Analyzing SITE Centers (NYSE:SITC) & United Development Funding IV (OTCMKTS:UDFI)

SITE Centers (NYSE:SITC) and United Development Funding IV (OTCMKTS:UDFI) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, earnings, risk and valuation.

Valuation and Earnings

This table compares SITE Centers and United Development Funding IV’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SITE Centers	$539.46 million	5.30	$265.70 million	$1.21	11.29
United Development Funding IV	N/A	N/A	N/A	N/A	N/A

SITE Centers has higher revenue and earnings than United Development Funding IV.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for SITE Centers and United Development Funding IV, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SITE Centers	0	2	2	0	2.50
United Development Funding IV	0	0	0	0	N/A

SITE Centers presently has a consensus price target of $14.25, suggesting a potential upside of 4.36%. Given SITE Centers’ higher possible upside, equities research analysts plainly believe SITE Centers is more favorable than United Development Funding IV.

Institutional & Insider Ownership

88.7% of SITE Centers shares are held by institutional investors. 10.1% of SITE Centers shares are held by insiders. Comparatively, 0.5% of United Development Funding IV shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares SITE Centers and United Development Funding IV’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SITE Centers	49.25%	14.00%	6.56%
United Development Funding IV	N/A	N/A	N/A

Summary

SITE Centers beats United Development Funding IV on 8 of the 8 factors compared between the two stocks.

About SITE Centers

SITE Centers is an owner and manager of open-air shopping centers located in suburban, high household income communities. The Company is a self-administered and self-managed REIT operating as a fully integrated real estate company, and is publicly traded on the New York Stock Exchange under the ticker symbol SITC.

About United Development Funding IV

United Development Funding IV invests in secured loans for the acquisition and development of land into single-family home lots, and the construction of model and new single-family homes. It also makes equity investments in residential real estate. The company has elected to be taxed as a real estate investment trust. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to shareholders. United Development Funding IV was founded in 2008 and is headquartered in Grapevine, Texas.