Greystone Housing Impact Investors (NYSE:GHI) vs. Walker & Dunlop (NYSE:WD) Financial Contrast

Walker & Dunlop (NYSE:WD) and Greystone Housing Impact Investors (NYSE:GHI) are both finance companies, but which is the better business? We will compare the two companies based on the strength of their dividends, analyst recommendations, profitability, earnings, risk, institutional ownership and valuation.

Profitability

This table compares Walker & Dunlop and Greystone Housing Impact Investors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Walker & Dunlop	8.91%	9.81%	4.11%
Greystone Housing Impact Investors	17.55%	2.46%	0.55%

Earnings and Valuation

This table compares Walker & Dunlop and Greystone Housing Impact Investors”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Walker & Dunlop	$1.07 billion	3.00	$107.36 million	$2.80	33.80
Greystone Housing Impact Investors	$36.57 million	7.15	$54.01 million	$0.62	18.11

Walker & Dunlop has higher revenue and earnings than Greystone Housing Impact Investors. Greystone Housing Impact Investors is trading at a lower price-to-earnings ratio than Walker & Dunlop, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and target prices for Walker & Dunlop and Greystone Housing Impact Investors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Walker & Dunlop	0	2	0	1	2.67
Greystone Housing Impact Investors	0	0	4	0	3.00

Walker & Dunlop currently has a consensus price target of $111.00, suggesting a potential upside of 17.29%. Greystone Housing Impact Investors has a consensus price target of $17.38, suggesting a potential upside of 54.72%. Given Greystone Housing Impact Investors’ stronger consensus rating and higher possible upside, analysts clearly believe Greystone Housing Impact Investors is more favorable than Walker & Dunlop.

Insider and Institutional Ownership

81.0% of Walker & Dunlop shares are held by institutional investors. Comparatively, 9.0% of Greystone Housing Impact Investors shares are held by institutional investors. 5.5% of Walker & Dunlop shares are held by company insiders. Comparatively, 1.3% of Greystone Housing Impact Investors shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Risk & Volatility

Walker & Dunlop has a beta of 1.55, meaning that its share price is 55% more volatile than the S&P 500. Comparatively, Greystone Housing Impact Investors has a beta of 0.7, meaning that its share price is 30% less volatile than the S&P 500.

Dividends

Walker & Dunlop pays an annual dividend of $2.60 per share and has a dividend yield of 2.7%. Greystone Housing Impact Investors pays an annual dividend of $1.48 per share and has a dividend yield of 13.2%. Walker & Dunlop pays out 92.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Greystone Housing Impact Investors pays out 238.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

Walker & Dunlop beats Greystone Housing Impact Investors on 11 of the 17 factors compared between the two stocks.

About Walker & Dunlop

Walker & Dunlop, Inc., through its subsidiaries, originates, sells, and services a range of multifamily and other commercial real estate financing products and services for owners and developers of real estate in the United States. It operates through three segments: Capital Markets, Servicing & Asset Management, and Corporate. The company offers first mortgage, second trust, supplemental, construction, mezzanine, preferred equity, and small-balance loans. It also provides finance for multifamily, manufactured housing communities, student housing, affordable housing, and senior housing properties under the Fannie Mae's DUS program; and construction and permanent loans to developers and owners of multifamily housing, affordable housing, senior housing, and healthcare facilities. In addition, the company acts as a debt broker to work with life insurance companies, banks, and other institutional lenders to find debt and/or equity solution for the borrowers' needs; and offers property sales brokerage services to owners and developers of multifamily properties, and commercial real estate and multifamily property appraisals for various investors. Further, it provides multifamily appraisal and valuation services; and real estate-related investment banking and advisory services, including housing market research. Additionally, the company offers servicing and asset-managing the portfolio of loans; originates loans through its principal lending and investing activities; and manages third-party capital invested in tax credit equity funds focused on the LIHTC sector and other commercial real estate sectors. Walker & Dunlop, Inc. was founded in 1937 and is headquartered in Bethesda, Maryland.

About Greystone Housing Impact Investors

Greystone Housing Impact Investors LP acquires, holds, sells, and deals in a portfolio of mortgage revenue bonds (MRBs) that are issued to provide construction and/or permanent financing for multifamily, student, and senior citizen housing; skilled nursing properties; and commercial properties in the United States. The company operates in four segments: Affordable Multifamily MRB Investments; Seniors and Skilled Nursing MRB Investments; MF Properties; Market-Rate Joint Venture Investments. It also invests in governmental issuer loans. The company was formerly known as America First Multifamily Investors, L.P. and changed its name to Greystone Housing Impact Investors LP in December 2022. Greystone Housing Impact Investors LP was incorporated in 1998 and is based in Omaha, Nebraska.