Generation Income Properties (NASDAQ:GIPR) vs. Blackstone Mortgage Trust (NYSE:BXMT) Head-To-Head Review

Generation Income Properties (NASDAQ:GIPR) and Blackstone Mortgage Trust (NYSE:BXMT) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, institutional ownership, risk, earnings, dividends and valuation.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Generation Income Properties and Blackstone Mortgage Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Generation Income Properties	0	1	0	0	2.00
Blackstone Mortgage Trust	0	6	2	0	2.25

Generation Income Properties currently has a consensus price target of $5.00, suggesting a potential upside of 160.40%. Blackstone Mortgage Trust has a consensus price target of $20.08, suggesting a potential upside of 8.79%. Given Generation Income Properties’ higher possible upside, analysts plainly believe Generation Income Properties is more favorable than Blackstone Mortgage Trust.

Profitability

This table compares Generation Income Properties and Blackstone Mortgage Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Generation Income Properties	-89.09%	-106.37%	-8.03%
Blackstone Mortgage Trust	-12.91%	9.35%	1.68%

Dividends

Generation Income Properties pays an annual dividend of $0.46 per share and has a dividend yield of 24.0%. Blackstone Mortgage Trust pays an annual dividend of $1.88 per share and has a dividend yield of 10.2%. Generation Income Properties pays out -17.4% of its earnings in the form of a dividend. Blackstone Mortgage Trust pays out -135.3% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Earnings & Valuation

This table compares Generation Income Properties and Blackstone Mortgage Trust”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Generation Income Properties	$9.66 million	1.08	-$5.72 million	($2.65)	-0.72
Blackstone Mortgage Trust	$532.49 million	6.00	$246.55 million	($1.39)	-13.28

Blackstone Mortgage Trust has higher revenue and earnings than Generation Income Properties. Blackstone Mortgage Trust is trading at a lower price-to-earnings ratio than Generation Income Properties, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

20.7% of Generation Income Properties shares are held by institutional investors. Comparatively, 64.2% of Blackstone Mortgage Trust shares are held by institutional investors. 5.6% of Generation Income Properties shares are held by insiders. Comparatively, 0.9% of Blackstone Mortgage Trust shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Volatility & Risk

Generation Income Properties has a beta of -0.11, indicating that its share price is 111% less volatile than the S&P 500. Comparatively, Blackstone Mortgage Trust has a beta of 1.5, indicating that its share price is 50% more volatile than the S&P 500.

Summary

Blackstone Mortgage Trust beats Generation Income Properties on 12 of the 16 factors compared between the two stocks.

About Generation Income Properties

Generation Income Properties, Inc., located in Tampa, Florida, is an internally managed real estate investment trust formed to acquire and own, directly and jointly, real estate investments focused on retail, office, and industrial net lease properties in densely populated submarkets.

About Blackstone Mortgage Trust

Blackstone Mortgage Trust, Inc., a real estate finance company, originates senior loans collateralized by commercial properties in North America, Europe, and Australia. The company originates and acquires senior floating rate mortgage loans that are secured by a first-priority mortgage on commercial real estate assets. It operates as a real estate investment trust for federal income tax purposes. The company was formerly known as Capital Trust, Inc. and changed its name to Blackstone Mortgage Trust, Inc. in May 2013. Blackstone Mortgage Trust, Inc. was incorporated in 1998 and is headquartered in New York, New York.