Analyzing Generation Income Properties (NASDAQ:GIPR) and Blackstone Mortgage Trust (NYSE:BXMT)

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

Analyst Ratings

This is a summary of current ratings for Generation Income Properties and Blackstone Mortgage Trust, as reported 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 presently has a consensus price target of $5.00, indicating a potential upside of 177.78%. Blackstone Mortgage Trust has a consensus price target of $20.08, indicating a potential upside of 10.53%. Given Generation Income Properties’ higher probable upside, equities analysts plainly believe Generation Income Properties is more favorable than Blackstone Mortgage Trust.

Valuation and Earnings

This table compares Generation Income Properties and Blackstone 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
Generation Income Properties	$7.63 million	1.28	-$5.72 million	($2.65)	-0.68
Blackstone Mortgage Trust	$2.04 billion	1.54	$246.55 million	($1.39)	-13.07

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.

Risk and Volatility

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

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%

Insider & Institutional 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 company is poised for long-term growth.

Summary

Blackstone Mortgage Trust beats Generation Income Properties on 11 of the 14 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.