Financial Analysis: Acadia Realty Trust (NYSE:AKR) versus FrontView REIT (NYSE:FVR)

FrontView REIT (NYSE:FVR) and Acadia Realty Trust (NYSE:AKR) are both real estate companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, analyst recommendations, risk, earnings and dividends.

Dividends

FrontView REIT pays an annual dividend of $0.86 per share and has a dividend yield of 4.9%. Acadia Realty Trust pays an annual dividend of $0.80 per share and has a dividend yield of 4.2%. FrontView REIT pays out 2,866.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Acadia Realty Trust pays out 235.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Acadia Realty Trust has increased its dividend for 2 consecutive years.

Risk & Volatility

FrontView REIT has a beta of 1.11, suggesting that its share price is 11% more volatile than the S&P 500. Comparatively, Acadia Realty Trust has a beta of 1.11, suggesting that its share price is 11% more volatile than the S&P 500.

Valuation and Earnings

This table compares FrontView REIT and Acadia Realty Trust”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FrontView REIT	$69.27 million	6.26	$733,680.00	$0.03	590.67
Acadia Realty Trust	$404.19 million	6.40	$46.69 million	$0.34	55.43

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

Analyst Recommendations

This is a summary of recent ratings and recommmendations for FrontView REIT and Acadia Realty Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FrontView REIT	0	4	7	2	2.85
Acadia Realty Trust	0	3	4	1	2.75

FrontView REIT currently has a consensus price target of $21.72, indicating a potential upside of 22.59%. Acadia Realty Trust has a consensus price target of $23.80, indicating a potential upside of 26.28%. Given Acadia Realty Trust’s higher probable upside, analysts clearly believe Acadia Realty Trust is more favorable than FrontView REIT.

Profitability

This table compares FrontView REIT and Acadia Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FrontView REIT	N/A	N/A	N/A
Acadia Realty Trust	N/A	N/A	N/A

Insider and Institutional Ownership

97.7% of Acadia Realty Trust shares are held by institutional investors. 9.6% of FrontView REIT shares are held by insiders. Comparatively, 3.1% of Acadia Realty Trust shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Acadia Realty Trust beats FrontView REIT on 8 of the 14 factors compared between the two stocks.

About FrontView REIT

FrontView REIT specializes in real estate investing.

About Acadia Realty Trust

Acadia Realty Trust is an equity real estate investment trust focused on delivering long-term, profitable growth via its dual Core Portfolio and Fund operating platforms and its disciplined, location-driven investment strategy. Acadia Realty Trust is accomplishing this goal by building a best-in-class core real estate portfolio with meaningful concentrations of assets in the nation's most dynamic corridors; making profitable opportunistic and value-add investments through its series of discretionary, institutional funds; and maintaining a strong balance sheet.