Table of Contents
Alexandria Real Estate Equities (NYSE:ARE – Get Free Report) and Four Corners Property Trust (NYSE:FCPT – Get Free Report) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, profitability, valuation, analyst recommendations, dividends, earnings and risk.
Insider and Institutional Ownership
86.4% of Alexandria Real Estate Equities shares are owned by institutional investors. Comparatively, 93.5% of Four Corners Property Trust shares are owned by institutional investors. 1.6% of Alexandria Real Estate Equities shares are owned by insiders. Comparatively, 1.1% of Four Corners Property Trust shares are owned 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.
Analyst Ratings
This is a breakdown of recent ratings and recommmendations for Alexandria Real Estate Equities and Four Corners Property Trust, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Alexandria Real Estate Equities | 0 | 0 | 7 | 0 | 3.00 |
| Four Corners Property Trust | 0 | 0 | 3 | 0 | 3.00 |
Alexandria Real Estate Equities presently has a consensus price target of $160.63, suggesting a potential upside of 60.46%. Four Corners Property Trust has a consensus price target of $28.00, suggesting a potential upside of 26.18%. Given Alexandria Real Estate Equities’ higher possible upside, equities analysts clearly believe Alexandria Real Estate Equities is more favorable than Four Corners Property Trust.
Dividends
Alexandria Real Estate Equities pays an annual dividend of $4.96 per share and has a dividend yield of 5.0%. Four Corners Property Trust pays an annual dividend of $1.36 per share and has a dividend yield of 6.1%. Alexandria Real Estate Equities pays out 147.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Four Corners Property Trust pays out 122.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Alexandria Real Estate Equities has increased its dividend for 13 consecutive years and Four Corners Property Trust has increased its dividend for 6 consecutive years. Four Corners Property Trust is clearly the better dividend stock, given its higher yield and lower payout ratio.
Volatility & Risk
Alexandria Real Estate Equities has a beta of 0.94, indicating that its share price is 6% less volatile than the S&P 500. Comparatively, Four Corners Property Trust has a beta of 0.91, indicating that its share price is 9% less volatile than the S&P 500.
Earnings & Valuation
This table compares Alexandria Real Estate Equities and Four Corners Property Trust’s revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Alexandria Real Estate Equities | $2.59 billion | 6.69 | $521.66 million | $3.37 | 29.70 |
| Four Corners Property Trust | $223.19 million | 9.00 | $97.77 million | $1.11 | 19.99 |
Alexandria Real Estate Equities has higher revenue and earnings than Four Corners Property Trust. Four Corners Property Trust is trading at a lower price-to-earnings ratio than Alexandria Real Estate Equities, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Alexandria Real Estate Equities and Four Corners Property Trust’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Alexandria Real Estate Equities | 20.65% | 2.54% | 1.58% |
| Four Corners Property Trust | 40.23% | 8.19% | 4.26% |
Summary
Alexandria Real Estate Equities beats Four Corners Property Trust on 9 of the 16 factors compared between the two stocks.
About Alexandria Real Estate Equities
Alexandria Real Estate Equities, Inc. (NYSE: ARE), an S&P 500 company, is a best-in-class, mission-driven life science REIT making a positive and lasting impact on the world. As the pioneer of the life science real estate niche since its founding in 1994, Alexandria is the preeminent and longest-tenured owner, operator, and developer of collaborative life science, agtech, and advanced technology campuses in AAA innovation cluster locations, including Greater Boston, the San Francisco Bay Area, New York City, San Diego, Seattle, Maryland, and Research Triangle. The trusted partner to approximately 825 tenants, Alexandria has a total market capitalization of $30.6 billion and an asset base in North America of 74.9 million SF as of June 30, 2023, which includes 41.1 million RSF of operating properties and 5.3 million RSF of Class A/A+ properties undergoing construction, 9.4 million RSF of near-term and intermediate-term development and redevelopment projects, and 19.1 million SF of future development projects. Alexandria has a longstanding and proven track record of developing Class A/A+ properties clustered in life science, agtech, and advanced technology campuses that provide our innovative tenants with highly dynamic and collaborative environments that enhance their ability to successfully recruit and retain world-class talent and inspire productivity, efficiency, creativity, and success. Alexandria also provides strategic capital to transformative life science, agrifoodtech, climate innovation, and technology companies through our venture capital platform. We believe our unique business model and diligent underwriting ensure a high-quality and diverse tenant base that results in higher occupancy levels, longer lease terms, higher rental income, higher returns, and greater long-term asset value.
About Four Corners Property Trust
FCPT, headquartered in Mill Valley, CA, is a real estate investment trust primarily engaged in the ownership, acquisition and leasing of restaurant and retail properties. The Company seeks to grow its portfolio by acquiring additional real estate to lease, on a net basis, for use in the restaurant and retail industries.
Receive News & Ratings for Alexandria Real Estate Equities Daily – Enter your email address below to receive a concise daily summary of the latest news and analysts’ ratings for Alexandria Real Estate Equities and related companies with MarketBeat.com’s FREE daily email newsletter.
