Financial Survey: One Liberty Properties (NYSE:OLP) versus First Industrial Realty Trust (NYSE:FR)

One Liberty Properties (NYSE:OLP) and First Industrial Realty Trust (NYSE:FR) are both real estate companies, but which is the better stock? We will compare the two businesses based on the strength of their dividends, institutional ownership, risk, valuation, earnings, profitability and analyst recommendations.

Dividends

One Liberty Properties pays an annual dividend of $1.80 per share and has a dividend yield of 8.4%. First Industrial Realty Trust pays an annual dividend of $2.00 per share and has a dividend yield of 3.6%. One Liberty Properties pays out 156.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. First Industrial Realty Trust pays out 74.3% of its earnings in the form of a dividend. First Industrial Realty Trust has increased its dividend for 12 consecutive years.

Profitability

This table compares One Liberty Properties and First Industrial Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
One Liberty Properties	23.82%	8.47%	2.90%
First Industrial Realty Trust	46.12%	12.60%	6.19%

Insider and Institutional Ownership

36.2% of One Liberty Properties shares are held by institutional investors. Comparatively, 99.8% of First Industrial Realty Trust shares are held by institutional investors. 26.2% of One Liberty Properties shares are held by insiders. Comparatively, 1.1% of First Industrial Realty Trust shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Volatility & Risk

One Liberty Properties has a beta of 0.89, meaning that its stock price is 11% less volatile than the S&P 500. Comparatively, First Industrial Realty Trust has a beta of 1.01, meaning that its stock price is 1% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and target prices for One Liberty Properties and First Industrial Realty Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
One Liberty Properties	0	2	1	0	2.33
First Industrial Realty Trust	0	8	7	0	2.47

One Liberty Properties presently has a consensus target price of $28.50, suggesting a potential upside of 33.75%. First Industrial Realty Trust has a consensus target price of $64.93, suggesting a potential upside of 17.47%. Given One Liberty Properties’ higher possible upside, analysts clearly believe One Liberty Properties is more favorable than First Industrial Realty Trust.

Earnings & Valuation

This table compares One Liberty Properties and First Industrial Realty Trust”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
One Liberty Properties	$97.23 million	4.80	$25.47 million	$1.15	18.53
First Industrial Realty Trust	$727.08 million	10.08	$247.44 million	$2.69	20.55

First Industrial Realty Trust has higher revenue and earnings than One Liberty Properties. One Liberty Properties is trading at a lower price-to-earnings ratio than First Industrial Realty Trust, indicating that it is currently the more affordable of the two stocks.

Summary

First Industrial Realty Trust beats One Liberty Properties on 14 of the 17 factors compared between the two stocks.

About One Liberty Properties

One Liberty Properties, Inc. is a real estate investment trust (REIT) that acquires, owns and manages commercial properties in the United States. Its portfolio includes primarily industrial and retail properties, along with other commercial real estate. The company generally leases its properties to businesses under long-term agreements, often on a net-lease basis, in which tenants are responsible for certain property expenses. Its properties serve tenants across a range of industries and are located in various U.S. markets.

About First Industrial Realty Trust

First Industrial Realty Trust is a real estate investment trust focused on owning, operating, acquiring and developing industrial properties in the United States. Its portfolio includes warehouses, distribution facilities and other buildings used for manufacturing and logistics. The company serves businesses that need space to store, move or produce goods, with properties in major U.S. industrial and distribution markets. First Industrial was established in 1994 and is headquartered in Chicago. Peter E. Baccile serves as the company’s president and chief executive officer.