Cyrela Brazil Realty S.A. Empreendimentos e Participações (OTCMKTS:CYRBY) and ACRES Commercial Realty (NYSE:ACR) Financial Review

ACRES Commercial Realty (NYSE:ACR) and Cyrela Brazil Realty S.A. Empreendimentos e Participações (OTCMKTS:CYRBY) are both small-cap finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, dividends, valuation, institutional ownership and profitability.

Earnings & Valuation

This table compares ACRES Commercial Realty and Cyrela Brazil Realty S.A. Empreendimentos e Participações”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ACRES Commercial Realty	$91.13 million	1.58	$22.39 million	$0.84	22.22
Cyrela Brazil Realty S.A. Empreendimentos e Participações	$1.25 billion	1.14	$188.70 million	$0.71	5.25

Cyrela Brazil Realty S.A. Empreendimentos e Participações has higher revenue and earnings than ACRES Commercial Realty. Cyrela Brazil Realty S.A. Empreendimentos e Participações is trading at a lower price-to-earnings ratio than ACRES Commercial Realty, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for ACRES Commercial Realty and Cyrela Brazil Realty S.A. Empreendimentos e Participações, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ACRES Commercial Realty	0	0	1	0	3.00
Cyrela Brazil Realty S.A. Empreendimentos e Participações	0	0	0	0	0.00

ACRES Commercial Realty presently has a consensus price target of $17.50, suggesting a potential downside of 6.22%. Given ACRES Commercial Realty’s stronger consensus rating and higher probable upside, analysts clearly believe ACRES Commercial Realty is more favorable than Cyrela Brazil Realty S.A. Empreendimentos e Participações.

Profitability

This table compares ACRES Commercial Realty and Cyrela Brazil Realty S.A. Empreendimentos e Participações’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ACRES Commercial Realty	25.71%	5.43%	1.15%
Cyrela Brazil Realty S.A. Empreendimentos e Participações	19.37%	15.77%	7.66%

Insider and Institutional Ownership

40.0% of ACRES Commercial Realty shares are held by institutional investors. 4.1% of ACRES Commercial Realty shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

ACRES Commercial Realty has a beta of 2.07, indicating that its share price is 107% more volatile than the S&P 500. Comparatively, Cyrela Brazil Realty S.A. Empreendimentos e Participações has a beta of 1.16, indicating that its share price is 16% more volatile than the S&P 500.

Summary

ACRES Commercial Realty beats Cyrela Brazil Realty S.A. Empreendimentos e Participações on 10 of the 14 factors compared between the two stocks.

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.

About Cyrela Brazil Realty S.A. Empreendimentos e Participações

Cyrela Brazil Realty S.A. Empreendimentos e Participações develops and constructs residential properties in Brazil. It also provides real estate services, such as construction management and technical consultancy services. The company was founded in 1962 and is headquartered in São Paulo, Brazil.