Head to Head Contrast: VICI Properties (NYSE:VICI) and Net Lease Office Properties (NYSE:NLOP)

Net Lease Office Properties (NYSE:NLOP) and VICI Properties (NYSE:VICI) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, profitability, dividends, analyst recommendations, earnings, institutional ownership and valuation.

Risk and Volatility

Net Lease Office Properties has a beta of 0.8, suggesting that its stock price is 20% less volatile than the S&P 500. Comparatively, VICI Properties has a beta of 0.7, suggesting that its stock price is 30% less volatile than the S&P 500.

Valuation and Earnings

This table compares Net Lease Office Properties and VICI Properties”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Net Lease Office Properties	$142.25 million	2.73	-$91.47 million	($12.22)	-2.15
VICI Properties	$3.85 billion	7.96	$2.68 billion	$2.62	10.94

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

Analyst Ratings

This is a summary of current ratings and target prices for Net Lease Office Properties and VICI Properties, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Net Lease Office Properties	1	0	1	0	2.00
VICI Properties	0	6	11	0	2.65

Net Lease Office Properties presently has a consensus price target of $46.00, indicating a potential upside of 75.17%. VICI Properties has a consensus price target of $34.71, indicating a potential upside of 21.17%. Given Net Lease Office Properties’ higher probable upside, equities research analysts plainly believe Net Lease Office Properties is more favorable than VICI Properties.

Insider & Institutional Ownership

58.3% of Net Lease Office Properties shares are held by institutional investors. Comparatively, 97.7% of VICI Properties shares are held by institutional investors. 0.7% of Net Lease Office Properties shares are held by insiders. Comparatively, 0.3% of VICI Properties shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Net Lease Office Properties and VICI Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Net Lease Office Properties	-156.16%	-34.31%	-26.04%
VICI Properties	70.18%	10.17%	6.07%

Summary

VICI Properties beats Net Lease Office Properties on 11 of the 14 factors compared between the two stocks.

About Net Lease Office Properties

Net Lease Office Properties (NYSE: NLOP) is a publicly traded real estate investment trust with a portfolio of 59 high-quality office properties, totaling approximately 8.7 million leasable square feet primarily leased to corporate tenants on a single-tenant net lease basis. The vast majority of the office properties owned by NLOP are located in the U.S., with the balance in Europe. The portfolio consists of 62 corporate tenants operating in a variety of industries, generating annualized based rent (ABR) of approximately $145 million. NLOP's business plan is to focus on realizing value for its shareholders primarily through strategic asset management and disposition of its property portfolio over time. Given WPC's extensive knowledge of the portfolio, NLOP is externally managed and advised by wholly owned affiliates of WPC to successfully execute on its business strategy. Over the course of its 50-year history, WPC has developed significant expertise in the single-tenant office real estate sector, including the operation, leasing, acquisition and development of assets through many market cycles, and has a proven track record of execution.

About VICI Properties

VICI Properties Inc. is an S&P 500 experiential real estate investment trust that owns one of the largest portfolios of market-leading gaming, hospitality and entertainment destinations, including Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas, three of the most iconic entertainment facilities on the Las Vegas Strip. VICI Properties owns 93 experiential assets across a geographically diverse portfolio consisting of 54 gaming properties and 39 other experiential properties across the United States and Canada. The portfolio is comprised of approximately 127 million square feet and features approximately 60,300 hotel rooms and over 500 restaurants, bars, nightclubs and sportsbooks. Its properties are occupied by industry-leading gaming, leisure and hospitality operators under long-term, triple-net lease agreements. VICI Properties has a growing array of real estate and financing partnerships with leading operators in other experiential sectors, including Bowlero, Cabot, Canyon Ranch, Chelsea Piers, Great Wolf Resorts, Homefield, and Kalahari Resorts. VICI Properties also owns four championship golf courses and 33 acres of undeveloped and underdeveloped land adjacent to the Las Vegas Strip. VICI Properties’ goal is to create the highest quality and most productive experiential real estate portfolio through a strategy of partnering with the highest quality experiential place makers and operators.