Head-To-Head Review: Universal Health Realty Income Trust (NYSE:UHT) vs. Rexford Industrial Realty (NYSE:REXR)

Universal Health Realty Income Trust (NYSE:UHT) and Rexford Industrial Realty (NYSE:REXR) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, dividends, valuation, institutional ownership, profitability and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and target prices for Universal Health Realty Income Trust and Rexford Industrial Realty, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Universal Health Realty Income Trust	0	1	0	0	2.00
Rexford Industrial Realty	3	6	5	0	2.14

Rexford Industrial Realty has a consensus price target of $40.62, suggesting a potential upside of 19.16%. Given Rexford Industrial Realty’s stronger consensus rating and higher probable upside, analysts plainly believe Rexford Industrial Realty is more favorable than Universal Health Realty Income Trust.

Insider and Institutional Ownership

64.7% of Universal Health Realty Income Trust shares are held by institutional investors. Comparatively, 99.5% of Rexford Industrial Realty shares are held by institutional investors. 2.6% of Universal Health Realty Income Trust shares are held by insiders. Comparatively, 1.8% of Rexford Industrial Realty shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Dividends

Universal Health Realty Income Trust pays an annual dividend of $3.00 per share and has a dividend yield of 7.0%. Rexford Industrial Realty pays an annual dividend of $1.74 per share and has a dividend yield of 5.1%. Universal Health Realty Income Trust pays out 234.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Rexford Industrial Realty pays out 187.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Universal Health Realty Income Trust has raised its dividend for 2 consecutive years and Rexford Industrial Realty has raised its dividend for 4 consecutive years.

Volatility and Risk

Universal Health Realty Income Trust has a beta of 0.82, meaning that its stock price is 18% less volatile than the S&P 500. Comparatively, Rexford Industrial Realty has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500.

Profitability

This table compares Universal Health Realty Income Trust and Rexford Industrial Realty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Universal Health Realty Income Trust	18.00%	11.44%	3.15%
Rexford Industrial Realty	23.25%	2.64%	1.82%

Earnings and Valuation

This table compares Universal Health Realty Income Trust and Rexford Industrial Realty”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Universal Health Realty Income Trust	$99.19 million	6.01	$17.61 million	$1.28	33.57
Rexford Industrial Realty	$1.00 billion	7.67	$212.03 million	$0.93	36.65

Rexford Industrial Realty has higher revenue and earnings than Universal Health Realty Income Trust. Universal Health Realty Income Trust is trading at a lower price-to-earnings ratio than Rexford Industrial Realty, indicating that it is currently the more affordable of the two stocks.

Summary

Rexford Industrial Realty beats Universal Health Realty Income Trust on 12 of the 17 factors compared between the two stocks.

About Universal Health Realty Income Trust

Universal Health Realty Income Trust, a real estate investment trust, invests in healthcare and human-service related facilities including acute care hospitals, behavioral health care hospitals, specialty facilities, medical/office buildings, free-standing emergency departments and childcare centers. We have investments or commitments in seventy-six properties located in twenty-one states.

About Rexford Industrial Realty

Rexford Industrial Realty, Inc. is a self-administered and self-managed real estate investment trust, which engages in owning and operating industrial properties in infill markets. The company was founded by Richard S. Ziman on January 18, 2013 and is headquartered in Los Angeles, CA.