Americold Realty Trust (NYSE:COLD) & Terreno Realty (NYSE:TRNO) Head-To-Head Comparison

Americold Realty Trust (NYSE:COLD) and Terreno Realty (NYSE:TRNO) are both mid-cap real estate companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, profitability, valuation, analyst recommendations, earnings, risk and institutional ownership.

Analyst Ratings

This is a summary of recent ratings for Americold Realty Trust and Terreno Realty, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Americold Realty Trust	2	9	5	0	2.19
Terreno Realty	2	3	8	1	2.57

Americold Realty Trust presently has a consensus price target of $15.75, suggesting a potential upside of 15.13%. Terreno Realty has a consensus price target of $73.79, suggesting a potential upside of 16.49%. Given Terreno Realty’s stronger consensus rating and higher probable upside, analysts clearly believe Terreno Realty is more favorable than Americold Realty Trust.

Profitability

This table compares Americold Realty Trust and Terreno Realty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Americold Realty Trust	-17.44%	-16.14%	-5.68%
Terreno Realty	77.22%	9.21%	7.07%

Dividends

Americold Realty Trust pays an annual dividend of $0.92 per share and has a dividend yield of 6.7%. Terreno Realty pays an annual dividend of $2.28 per share and has a dividend yield of 3.6%. Americold Realty Trust pays out -57.9% of its earnings in the form of a dividend. Terreno Realty pays out 61.1% 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. Americold Realty Trust has increased its dividend for 1 consecutive years and Terreno Realty has increased its dividend for 5 consecutive years. Americold Realty Trust is clearly the better dividend stock, given its higher yield and lower payout ratio.

Risk and Volatility

Americold Realty Trust has a beta of 0.92, indicating that its share price is 8% less volatile than the S&P 500. Comparatively, Terreno Realty has a beta of 1.03, indicating that its share price is 3% more volatile than the S&P 500.

Insider & Institutional Ownership

98.1% of Americold Realty Trust shares are held by institutional investors. 0.4% of Americold Realty Trust shares are held by insiders. Comparatively, 1.9% of Terreno Realty shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Americold Realty Trust and Terreno Realty”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Americold Realty Trust	$2.60 billion	1.50	-$114.55 million	($1.59)	-8.60
Terreno Realty	$476.38 million	14.49	$402.99 million	$3.73	16.98

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

Summary

Terreno Realty beats Americold Realty Trust on 14 of the 18 factors compared between the two stocks.

About Americold Realty Trust

Americold Realty Trust, Inc. is a real estate investment trust, which focuses on the ownership, operation, development, and acquisition of temperature-controlled warehouses. It operates through the following segments: Warehouse, Third-Party Managed, Transportation, and Other. The Warehouse segment collects rent and storage fees from customers to store frozen and perishable food and other products within the firm’s real estate portfolio. The Third-Party Managed segment manages warehouses on behalf of third parties and provides warehouse management services to food retailers and manufacturers in customer-owned facilities. The Transportation segment is involved in brokering and managing transportation of frozen and perishable food and other products. The Other segment includes ownership in a limestone quarry in Carthage, Missouri. The company was founded in 1931 and is headquartered in Atlanta, GA.

About Terreno Realty

Terreno Realty Corporation (Terreno, and together with its subsidiaries, the Company) acquires, owns and operates industrial real estate in six major coastal U.S. markets: Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami, and Washington, D.C. All square feet, acres, occupancy and number of properties disclosed in these notes to the consolidated financial statements are unaudited. As of December 31, 2023, the Company owned 259 buildings aggregating approximately 16.0 million square feet, 45 improved land parcels consisting of approximately 152.4 acres, seven properties under development or redevelopment and approximately 62.7 acres of land entitled for future development. The Company is an internally managed Maryland corporation and elected to be taxed as a real estate investment trust (REIT) under Sections 856 through 860 of the Internal Revenue Code of 1986, as amended (the Code), commencing with its taxable year ended December 31, 2010.