Star (NASDAQ:STHO – Get Free Report) and Stratus Properties (NASDAQ:STRS – Get Free Report) are both small-cap finance companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, dividends, valuation, earnings and risk.
Institutional & Insider Ownership
89.3% of Star shares are owned by institutional investors. Comparatively, 61.6% of Stratus Properties shares are owned by institutional investors. 4.1% of Star shares are owned by company insiders. Comparatively, 10.0% of Stratus Properties shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Valuation and Earnings
This table compares Star and Stratus Properties”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Star | $110.14 million | 0.98 | -$64.25 million | ($5.17) | -1.74 |
| Stratus Properties | $29.91 million | 7.77 | $11.98 million | $2.64 | 11.04 |
Stratus Properties has lower revenue, but higher earnings than Star. Star is trading at a lower price-to-earnings ratio than Stratus Properties, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Star has a beta of 1.27, indicating that its share price is 27% more volatile than the S&P 500. Comparatively, Stratus Properties has a beta of 1.02, indicating that its share price is 2% more volatile than the S&P 500.
Profitability
This table compares Star and Stratus Properties’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Star | -57.45% | 1.18% | 0.58% |
| Stratus Properties | 74.96% | 6.28% | 3.83% |
Analyst Ratings
This is a summary of current ratings and target prices for Star and Stratus Properties, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Star | 1 | 0 | 0 | 0 | 1.00 |
| Stratus Properties | 0 | 1 | 0 | 0 | 2.00 |
Summary
Stratus Properties beats Star on 9 of the 12 factors compared between the two stocks.
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.
About Stratus Properties
Stratus Properties Inc., a real estate company, engages in the entitlement, development, management, leasing, and sale of multi and single family residential and commercial real estate properties in the Austin, Texas area and other select markets in Texas. The company operates in two segments, Real Estate Operations and Leasing Operations. Its leasing operations cover lease of space at retail and mixed-use and multi-family properties. The company was incorporated in 1992 and is headquartered in Austin, Texas.
Receive News & Ratings for Star Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Star and related companies with MarketBeat.com's FREE daily email newsletter.
