Head-To-Head Contrast: ACRES Commercial Realty (NYSE:ACR) & Sunrise Realty Trust (NASDAQ:SUNS)

ACRES Commercial Realty (NYSE:ACR) and Sunrise Realty Trust (NASDAQ:SUNS) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Profitability

This table compares ACRES Commercial Realty and Sunrise Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ACRES Commercial Realty	22.62%	2.42%	0.58%
Sunrise Realty Trust	53.33%	8.24%	5.03%

Valuation & Earnings

This table compares ACRES Commercial Realty and Sunrise Realty Trust”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ACRES Commercial Realty	$79.95 million	1.27	$21.32 million	($1.12)	-12.76
Sunrise Realty Trust	$21.57 million	4.73	$12.14 million	$0.97	7.79

ACRES Commercial Realty has higher revenue and earnings than Sunrise Realty Trust. ACRES Commercial Realty is trading at a lower price-to-earnings ratio than Sunrise Realty Trust, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

40.0% of ACRES Commercial Realty shares are held by institutional investors. 4.6% of ACRES Commercial Realty shares are held by company insiders. Comparatively, 28.5% of Sunrise Realty Trust shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk & Volatility

ACRES Commercial Realty has a beta of 1.08, meaning that its share price is 8% more volatile than the S&P 500. Comparatively, Sunrise Realty Trust has a beta of 1.02, meaning that its share price is 2% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for ACRES Commercial Realty and Sunrise Realty Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ACRES Commercial Realty	2	0	2	0	2.00
Sunrise Realty Trust	1	2	0	0	1.67

ACRES Commercial Realty currently has a consensus price target of $24.50, suggesting a potential upside of 71.45%. Sunrise Realty Trust has a consensus price target of $8.00, suggesting a potential upside of 5.90%. Given ACRES Commercial Realty’s stronger consensus rating and higher probable upside, analysts clearly believe ACRES Commercial Realty is more favorable than Sunrise Realty Trust.

About ACRES Commercial Realty

ACRES Commercial Realty Corp., a real estate investment trust (REIT), focuses on the origination, holding, and management of commercial real estate mortgage loans and equity investments in commercial real estate property in the United States. It invests in commercial real estate-related assets, including floating-rate first mortgage loans, first priority interests in first mortgage loans, subordinated interests in first mortgage loans, mezzanine financing, preferred equity investments, and commercial mortgage-backed securities. The company qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was formerly known as Exantas Capital Corp. and changed its name to ACRES Commercial Realty Corp. in February 2021. ACRES Commercial Realty Corp. was incorporated in 2005 and is based in Uniondale, New York.

About Sunrise Realty Trust

Sunrise Realty Trust, Inc. engages in commercial real estate (CRE) lending business. It focuses on originating CRE debt investments and providing capital to borrowers and sponsors with transitional business plans collateralized by CRE assets. The company intends to create a diversified investment portfolio, targeting investments in senior mortgage loans, mezzanine loans, whole loans, B-notes, CMBS, and debt-like preferred equity securities across CRE asset classes. Sunrise Realty Trust, Inc. was incorporated in 2023 and is based in West Palm Beach, Florida.