | -1.69% | 1.31% |
| Star | 14.77% | -0.90% | -0.45% |
Volatility and Risk
Altisource Portfolio Solutions has a beta of 0.19, suggesting that its stock price is 81% less volatile than the S&P 500. Comparatively, Star has a beta of 1.26, suggesting that its stock price is 26% more volatile than the S&P 500.
Analyst Ratings
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Altisource Portfolio Solutions | 1 | 1 | 0 | 1 | 2.33 |
| Star | 0 | 1 | 0 | 0 | 2.00 |
Altisource Portfolio Solutions currently has a consensus target price of $8.00, suggesting a potential upside of 35.14%. Given Altisource Portfolio Solutions’ stronger consensus rating and higher probable upside, equities analysts plainly believe Altisource Portfolio Solutions is more favorable than Star.
Institutional and Insider Ownership
41.4% of Altisource Portfolio Solutions shares are owned by institutional investors. Comparatively, 89.3% of Star shares are owned by institutional investors. 19.1% of Altisource Portfolio Solutions shares are owned by insiders. Comparatively, 4.1% of Star shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Valuation and Earnings
This table compares Altisource Portfolio Solutions and Star”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Altisource Portfolio Solutions | $170.98 million | 0.40 | $1.62 million | ($0.99) | -5.98 |
| Star | $110.14 million | 0.90 | -$64.25 million | $1.21 | 6.77 |
Altisource Portfolio Solutions has higher revenue and earnings than Star. Altisource Portfolio Solutions is trading at a lower price-to-earnings ratio than Star, indicating that it is currently the more affordable of the two stocks.
About Altisource Portfolio Solutions
Altisource Portfolio Solutions S.A. operates as an integrated service provider and marketplace for the real estate and mortgage industries in the United States and internationally. It operates through Servicer and Real Estate, and Origination segments. The Servicer and Real Estate segment offers property preservation, inspection, title insurance and settlement, real estate valuation, foreclosure trustee, and residential and commercial construction inspection and risk mitigation services. This segment provides Hubzu, an online real estate auction platform, as well as real estate auction, real estate brokerage, and asset management services; Equator, a software-as-a-service technology to manage real estate owned, short sales, foreclosure, bankruptcy, and eviction processes; a vendor invoicing and payment system; RentRange, a single and multi-family rental data, analytics, and rent-based valuation solution; REALSynergy, a commercial loan servicing platform; and NestRange, an automated residential valuation model and analytics solution. The Origination segment offers loan fulfillment, certification and certification insurance services, management services. In addition, it provides Lendors One Loan Automation, a marketplace to order services and a tool to automate components of the loan manufacturing process; TrelixAI, a technology to manage the workflow and automate components of the loan fulfillment, pre and post close quality, and service transfer processes; and ADMS, a document management and data analytics delivery platform. The company serves financial institutions, government-sponsored enterprises, banks, asset managers, servicers, investors, property management firms, real estate brokerages, insurance companies, mortgage bankers, originators, and correspondent and private money lenders. Altisource Portfolio Solutions S.A. was incorporated in 1999 and is headquartered in Luxembourg City, Luxembourg.
About Star
Star Holdings engages in the non-ground lease related commercial real estate businesses in the United States. Its portfolio primarily comprises interest in the Asbury Park Waterfront and Magnolia Green residential development projects. Star Holdings is based in New York, New York.
Receive News & Ratings for Altisource Portfolio Solutions Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Altisource Portfolio Solutions and related companies with MarketBeat.com's FREE daily email newsletter.
