Head to Head Contrast: Boardwalk Real Estate Investment Trust (OTCMKTS:BOWFF) versus Sun Communities (NYSE:SUI)

Boardwalk Real Estate Investment Trust (OTCMKTS:BOWFF) and Sun Communities (NYSE:SUI) are both finance companies, but which is the better business? We will compare the two businesses based on the strength of their profitability, dividends, institutional ownership, earnings, valuation, risk and analyst recommendations.

Valuation & Earnings

This table compares Boardwalk Real Estate Investment Trust and Sun Communities”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Boardwalk Real Estate Investment Trust	$440.33 million	5.47	$429.28 million	$3.09	16.00
Sun Communities	$3.22 billion	4.89	$101.80 million	$7.98	15.95

Boardwalk Real Estate Investment Trust has higher earnings, but lower revenue than Sun Communities. Sun Communities is trading at a lower price-to-earnings ratio than Boardwalk Real Estate Investment Trust, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent recommendations for Boardwalk Real Estate Investment Trust and Sun Communities, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Boardwalk Real Estate Investment Trust	0	0	0	0	0.00
Sun Communities	1	7	6	0	2.36

Sun Communities has a consensus target price of $137.46, indicating a potential upside of 8.01%. Given Sun Communities’ stronger consensus rating and higher probable upside, analysts clearly believe Sun Communities is more favorable than Boardwalk Real Estate Investment Trust.

Volatility & Risk

Boardwalk Real Estate Investment Trust has a beta of 0.93, indicating that its share price is 7% less volatile than the S&P 500. Comparatively, Sun Communities has a beta of 0.9, indicating that its share price is 10% less volatile than the S&P 500.

Institutional & Insider Ownership

99.6% of Sun Communities shares are owned by institutional investors. 19.0% of Boardwalk Real Estate Investment Trust shares are owned by insiders. Comparatively, 1.9% of Sun Communities shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Dividends

Boardwalk Real Estate Investment Trust pays an annual dividend of $1.18 per share and has a dividend yield of 2.4%. Sun Communities pays an annual dividend of $4.16 per share and has a dividend yield of 3.3%. Boardwalk Real Estate Investment Trust pays out 38.2% of its earnings in the form of a dividend. Sun Communities pays out 52.1% 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. Sun Communities has increased its dividend for 8 consecutive years. Sun Communities is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares Boardwalk Real Estate Investment Trust and Sun Communities’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Boardwalk Real Estate Investment Trust	49.45%	6.30%	3.54%
Sun Communities	42.58%	-4.53%	-2.29%

Summary

Boardwalk Real Estate Investment Trust beats Sun Communities on 9 of the 17 factors compared between the two stocks.

About Boardwalk Real Estate Investment Trust

Boardwalk REIT strives to be Canada’s friendliest community provider and is a leading owner/operator of multi-family rental communities. Providing homes in more than 200 communities, with over 34,000 residential suites totaling over 29 million net rentable square feet, Boardwalk has a proven long-term track record of building better communities, where love always lives. Our three-tiered and distinct brands: Boardwalk Living, Boardwalk Communities, and Boardwalk Lifestyle, cater to a large diverse demographic and has evolved to capture the life cycle of all Resident Members. Boardwalk’s disciplined approach to capital allocation, acquisition, development, purposeful re-positioning, and management of apartment communities allows the Trust to provide its brand of community across Canada creating exceptional Resident Member experiences. Differentiated by its peak performance culture, Boardwalk is committed to delivering exceptional service, product quality and experience to our Resident Members who reward us with high retention and market leading operating results, which in turn, lead to higher free cash flow and investment returns, stable monthly distributions, and value creation for all our stakeholders. Boardwalk REIT’s Trust Units are listed on the Toronto Stock Exchange, trading under the symbol BEI.UN.

About Sun Communities

Established in 1975, Sun Communities, Inc. became a publicly owned corporation in December 1993. The Company is a fully integrated REIT listed on the New York Stock Exchange under the symbol: SUI. As of December 31, 2023, the Company owned, operated, or had an interest in a portfolio of 667 developed MH, RV and Marina properties comprising 179,310 developed sites and approximately 48,030 wet slips and dry storage spaces in the U.S., the UK and Canada.