Service Properties Trust (NASDAQ:SVC) vs. InnSuites Hospitality Trust (NYSE:IHT) Head to Head Comparison

InnSuites Hospitality Trust (NYSE:IHT) and Service Properties Trust (NASDAQ:SVC) are both small-cap real estate companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, dividends, earnings, risk, valuation, analyst recommendations and institutional ownership.

Earnings & Valuation

This table compares InnSuites Hospitality Trust and Service Properties Trust”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
InnSuites Hospitality Trust	$7.56 million	1.98	$200,000.00	($0.14)	-11.36
Service Properties Trust	$1.81 billion	0.58	-$202.32 million	($7.70)	-1.06

InnSuites Hospitality Trust has higher earnings, but lower revenue than Service Properties Trust. InnSuites Hospitality Trust is trading at a lower price-to-earnings ratio than Service Properties Trust, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

InnSuites Hospitality Trust has a beta of 0.29, indicating that its stock price is 71% less volatile than the S&P 500. Comparatively, Service Properties Trust has a beta of 1.67, indicating that its stock price is 67% more volatile than the S&P 500.

Dividends

InnSuites Hospitality Trust pays an annual dividend of $0.02 per share and has a dividend yield of 1.3%. Service Properties Trust pays an annual dividend of $0.20 per share and has a dividend yield of 2.5%. InnSuites Hospitality Trust pays out -14.3% of its earnings in the form of a dividend. Service Properties Trust pays out -2.6% 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.

Analyst Recommendations

This is a summary of current ratings and price targets for InnSuites Hospitality Trust and Service Properties Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
InnSuites Hospitality Trust	0	0	0	0	0.00
Service Properties Trust	1	2	3	0	2.33

Service Properties Trust has a consensus price target of $12.81, indicating a potential upside of 57.60%. Given Service Properties Trust’s stronger consensus rating and higher possible upside, analysts clearly believe Service Properties Trust is more favorable than InnSuites Hospitality Trust.

Institutional & Insider Ownership

2.5% of InnSuites Hospitality Trust shares are owned by institutional investors. Comparatively, 77.6% of Service Properties Trust shares are owned by institutional investors. 68.1% of InnSuites Hospitality Trust shares are owned by insiders. Comparatively, 1.6% of Service Properties Trust shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares InnSuites Hospitality Trust and Service Properties Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
InnSuites Hospitality Trust	-11.56%	-40.28%	-5.83%
Service Properties Trust	-25.44%	-65.18%	-6.66%

About InnSuites Hospitality Trust

InnSuites Hospitality Trust (NYSE American symbol: IHT) first listed on the NYSE in 1971 is headquartered in Phoenix, Arizona is an unincorporated Ohio Business. Trust that owns and manages hotels under the InnSuites Hotels name. IHT qualifies as a Real Estate Investment Trust (REIT) for tax treatment currently taxed as a corporation with the IRS. IHT has paid dividends each year since 1971 currently at $0.2/year. There are approximately 9 million shares of stock outstanding. In addition, there are approximately 3 million RRF Partnership units convertible 1 to 1 into IHT stock. Total shares and units are approximately 12 million.

About Service Properties Trust

Service Properties Trust (Nasdaq: SVC) is a real estate investment trust with over $11 billion invested in two asset categories: hotels and service-focused retail net lease properties. As of December 31, 2023, SVC owned 221 hotels with over 37,000 guest rooms throughout the United States and in Puerto Rico and Canada, the majority of which are extended stay and select service. As of December 31, 2023, SVC also owned 752 service-focused retail net lease properties totaling approximately 13.3 million square feet throughout the United States. SVC is managed by The RMR Group (Nasdaq: RMR), a leading U.S. alternative asset management company with over $41 billion in assets under management as of December 31, 2023, and more than 35 years of institutional experience in buying, selling, financing and operating commercial real estate. SVC is headquartered in Newton, MA.