Financial Comparison: AvalonBay Communities (NYSE:AVB) versus Alpine Income Property Trust (NYSE:PINE)

Alpine Income Property Trust (NYSE:PINE) and AvalonBay Communities (NYSE:AVB) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, institutional ownership, dividends, earnings, profitability and risk.

Volatility and Risk

Alpine Income Property Trust has a beta of 0.8, indicating that its share price is 20% less volatile than the S&P 500. Comparatively, AvalonBay Communities has a beta of 0.99, indicating that its share price is 1% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for Alpine Income Property Trust and AvalonBay Communities, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alpine Income Property Trust	0	2	7	0	2.78
AvalonBay Communities	0	9	7	0	2.44

Alpine Income Property Trust presently has a consensus price target of $19.25, suggesting a potential upside of 18.53%. AvalonBay Communities has a consensus price target of $234.60, suggesting a potential upside of 9.38%. Given Alpine Income Property Trust’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Alpine Income Property Trust is more favorable than AvalonBay Communities.

Valuation & Earnings

This table compares Alpine Income Property Trust and AvalonBay Communities”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alpine Income Property Trust	$50.02 million	4.63	$2.92 million	$0.22	73.82
AvalonBay Communities	$2.88 billion	10.60	$928.83 million	$7.31	29.34

AvalonBay Communities has higher revenue and earnings than Alpine Income Property Trust. AvalonBay Communities is trading at a lower price-to-earnings ratio than Alpine Income Property Trust, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Alpine Income Property Trust and AvalonBay Communities’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alpine Income Property Trust	6.72%	1.23%	0.59%
AvalonBay Communities	36.20%	8.84%	4.98%

Dividends

Alpine Income Property Trust pays an annual dividend of $1.12 per share and has a dividend yield of 6.9%. AvalonBay Communities pays an annual dividend of $6.80 per share and has a dividend yield of 3.2%. Alpine Income Property Trust pays out 509.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. AvalonBay Communities pays out 93.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Insider and Institutional Ownership

60.5% of Alpine Income Property Trust shares are owned by institutional investors. Comparatively, 92.6% of AvalonBay Communities shares are owned by institutional investors. 0.7% of Alpine Income Property Trust shares are owned by company insiders. Comparatively, 0.4% of AvalonBay Communities shares are owned by company 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.

Summary

AvalonBay Communities beats Alpine Income Property Trust on 10 of the 15 factors compared between the two stocks.

About Alpine Income Property Trust

Alpine Income Property Trust, Inc. (NYSE: PINE) is a publicly traded real estate investment trust that seeks to deliver attractive risk-adjusted returns and dependable cash dividends by investing in, owning and operating a portfolio of single tenant net leased properties that are predominately leased to high-quality publicly traded and credit-rated tenants.

About AvalonBay Communities

AvalonBay Communities, Inc. is a real estate investment trust, which engages in the development, acquisition, ownership, and operation of multifamily communities. It operates through the following segments: Same Store, Other Stabilized, and Development or Redevelopment. The Same Store segment refers to the operating communities that were owned and had stabilized occupancy. The Other Stabilized segment includes all other complete communities that have stabilized occupancy. The Development or Redevelopment segment consists of communities that are under construction. The company was founded by Gilbert M. Meyer in 1978 and is headquartered in Arlington, VA.