AFC Gamma (NASDAQ:AFCG) vs. Corporación Inmobiliaria Vesta (NYSE:VTMX) Financial Contrast

AFC Gamma (NASDAQ:AFCG) and Corporación Inmobiliaria Vesta (NYSE:VTMX) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, earnings, profitability, institutional ownership, dividends, analyst recommendations and valuation.

Profitability

This table compares AFC Gamma and Corporación Inmobiliaria Vesta’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AFC Gamma	13.69%	12.93%	8.42%
Corporación Inmobiliaria Vesta	88.52%	8.52%	5.67%

Valuation & Earnings

This table compares AFC Gamma and Corporación Inmobiliaria Vesta”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AFC Gamma	$64.18 million	2.71	$20.95 million	$0.40	19.78
Corporación Inmobiliaria Vesta	$239.20 million	88.32	$316.64 million	$2.34	10.45

Corporación Inmobiliaria Vesta has higher revenue and earnings than AFC Gamma. Corporación Inmobiliaria Vesta is trading at a lower price-to-earnings ratio than AFC Gamma, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent recommendations for AFC Gamma and Corporación Inmobiliaria Vesta, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AFC Gamma	0	2	2	1	2.80
Corporación Inmobiliaria Vesta	0	1	1	0	2.50

AFC Gamma currently has a consensus price target of $11.67, suggesting a potential upside of 47.49%. Corporación Inmobiliaria Vesta has a consensus price target of $33.50, suggesting a potential upside of 36.99%. Given AFC Gamma’s stronger consensus rating and higher probable upside, analysts plainly believe AFC Gamma is more favorable than Corporación Inmobiliaria Vesta.

Institutional & Insider Ownership

26.5% of AFC Gamma shares are owned by institutional investors. Comparatively, 6.6% of Corporación Inmobiliaria Vesta shares are owned by institutional investors. 26.2% of AFC Gamma shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Risk & Volatility

AFC Gamma has a beta of 1.05, suggesting that its share price is 5% more volatile than the S&P 500. Comparatively, Corporación Inmobiliaria Vesta has a beta of 0.95, suggesting that its share price is 5% less volatile than the S&P 500.

Dividends

AFC Gamma pays an annual dividend of $1.32 per share and has a dividend yield of 16.7%. Corporación Inmobiliaria Vesta pays an annual dividend of $0.16 per share and has a dividend yield of 0.7%. AFC Gamma pays out 330.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Corporación Inmobiliaria Vesta pays out 6.8% of its earnings in the form of a dividend.

Summary

AFC Gamma beats Corporación Inmobiliaria Vesta on 11 of the 17 factors compared between the two stocks.

About AFC Gamma

AFC Gamma, Inc. originates, structures, underwrites, and invests in senior secured loans, and other various commercial real estate loans and debt securities for established companies operating in the cannabis industry. It primarily originates loans structured as senior loans secured by real estate, equipment, and licenses and/or other assets of the loan parties to the extent permitted by applicable laws and the regulations governing such loan parties. The company has elected and qualified to be taxed as a real estate investment trust for the United States federal income tax purposes under the Internal Revenue Code of 1986. AFC Gamma, Inc. was incorporated in 2020 and is based in West Palm Beach, Florida.

About Corporación Inmobiliaria Vesta

Corporación Inmobiliaria Vesta, S.A.B. de C.V., together with its subsidiaries, acquires, develops, manages, operates, and leases industrial buildings and distribution facilities in Mexico. The company was incorporated in 1998 and is headquartered in Mexico City, Mexico.