Head-To-Head Comparison: Sotherly Hotels (NASDAQ:SOHO) versus Brixmor Property Group (NYSE:BRX)

Sotherly Hotels (NASDAQ:SOHO) and Brixmor Property Group (NYSE:BRX) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, profitability, analyst recommendations, institutional ownership, dividends, valuation and risk.

Profitability

This table compares Sotherly Hotels and Brixmor Property Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sotherly Hotels	2.27%	7.81%	0.98%
Brixmor Property Group	24.50%	10.63%	3.66%

Risk & Volatility

Sotherly Hotels has a beta of 1.63, meaning that its share price is 63% more volatile than the S&P 500. Comparatively, Brixmor Property Group has a beta of 1.53, meaning that its share price is 53% more volatile than the S&P 500.

Institutional and Insider Ownership

27.5% of Sotherly Hotels shares are held by institutional investors. Comparatively, 98.4% of Brixmor Property Group shares are held by institutional investors. 14.6% of Sotherly Hotels shares are held by company insiders. Comparatively, 0.8% of Brixmor Property Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Sotherly Hotels and Brixmor Property Group’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sotherly Hotels	$173.84 million	0.15	$3.94 million	($0.21)	-6.24
Brixmor Property Group	$1.25 billion	5.35	$305.09 million	$1.01	21.88

Brixmor Property Group has higher revenue and earnings than Sotherly Hotels. Sotherly Hotels is trading at a lower price-to-earnings ratio than Brixmor Property Group, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and recommmendations for Sotherly Hotels and Brixmor Property Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sotherly Hotels	0	1	0	0	2.00
Brixmor Property Group	0	3	4	0	2.57

Sotherly Hotels currently has a consensus price target of $2.25, indicating a potential upside of 71.76%. Brixmor Property Group has a consensus price target of $25.38, indicating a potential upside of 14.82%. Given Sotherly Hotels’ higher possible upside, equities analysts clearly believe Sotherly Hotels is more favorable than Brixmor Property Group.

Summary

Brixmor Property Group beats Sotherly Hotels on 11 of the 14 factors compared between the two stocks.

About Sotherly Hotels

Sotherly Hotels Inc. is a self-managed and self-administered lodging REIT focused on the acquisition, renovation, upbranding and repositioning of upscale to upper-upscale full-service hotels in the Southern United States. Sotherly may also opportunistically acquire hotels throughout the United States. Currently, the Company's portfolio consists of investments in ten hotel properties, comprising 2,786 rooms, as well as interests in two condominium hotels and their associated rental programs. The Company owns hotels that operate under the Hilton Worldwide and Hyatt Hotels Corporation brands, as well as independent hotels. Sotherly Hotels Inc. was organized in 2004 and is headquartered in Williamsburg, Virginia.

About Brixmor Property Group

Brixmor (NYSE: BRX) is a real estate investment trust (REIT) that owns and operates a high-quality, national portfolio of open-air shopping centers. Its 362 retail centers comprise approximately 64 million square feet of prime retail space in established trade areas. The Company strives to own and operate shopping centers that reflect Brixmor's vision to be the center of the communities we serve and are home to a diverse mix of thriving national, regional and local retailers. Brixmor is a proud real estate partner to over 5,000 retailers including The TJX Companies, The Kroger Co., Publix Super Markets and Ross Stores.