Comparing Ventas (NYSE:VTR) and Peakstone Realty Trust (NYSE:PKST)

Peakstone Realty Trust (NYSE:PKST) and Ventas (NYSE:VTR) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, profitability, institutional ownership, analyst recommendations, risk, earnings and dividends.

Insider and Institutional Ownership

39.0% of Peakstone Realty Trust shares are held by institutional investors. Comparatively, 94.2% of Ventas shares are held by institutional investors. 0.5% of Peakstone Realty Trust shares are held by insiders. Comparatively, 1.0% of Ventas shares are held by 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.

Profitability

This table compares Peakstone Realty Trust and Ventas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Peakstone Realty Trust	-18.26%	-3.61%	-1.59%
Ventas	-1.38%	-0.69%	-0.27%

Dividends

Peakstone Realty Trust pays an annual dividend of $0.90 per share and has a dividend yield of 8.0%. Ventas pays an annual dividend of $1.80 per share and has a dividend yield of 3.1%. Peakstone Realty Trust pays out -76.3% of its earnings in the form of a dividend. Ventas pays out -1,058.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Valuation & Earnings

This table compares Peakstone Realty Trust and Ventas”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Peakstone Realty Trust	$233.20 million	1.75	-$550.58 million	($1.18)	-9.50
Ventas	$4.80 billion	5.15	-$40.97 million	($0.17)	-347.06

Ventas has higher revenue and earnings than Peakstone Realty Trust. Ventas is trading at a lower price-to-earnings ratio than Peakstone Realty Trust, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Peakstone Realty Trust and Ventas, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Peakstone Realty Trust	0	1	0	0	2.00
Ventas	0	2	7	1	2.90

Peakstone Realty Trust currently has a consensus price target of $15.00, indicating a potential upside of 33.81%. Ventas has a consensus price target of $65.67, indicating a potential upside of 11.30%. Given Peakstone Realty Trust’s higher probable upside, research analysts clearly believe Peakstone Realty Trust is more favorable than Ventas.

Risk & Volatility

Peakstone Realty Trust has a beta of 2.51, suggesting that its share price is 151% more volatile than the S&P 500. Comparatively, Ventas has a beta of 1.36, suggesting that its share price is 36% more volatile than the S&P 500.

Summary

Ventas beats Peakstone Realty Trust on 13 of the 17 factors compared between the two stocks.

About Peakstone Realty Trust

Peakstone Realty Trust (NYSE: PKST) is an internally managed, real estate investment trust (REIT) that owns and operates a high-quality, newer-vintage portfolio of predominantly single-tenant industrial and office properties. These assets are generally leased to creditworthy tenants under long-term net lease agreements with contractual rent escalations. As of March 31, 2023, Peakstone's wholly-owned portfolio consists of 19 million square feet across 24 states in primarily high-growth, strategic coastal and sunbelt markets.

About Ventas

Ventas Inc. (NYSE: VTR) is a leading S&P 500 real estate investment trust focused on delivering strong, sustainable shareholder returns by enabling exceptional environments that benefit a large and growing aging population. The Company's growth is fueled by its senior housing communities, which provide valuable services to residents and enable them to thrive in supported environments. Ventas leverages its unmatched operational expertise, data-driven insights from its Ventas Operational InsightsTM platform, extensive relationships and strong financial position to achieve its goal of delivering outsized performance across approximately 1,400 properties. The Ventas portfolio is composed of senior housing communities, outpatient medical buildings, research centers and healthcare facilities in North America and the United Kingdom. The Company benefits from a seasoned team of talented professionals who share a commitment to excellence, integrity and a common purpose of helping people live longer, healthier, happier lives.