Contrasting Lineage (NASDAQ:LINE) and Granite Point Mortgage Trust (NYSE:GPMT)

Lineage (NASDAQ:LINE) and Granite Point Mortgage Trust (NYSE:GPMT) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.

Dividends

Lineage pays an annual dividend of $1.52 per share and has a dividend yield of 2.4%. Granite Point Mortgage Trust pays an annual dividend of $0.20 per share and has a dividend yield of 6.0%. Granite Point Mortgage Trust pays out -5.2% of its earnings in the form of a dividend.

Analyst Recommendations

This is a summary of current ratings and price targets for Lineage and Granite Point Mortgage Trust, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lineage	0	5	11	1	2.76
Granite Point Mortgage Trust	1	1	2	0	2.25

Lineage currently has a consensus price target of $90.75, indicating a potential upside of 45.04%. Granite Point Mortgage Trust has a consensus price target of $4.50, indicating a potential upside of 34.13%. Given Lineage’s stronger consensus rating and higher probable upside, research analysts clearly believe Lineage is more favorable than Granite Point Mortgage Trust.

Profitability

This table compares Lineage and Granite Point Mortgage Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lineage	-12.18%	-9.89%	-3.51%
Granite Point Mortgage Trust	-87.21%	0.95%	0.27%

Institutional and Insider Ownership

51.6% of Granite Point Mortgage Trust shares are owned by institutional investors. 2.3% of Granite Point Mortgage Trust shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Lineage and Granite Point Mortgage Trust”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lineage	$5.34 billion	2.68	-$77.40 million	N/A	N/A
Granite Point Mortgage Trust	$263.73 million	0.64	-$63.20 million	($3.86)	-0.87

Granite Point Mortgage Trust has lower revenue, but higher earnings than Lineage.

About Lineage

Lineage, Inc. is the world’s largest global temperature-controlled warehouse REIT with a network of over 480 strategically located facilities totaling over 84.1 million square feet and 3.0 billion cubic feet of capacity across countries in North America, Europe, and Asia-Pacific. Coupling end-to-end supply chain solutions and technology, Lineage partners with some of the world’s largest food and beverage producers, retailers, and distributors to help increase distribution efficiency, advance sustainability, minimize supply chain waste, and, most importantly, feed the world.

About Granite Point Mortgage Trust

Granite Point Mortgage Trust Inc., a real estate investment trust, originates, invests in, and manages senior floating-rate commercial mortgage loans, and other debt and debt-like commercial real estate investments in the United States. The company provides intermediate-term bridge or transitional financing for various purposes, including acquisitions, recapitalizations, and refinancing, as well as a range of business plans, including lease-up, renovation, repositioning, and repurposing of the commercial property. 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 founded in 2015 and is headquartered in New York, New York.