Four Corners Property Trust (FCPT) versus The Competition Critical Analysis

Four Corners Property Trust (NYSE:FCPT) is one of 35 publicly-traded companies in the “Specialized REITs” industry, but how does it compare to its rivals? We will compare Four Corners Property Trust to related companies based on the strength of its valuation, earnings, dividends, profitability, institutional ownership, risk and analyst recommendations.

Profitability

This table compares Four Corners Property Trust and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Four Corners Property Trust	37.53%	7.24%	3.90%
Four Corners Property Trust Competitors	-5.48%	-3.46%	2.00%

Earnings & Valuation

This table compares Four Corners Property Trust and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Four Corners Property Trust	$315.93 million	$112.36 million	21.75
Four Corners Property Trust Competitors	$2.59 billion	$596.00 million	33.04

Four Corners Property Trust’s rivals have higher revenue and earnings than Four Corners Property Trust. Four Corners Property Trust is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Volatility & Risk

Four Corners Property Trust has a beta of 0.77, meaning that its stock price is 23% less volatile than the S&P 500. Comparatively, Four Corners Property Trust’s rivals have a beta of 0.92, meaning that their average stock price is 8% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings for Four Corners Property Trust and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Four Corners Property Trust	0	6	4	1	2.55
Four Corners Property Trust Competitors	517	2780	3664	191	2.49

Four Corners Property Trust currently has a consensus target price of $26.45, indicating a potential upside of 11.58%. As a group, “Specialized REITs” companies have a potential upside of 11.16%. Given Four Corners Property Trust’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Four Corners Property Trust is more favorable than its rivals.

Institutional & Insider Ownership

98.7% of Four Corners Property Trust shares are owned by institutional investors. Comparatively, 78.0% of shares of all “Specialized REITs” companies are owned by institutional investors. 1.2% of Four Corners Property Trust shares are owned by insiders. Comparatively, 7.5% of shares of all “Specialized REITs” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Dividends

Four Corners Property Trust pays an annual dividend of $1.51 per share and has a dividend yield of 6.4%. Four Corners Property Trust pays out 138.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Specialized REITs” companies pay a dividend yield of 3.3% and pay out 120.7% of their earnings in the form of a dividend. Four Corners Property Trust has raised its dividend for 5 consecutive years.

Summary

Four Corners Property Trust beats its rivals on 8 of the 15 factors compared.

Four Corners Property Trust Company Profile

Four Corners Property Trust, Inc. engages in the owning, acquisition, and leasing of properties for use in the restaurant and food-service related industries. It operates through the Real Estate Operations and Restaurant Operations segments. The Real Estate Operations segment consists of rental revenues generated by leasing restaurant properties. The Restaurant Operations segment includes the Kerrow Restaurant operating business. The company was founded on July 2, 2015 and is headquartered in Mill Valley, CA.