Analyzing Rexford Industrial Realty (NYSE:REXR) and Claros Mortgage Trust (NYSE:CMTG)

Claros Mortgage Trust (NYSE:CMTG) and Rexford Industrial Realty (NYSE:REXR) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, dividends, profitability, analyst recommendations, valuation, earnings and risk.

Valuation & Earnings

This table compares Claros Mortgage Trust and Rexford Industrial Realty”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Claros Mortgage Trust	$187.83 million	1.77	-$221.26 million	($3.49)	-0.68
Rexford Industrial Realty	$1.00 billion	8.70	$212.03 million	$0.85	44.29

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

Profitability

This table compares Claros Mortgage Trust and Rexford Industrial Realty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Claros Mortgage Trust	-260.38%	-15.72%	-4.84%
Rexford Industrial Realty	21.03%	2.37%	1.63%

Analyst Recommendations

This is a breakdown of current recommendations for Claros Mortgage Trust and Rexford Industrial Realty, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Claros Mortgage Trust	3	0	1	0	1.50
Rexford Industrial Realty	2	9	3	0	2.07

Claros Mortgage Trust presently has a consensus target price of $3.17, indicating a potential upside of 33.90%. Rexford Industrial Realty has a consensus target price of $42.31, indicating a potential upside of 12.39%. Given Claros Mortgage Trust’s higher probable upside, research analysts plainly believe Claros Mortgage Trust is more favorable than Rexford Industrial Realty.

Institutional and Insider Ownership

89.5% of Claros Mortgage Trust shares are owned by institutional investors. Comparatively, 99.5% of Rexford Industrial Realty shares are owned by institutional investors. 1.8% of Claros Mortgage Trust shares are owned by company insiders. Comparatively, 1.2% of Rexford Industrial Realty shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Risk and Volatility

Claros Mortgage Trust has a beta of 1.2, indicating that its stock price is 20% more volatile than the S&P 500. Comparatively, Rexford Industrial Realty has a beta of 1.23, indicating that its stock price is 23% more volatile than the S&P 500.

Summary

Rexford Industrial Realty beats Claros Mortgage Trust on 12 of the 14 factors compared between the two stocks.

About Claros Mortgage Trust

Claros Mortgage Trust, Inc. operates as a real estate investment trust. It focuses on originating senior and subordinate loans on transitional commercial real estate assets in the United States. 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. The company was incorporated in 2015 and is headquartered in New York, New York.

About Rexford Industrial Realty

Rexford Industrial Realty, Inc. is a self-administered and self-managed real estate investment trust, which engages in owning and operating industrial properties in infill markets. The company was founded by Richard S. Ziman on January 18, 2013 and is headquartered in Los Angeles, CA.