Head-To-Head Survey: InnSuites Hospitality Trust (NYSE:IHT) and Host Hotels & Resorts (NASDAQ:HST)

Host Hotels & Resorts (NASDAQ:HST) and InnSuites Hospitality Trust (NYSE:IHT) are both real estate companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, profitability, analyst recommendations, dividends, risk, valuation and institutional ownership.

Earnings & Valuation

This table compares Host Hotels & Resorts and InnSuites Hospitality Trust”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Host Hotels & Resorts	$6.22 billion	2.56	$765.00 million	$1.50	15.53
InnSuites Hospitality Trust	$7.56 million	2.12	$200,000.00	($0.14)	-12.14

Host Hotels & Resorts has higher revenue and earnings than InnSuites Hospitality Trust. InnSuites Hospitality Trust is trading at a lower price-to-earnings ratio than Host Hotels & Resorts, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Host Hotels & Resorts has a beta of 1.1, indicating that its stock price is 10% more volatile than the S&P 500. Comparatively, InnSuites Hospitality Trust has a beta of 0.29, indicating that its stock price is 71% less volatile than the S&P 500.

Dividends

Host Hotels & Resorts pays an annual dividend of $0.80 per share and has a dividend yield of 3.4%. InnSuites Hospitality Trust pays an annual dividend of $0.02 per share and has a dividend yield of 1.2%. Host Hotels & Resorts pays out 53.3% of its earnings in the form of a dividend. InnSuites Hospitality Trust pays out -14.3% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Host Hotels & Resorts has raised its dividend for 2 consecutive years. Host Hotels & Resorts is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares Host Hotels & Resorts and InnSuites Hospitality Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Host Hotels & Resorts	16.51%	15.53%	7.83%
InnSuites Hospitality Trust	-11.56%	-40.28%	-5.83%

Analyst Ratings

This is a summary of recent ratings and target prices for Host Hotels & Resorts and InnSuites Hospitality Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Host Hotels & Resorts	0	6	9	1	2.69
InnSuites Hospitality Trust	0	0	0	0	0.00

Host Hotels & Resorts presently has a consensus price target of $24.27, indicating a potential upside of 4.19%. Given Host Hotels & Resorts’ stronger consensus rating and higher probable upside, equities research analysts plainly believe Host Hotels & Resorts is more favorable than InnSuites Hospitality Trust.

Institutional and Insider Ownership

98.5% of Host Hotels & Resorts shares are held by institutional investors. Comparatively, 2.5% of InnSuites Hospitality Trust shares are held by institutional investors. 1.5% of Host Hotels & Resorts shares are held by company insiders. Comparatively, 68.1% of InnSuites Hospitality Trust shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Host Hotels & Resorts beats InnSuites Hospitality Trust on 16 of the 18 factors compared between the two stocks.

About Host Hotels & Resorts

Host Hotels & Resorts, Inc. is a real estate investment trust, which engages in the management of luxury and upper-upscale hotels. It operates through the following geographical segments: United States, Brazil, and Canada. The company was founded in 1927 and is headquartered in Bethesda, MD.

About InnSuites Hospitality Trust

InnSuites Hospitality Trust (NYSE American symbol: IHT) first listed on the NYSE in 1971 is headquartered in Phoenix, Arizona is an unincorporated Ohio Business. Trust that owns and manages hotels under the InnSuites Hotels name. IHT qualifies as a Real Estate Investment Trust (REIT) for tax treatment currently taxed as a corporation with the IRS. IHT has paid dividends each year since 1971 currently at $0.2/year. There are approximately 9 million shares of stock outstanding. In addition, there are approximately 3 million RRF Partnership units convertible 1 to 1 into IHT stock. Total shares and units are approximately 12 million.