Greystone Housing Impact Investors (NYSE:GHI) & Shift4 Payments (NYSE:FOUR) Financial Analysis

Greystone Housing Impact Investors (NYSE:GHI) and Shift4 Payments (NYSE:FOUR) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, dividends, valuation, analyst recommendations, institutional ownership, risk and profitability.

Insider and Institutional Ownership

9.0% of Greystone Housing Impact Investors shares are held by institutional investors. Comparatively, 98.9% of Shift4 Payments shares are held by institutional investors. 1.8% of Greystone Housing Impact Investors shares are held by insiders. Comparatively, 1.5% of Shift4 Payments shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Greystone Housing Impact Investors and Shift4 Payments”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Greystone Housing Impact Investors	$21.72 million	6.85	-$7.61 million	($0.24)	-26.32
Shift4 Payments	$4.78 billion	0.70	$119.00 million	$0.60	70.27

Shift4 Payments has higher revenue and earnings than Greystone Housing Impact Investors. Greystone Housing Impact Investors is trading at a lower price-to-earnings ratio than Shift4 Payments, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current recommendations for Greystone Housing Impact Investors and Shift4 Payments, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Greystone Housing Impact Investors	1	1	1	0	2.00
Shift4 Payments	1	11	11	0	2.43

Greystone Housing Impact Investors currently has a consensus price target of $9.50, suggesting a potential upside of 50.41%. Shift4 Payments has a consensus price target of $60.24, suggesting a potential upside of 42.87%. Given Greystone Housing Impact Investors’ higher possible upside, research analysts clearly believe Greystone Housing Impact Investors is more favorable than Shift4 Payments.

Profitability

This table compares Greystone Housing Impact Investors and Shift4 Payments’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Greystone Housing Impact Investors	-1.03%	3.72%	0.70%
Shift4 Payments	2.20%	28.40%	4.61%

Risk and Volatility

Greystone Housing Impact Investors has a beta of 0.68, indicating that its share price is 32% less volatile than the S&P 500. Comparatively, Shift4 Payments has a beta of 1.38, indicating that its share price is 38% more volatile than the S&P 500.

Summary

Shift4 Payments beats Greystone Housing Impact Investors on 11 of the 14 factors compared between the two stocks.

About Greystone Housing Impact Investors

Greystone Housing Impact Investors LP acquires, holds, sells, and deals in a portfolio of mortgage revenue bonds (MRBs) that are issued to provide construction and/or permanent financing for multifamily, student, and senior citizen housing; skilled nursing properties; and commercial properties in the United States. The company operates in four segments: Affordable Multifamily MRB Investments; Seniors and Skilled Nursing MRB Investments; MF Properties; Market-Rate Joint Venture Investments. It also invests in governmental issuer loans. The company was formerly known as America First Multifamily Investors, L.P. and changed its name to Greystone Housing Impact Investors LP in December 2022. Greystone Housing Impact Investors LP was incorporated in 1998 and is based in Omaha, Nebraska.

About Shift4 Payments

Shift4 Payments, Inc. (NYSE FOUR) provides integrated payment processing and technology solutions in the United States. Its payments platform provides omni-channel card acceptance and processing solutions, including end-to-end payment processing for various payment types; merchant acquiring; proprietary omni-channel gateway; complementary software integrations; integrated and mobile point-of-sale (POS) solutions; security and risk management solutions; and reporting and analytical tools, as well as tokenization, risk management/underwriting, payment device and chargeback management, fraud prevention, and gift card solutions. The company also offers suite of technology solutions, such as Lighthouse, a cloud-based business intelligence tool that includes customer engagement, social media management, online reputation management, scheduling, and product pricing, as well as reporting and analytics; integrated POS for merchants business; and Skytab, a mobile payment solution. In addition, it provides marketplace technology that enable seamless integrations into third-party applications, which includes online delivery services, payroll, timekeeping, and other human resource services. Further, the company offers merchant management, training and education, marketing management, and incentives tracking solutions. Additionally, it provides merchant underwriting, onboarding and activation, training, risk management, and support services; and software integrations and compliance management, and partner support and services. The company was founded in 1998 and is headquartered in Allentown, Pennsylvania.