Critical Survey: Swire Properties (OTCMKTS:SWPFF) vs. Compass (NYSE:COMP)

Compass (NYSE:COMP) and Swire Properties (OTCMKTS:SWPFF) are both real estate companies, but which is the better stock? We will contrast the two businesses based on the strength of their institutional ownership, valuation, analyst recommendations, profitability, risk, dividends and earnings.

Insider & Institutional Ownership

67.0% of Compass shares are held by institutional investors. Comparatively, 6.6% of Swire Properties shares are held by institutional investors. 2.9% of Compass shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Compass and Swire Properties”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Compass	$6.96 billion	1.30	-$58.50 million	$0.06	199.33
Swire Properties	N/A	N/A	N/A	$2.06	1.49

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

Analyst Recommendations

This is a summary of current ratings and recommmendations for Compass and Swire Properties, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Compass	1	5	8	1	2.60
Swire Properties	0	0	0	0	0.00

Compass presently has a consensus target price of $14.15, indicating a potential upside of 18.34%. Given Compass’ stronger consensus rating and higher possible upside, research analysts plainly believe Compass is more favorable than Swire Properties.

Profitability

This table compares Compass and Swire Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Compass	0.63%	3.62%	1.37%
Swire Properties	N/A	N/A	N/A

Summary

Compass beats Swire Properties on 11 of the 12 factors compared between the two stocks.

About Compass

Compass, Inc. provides real estate brokerage services in the United States. It operates a cloud-based platform that provides an integrated suite of software for customer relationship management, marketing, client service, operations, and other functionality in the real estate industry. The company offers mobile apps that allow agents to manage their business anytime and anywhere, as well as designs consumer-grade user interfaces, automated and simplified workflows for agent-client interactions, and insight-rich dashboards and reports. It also provides full-service title and escrow/settlement services to real estate agents' clients, real estate companies, and financial institutions relating to the closing of home purchases as well as the refinancing of home loans; and Compass Concierge, a program in which home sellers access to capital to front the cost of home improvement services. The company was formerly known as Urban Compass, Inc. and changed its name to Compass, Inc. in January 2021.Compass, Inc. was incorporated in 2012 and is headquartered in New York, New York.

About Swire Properties

Swire Properties Limited, together with its subsidiaries, develops, owns, and operates mixed-use, primarily commercial properties in Hong Kong, Mainland China, the United States, and internationally. It operates through three divisions: Property Investment, Property Trading, and Hotels. The company engages in the development, leasing, and management of commercial, retail, and residential properties; development, construction, and sale of residential apartments; and operation of hotels. It also provides financial and real estate agency services. The company was incorporated in 1972 and is based in Hong Kong, Hong Kong. Swire Properties Limited operates as a subsidiary of Swire Pacific Limited.