Head-To-Head Review: Curbline Properties (NYSE:CURB) vs. Tanger (NYSE:SKT)

Tanger (NYSE:SKT) and Curbline Properties (NYSE:CURB) are both mid-cap finance companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, risk, dividends, analyst recommendations, institutional ownership, profitability and earnings.

Institutional & Insider Ownership

85.2% of Tanger shares are held by institutional investors. 5.7% of Tanger shares are held by company insiders. Comparatively, 8.6% of Curbline Properties shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Tanger and Curbline Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tanger	19.15%	15.75%	4.33%
Curbline Properties	25.51%	2.19%	1.94%

Earnings & Valuation

This table compares Tanger and Curbline Properties”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tanger	$526.06 million	7.05	$98.60 million	$0.94	34.27
Curbline Properties	$163.67 million	15.22	$10.26 million	$0.40	59.11

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

Dividends

Tanger pays an annual dividend of $1.17 per share and has a dividend yield of 3.6%. Curbline Properties pays an annual dividend of $0.64 per share and has a dividend yield of 2.7%. Tanger pays out 124.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Curbline Properties pays out 160.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Tanger has raised its dividend for 4 consecutive years. Tanger is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Volatility and Risk

Tanger has a beta of 1.06, suggesting that its stock price is 6% more volatile than the S&P 500. Comparatively, Curbline Properties has a beta of 0.45, suggesting that its stock price is 55% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Tanger and Curbline Properties, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tanger	0	6	2	1	2.44
Curbline Properties	0	4	4	0	2.50

Tanger presently has a consensus price target of $36.13, indicating a potential upside of 12.14%. Curbline Properties has a consensus price target of $26.75, indicating a potential upside of 13.14%. Given Curbline Properties’ stronger consensus rating and higher possible upside, analysts plainly believe Curbline Properties is more favorable than Tanger.

Summary

Tanger beats Curbline Properties on 11 of the 18 factors compared between the two stocks.

About Tanger

Tanger Inc. (NYSE: SKT) is a leading owner and operator of outlet and open-air retail shopping destinations, with over 43 years of expertise in the retail and outlet shopping industries. Tanger’s portfolio of 38 outlet centers, one adjacent managed center and one open-air lifestyle center comprises over 15 million square feet well positioned across tourist destinations and vibrant markets in 20 U.S. states and Canada. A publicly traded REIT since 1993, Tanger continues to innovate the retail experience for its shoppers with over 3,000 stores operated by more than 700 different brand name companies. Tanger is furnishing a Form 8-K with the Securities and Exchange Commission (“SEC”) that includes a supplemental information package for the quarter and year ended December 31, 2023.

About Curbline Properties

Curbline Properties Corp. is a real estate investment trust which is an owner and manager of convenience shopping centers positioned on the curbline of well-trafficked intersections and major vehicular corridors in suburban. Curbline Properties Corp. is based in NEW YORK.