Contrasting FTAI Infrastructure (FIP) and Its Peers

FTAI Infrastructure (NASDAQ:FIP) is one of 100 public companies in the “Ground Transportation” industry, but how does it contrast to its peers? We will compare FTAI Infrastructure to related companies based on the strength of its dividends, analyst recommendations, risk, valuation, profitability, earnings and institutional ownership.

Analyst Ratings

This is a breakdown of recent recommendations for FTAI Infrastructure and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FTAI Infrastructure	1	0	5	0	2.67
FTAI Infrastructure Competitors	1368	6530	8696	267	2.47

FTAI Infrastructure presently has a consensus price target of $9.75, suggesting a potential upside of 180.98%. As a group, “Ground Transportation” companies have a potential upside of 20.56%. Given FTAI Infrastructure’s stronger consensus rating and higher probable upside, analysts clearly believe FTAI Infrastructure is more favorable than its peers.

Institutional & Insider Ownership

87.4% of FTAI Infrastructure shares are held by institutional investors. Comparatively, 60.5% of shares of all “Ground Transportation” companies are held by institutional investors. 2.6% of FTAI Infrastructure shares are held by insiders. Comparatively, 15.5% of shares of all “Ground Transportation” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility and Risk

FTAI Infrastructure has a beta of 1.81, meaning that its stock price is 81% more volatile than the S&P 500. Comparatively, FTAI Infrastructure’s peers have a beta of 1.14, meaning that their average stock price is 14% more volatile than the S&P 500.

Dividends

FTAI Infrastructure pays an annual dividend of $0.12 per share and has a dividend yield of 3.5%. FTAI Infrastructure pays out -2.3% of its earnings in the form of a dividend. As a group, “Ground Transportation” companies pay a dividend yield of 1.6% and pay out 26.9% of their earnings in the form of a dividend. FTAI Infrastructure is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Valuation & Earnings

This table compares FTAI Infrastructure and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
FTAI Infrastructure	$502.52 million	-$107.17 million	-0.67
FTAI Infrastructure Competitors	$9.20 billion	$911.04 million	0.46

FTAI Infrastructure’s peers have higher revenue and earnings than FTAI Infrastructure. FTAI Infrastructure is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares FTAI Infrastructure and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FTAI Infrastructure	-64.75%	N/A	-8.34%
FTAI Infrastructure Competitors	6.87%	12.61%	4.01%

Summary

FTAI Infrastructure peers beat FTAI Infrastructure on 8 of the 15 factors compared.

FTAI Infrastructure Company Profile

FTAI Infrastructure Inc. focuses on acquiring, developing, and operating assets and businesses that represent infrastructure for customers in the transportation, energy, and industrial products industries in North America. The company operates through five segments: Railroad, Jefferson Terminal, Repauno, Power and Gas, and Sustainability and Energy Transition. It operates a multi-modal crude oil and refined products terminal, and other related assets. The company also has a 1,630-acre deep-water port located along the Delaware River with an underground storage cavern, a multipurpose dock, a rail-to-ship transloading system, and multiple industrial development opportunities; and a 1,660-acre multi-modal port located along the Ohio River with rail, dock, and multiple industrial development opportunities, including a power plant under construction. In addition, it operates six freight railroads and one switching facility. FTAI Infrastructure Inc. was incorporated in 2021 and is headquartered in New York, New York.