ACRES Commercial Realty (NYSE:ACR) versus Vornado Realty Trust (NYSE:VNO) Head-To-Head Comparison

Vornado Realty Trust (NYSE:VNO) and ACRES Commercial Realty (NYSE:ACR) are both finance companies, but which is the better business? We will compare the two businesses based on the strength of their institutional ownership, profitability, valuation, analyst recommendations, earnings, risk and dividends.

Institutional and Insider Ownership

90.0% of Vornado Realty Trust shares are owned by institutional investors. Comparatively, 40.0% of ACRES Commercial Realty shares are owned by institutional investors. 8.4% of Vornado Realty Trust shares are owned by company insiders. Comparatively, 3.9% of ACRES Commercial Realty shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Vornado Realty Trust and ACRES Commercial Realty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vornado Realty Trust	9.17%	3.83%	1.04%
ACRES Commercial Realty	22.98%	2.95%	0.68%

Risk & Volatility

Vornado Realty Trust has a beta of 1.52, indicating that its stock price is 52% more volatile than the S&P 500. Comparatively, ACRES Commercial Realty has a beta of 1.75, indicating that its stock price is 75% more volatile than the S&P 500.

Valuation & Earnings

This table compares Vornado Realty Trust and ACRES Commercial Realty”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vornado Realty Trust	$1.79 billion	4.35	$70.39 million	$0.52	77.84
ACRES Commercial Realty	$83.49 million	1.57	$29.27 million	$0.29	61.28

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

Analyst Recommendations

This is a summary of current ratings and target prices for Vornado Realty Trust and ACRES Commercial Realty, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vornado Realty Trust	2	6	3	0	2.09
ACRES Commercial Realty	0	1	1	0	2.50

Vornado Realty Trust presently has a consensus target price of $37.91, suggesting a potential downside of 6.35%. ACRES Commercial Realty has a consensus target price of $22.00, suggesting a potential upside of 23.80%. Given ACRES Commercial Realty’s stronger consensus rating and higher probable upside, analysts clearly believe ACRES Commercial Realty is more favorable than Vornado Realty Trust.

Summary

Vornado Realty Trust beats ACRES Commercial Realty on 10 of the 14 factors compared between the two stocks.

About Vornado Realty Trust

Vornado Realty Trust is a fully – integrated equity real estate investment trust.

About ACRES Commercial Realty

ACRES Commercial Realty Corp., a real estate investment trust (REIT), focuses on the origination, holding, and management of commercial real estate mortgage loans and equity investments in commercial real estate property in the United States. It invests in commercial real estate-related assets, including floating-rate first mortgage loans, first priority interests in first mortgage loans, subordinated interests in first mortgage loans, mezzanine financing, preferred equity investments, and commercial mortgage-backed securities. The company qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was formerly known as Exantas Capital Corp. and changed its name to ACRES Commercial Realty Corp. in February 2021. ACRES Commercial Realty Corp. was incorporated in 2005 and is based in Uniondale, New York.