Reviewing Centerspace (NYSE:CSR) & Camden Property Trust (NYSE:CPT)

Camden Property Trust (NYSE:CPT) and Centerspace (NYSE:CSR) are both real estate companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, risk, dividends, earnings and valuation.

Insider and Institutional Ownership

97.2% of Camden Property Trust shares are owned by institutional investors. Comparatively, 79.0% of Centerspace shares are owned by institutional investors. 1.9% of Camden Property Trust shares are owned by company insiders. Comparatively, 0.5% of Centerspace shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk and Volatility

Camden Property Trust has a beta of 0.79, indicating that its share price is 21% less volatile than the S&P 500. Comparatively, Centerspace has a beta of 0.84, indicating that its share price is 16% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Camden Property Trust and Centerspace, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Camden Property Trust	1	11	3	0	2.13
Centerspace	0	8	2	0	2.20

Camden Property Trust presently has a consensus price target of $111.62, suggesting a potential upside of 9.74%. Centerspace has a consensus price target of $62.50, suggesting a potential upside of 5.63%. Given Camden Property Trust’s higher probable upside, equities research analysts plainly believe Camden Property Trust is more favorable than Centerspace.

Profitability

This table compares Camden Property Trust and Centerspace’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Camden Property Trust	20.80%	7.66%	3.56%
Centerspace	7.97%	2.58%	1.11%

Dividends

Camden Property Trust pays an annual dividend of $4.24 per share and has a dividend yield of 4.2%. Centerspace pays an annual dividend of $3.08 per share and has a dividend yield of 5.2%. Camden Property Trust pays out 140.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Centerspace pays out 244.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Camden Property Trust has raised its dividend for 4 consecutive years and Centerspace has raised its dividend for 2 consecutive years.

Earnings & Valuation

This table compares Camden Property Trust and Centerspace”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Camden Property Trust	$1.57 billion	6.52	$384.46 million	$3.02	33.68
Centerspace	$273.66 million	3.64	$17.59 million	$1.26	46.96

Camden Property Trust has higher revenue and earnings than Centerspace. Camden Property Trust is trading at a lower price-to-earnings ratio than Centerspace, indicating that it is currently the more affordable of the two stocks.

Summary

Camden Property Trust beats Centerspace on 13 of the 17 factors compared between the two stocks.

About Camden Property Trust

Camden Property Trust, an S&P 500 Company, is a real estate company primarily engaged in the ownership, management, development, redevelopment, acquisition, and construction of multifamily apartment communities. Camden owns and operates 172 properties containing 58,250 apartment homes across the United States. Upon completion of 5 properties currently under development, the Company’s portfolio will increase to 59,996 apartment homes in 177 properties. Camden has been recognized as one of the 100 Best Companies to Work For by FORTUNE magazine for 17 consecutive years, most recently ranking #24.

About Centerspace

Centerspace is an owner and operator of apartment communities committed to providing great homes by focusing on integrity and serving others. Founded in 1970, as of September 30, 2023, Centerspace owned interests in 71 apartment communities consisting of 12,785 apartment homes located in Colorado, Minnesota, Montana, Nebraska, North Dakota, and South Dakota. Centerspace was named a Top Workplace for the fourth consecutive year in 2023 by the Minneapolis Star Tribune.