Comparing Kilroy Realty (NYSE:KRC) & NSI (OTCMKTS:NIUWF)

NSI (OTCMKTS:NIUWF) and Kilroy Realty (NYSE:KRC) are both real estate companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Profitability

This table compares NSI and Kilroy Realty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NSI	N/A	N/A	N/A
Kilroy Realty	15.47%	3.04%	1.56%

Insider and Institutional Ownership

28.8% of NSI shares are owned by institutional investors. Comparatively, 94.2% of Kilroy Realty shares are owned by institutional investors. 0.8% of Kilroy Realty shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Dividends

NSI pays an annual dividend of C$0.15 per share and has a dividend yield of 0.8%. Kilroy Realty pays an annual dividend of $2.16 per share and has a dividend yield of 5.9%. NSI pays out -10.8% of its earnings in the form of a dividend. Kilroy Realty pays out 152.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Earnings and Valuation

This table compares NSI and Kilroy Realty”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NSI	N/A	N/A	N/A	C($1.41)	-14.00
Kilroy Realty	$1.11 billion	3.82	$276.12 million	$1.42	25.72

Kilroy Realty has higher revenue and earnings than NSI. NSI is trading at a lower price-to-earnings ratio than Kilroy Realty, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings and price targets for NSI and Kilroy Realty, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NSI	1	0	0	0	1.00
Kilroy Realty	2	9	5	0	2.19

Kilroy Realty has a consensus target price of $39.13, suggesting a potential upside of 7.16%. Given Kilroy Realty’s stronger consensus rating and higher probable upside, analysts clearly believe Kilroy Realty is more favorable than NSI.

Summary

Kilroy Realty beats NSI on 12 of the 13 factors compared between the two stocks.

About NSI

NSI N.V. is a specialist commercial property investor and the only listed real estate investment trust (REIT) focused on well-located offices in economic growth regions in The Netherlands. The NSI team aims to maximise returns for its shareholders through pro-active management of its investment portfolio, value-add initiatives, and disciplined asset rotation. The portfolio, with a value of over one billion euros, is underpinned by a strong balance sheet, with significant capacity to fund both internal and external growth. By investing in an attractive space and a high level of services for its customers, NSI can generate sustainable and growing revenues to support an attractive level of dividends.

About Kilroy Realty

Kilroy Realty Corporation (NYSE: KRC, the company, Kilroy) is a leading U.S. landlord and developer, with operations in San Diego, Greater Los Angeles, the San Francisco Bay Area, Greater Seattle and Austin. The company has earned global recognition for sustainability, building operations, innovation and design. As a pioneer and innovator in the creation of a more sustainable real estate industry, the company's approach to modern business environments helps drive creativity and productivity for some of the world's leading technology, entertainment, life science and business services companies. The company is a publicly traded real estate investment trust (REIT) and member of the S&P MidCap 400 Index with more than seven decades of experience developing, acquiring and managing office, life science and mixed-use projects. As of December 31, 2023, Kilroy's stabilized portfolio totaled approximately 17.0 million square feet of primarily office and life science space that was 85.0% occupied and 86.4% leased. The company also had approximately 1,000 residential units in Hollywood and San Diego, which had a quarterly average occupancy of 92.5%. In addition, the company had two in-process life science redevelopment projects totaling approximately 100,000 square feet with total estimated redevelopment costs of $80.0 million and one approximately 875,000 square foot in-process development project with a total estimated investment of $1.0 billion.