Head-To-Head Analysis: Gaming and Leisure Properties (NASDAQ:GLPI) vs. Alexander’s (NYSE:ALX)

Gaming and Leisure Properties (NASDAQ:GLPI) and Alexander’s (NYSE:ALX) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their dividends, analyst recommendations, valuation, earnings, risk, institutional ownership and profitability.

Institutional and Insider Ownership

91.1% of Gaming and Leisure Properties shares are owned by institutional investors. Comparatively, 32.0% of Alexander’s shares are owned by institutional investors. 4.4% of Gaming and Leisure Properties shares are owned by insiders. Comparatively, 26.3% of Alexander’s shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility and Risk

Gaming and Leisure Properties has a beta of 1, suggesting that its share price has a similar volatility profile to the S&P 500.Comparatively, Alexander’s has a beta of 0.83, suggesting that its share price is 17% less volatile than the S&P 500.

Valuation & Earnings

This table compares Gaming and Leisure Properties and Alexander’s”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gaming and Leisure Properties	$1.53 billion	9.13	$734.28 million	$2.87	17.72
Alexander’s	$226.37 million	4.95	$43.44 million	$8.46	25.95

Gaming and Leisure Properties has higher revenue and earnings than Alexander’s. Gaming and Leisure Properties is trading at a lower price-to-earnings ratio than Alexander’s, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Gaming and Leisure Properties and Alexander’s, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gaming and Leisure Properties	0	5	9	0	2.64
Alexander’s	1	0	0	0	1.00

Gaming and Leisure Properties currently has a consensus target price of $53.96, indicating a potential upside of 6.08%. Alexander’s has a consensus target price of $125.00, indicating a potential downside of 43.06%. Given Gaming and Leisure Properties’ stronger consensus rating and higher possible upside, analysts clearly believe Gaming and Leisure Properties is more favorable than Alexander’s.

Profitability

This table compares Gaming and Leisure Properties and Alexander’s’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gaming and Leisure Properties	51.65%	17.41%	6.55%
Alexander’s	19.19%	21.45%	3.12%

Dividends

Gaming and Leisure Properties pays an annual dividend of $3.04 per share and has a dividend yield of 6.0%. Alexander’s pays an annual dividend of $18.00 per share and has a dividend yield of 8.2%. Gaming and Leisure Properties pays out 105.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Alexander’s pays out 212.8% 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

Gaming and Leisure Properties beats Alexander’s on 11 of the 16 factors compared between the two stocks.

About Gaming and Leisure Properties

Gaming & Leisure Properties, Inc. engages in the provision of acquiring, financing, and owning real estate property to be leased to gaming operators in triple-net lease arrangements. The company was founded on February 13, 2013 and is headquartered in Wyomissing, PA.

About Alexander’s

Alexander’s, Inc. (NYSE: ALX) is a real estate investment trust (REIT), incorporated in Delaware, engaged in leasing, managing, developing and redeveloping its properties. All references to we, us, our, Company and Alexander’s refer to Alexander’s, Inc. and its consolidated subsidiaries. We are managed by, and our properties are leased and developed by, Vornado Realty Trust (Vornado) (NYSE: VNO). We have five properties in New York City.