Medical Properties Trust (NYSE:MPT – Get Free Report) and Rithm Property Trust (NYSE:RPT – Get Free Report) are both real estate companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, institutional ownership, valuation, dividends, analyst recommendations, earnings and profitability.
Insider and Institutional Ownership
71.8% of Medical Properties Trust shares are held by institutional investors. Comparatively, 58.6% of Rithm Property Trust shares are held by institutional investors. 1.8% of Medical Properties Trust shares are held by company insiders. Comparatively, 0.3% of Rithm Property Trust shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Valuation and Earnings
This table compares Medical Properties Trust and Rithm Property Trust”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Medical Properties Trust | $972.02 million | 3.27 | -$277.05 million | ($0.21) | -24.67 |
| Rithm Property Trust | $52.80 million | 2.20 | $1.47 million | ($0.29) | -51.62 |
Rithm Property Trust has lower revenue, but higher earnings than Medical Properties Trust. Rithm Property Trust is trading at a lower price-to-earnings ratio than Medical Properties Trust, indicating that it is currently the more affordable of the two stocks.
Analyst Ratings
This is a breakdown of current ratings and recommmendations for Medical Properties Trust and Rithm Property Trust, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Medical Properties Trust | 1 | 0 | 0 | 0 | 1.00 |
| Rithm Property Trust | 1 | 0 | 0 | 0 | 1.00 |
Volatility and Risk
Medical Properties Trust has a beta of 1.41, meaning that its stock price is 41% more volatile than the S&P 500. Comparatively, Rithm Property Trust has a beta of 1.25, meaning that its stock price is 25% more volatile than the S&P 500.
Dividends
Medical Properties Trust pays an annual dividend of $0.36 per share and has a dividend yield of 6.9%. Rithm Property Trust pays an annual dividend of $1.44 per share and has a dividend yield of 9.6%. Medical Properties Trust pays out -171.4% of its earnings in the form of a dividend. Rithm Property Trust pays out -496.6% 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. Rithm Property Trust is clearly the better dividend stock, given its higher yield and lower payout ratio.
Profitability
This table compares Medical Properties Trust and Rithm Property Trust’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Medical Properties Trust | -12.59% | -2.68% | -0.84% |
| Rithm Property Trust | 5.52% | 1.27% | 0.31% |
Summary
Medical Properties Trust beats Rithm Property Trust on 7 of the 13 factors compared between the two stocks.
About Medical Properties Trust
Medical Properties Trust, Inc. is a self-advised real estate investment trust formed to capitalize on the changing trends in healthcare delivery by acquiring and developing net-leased healthcare facilities. MPT’s financing model allows hospitals and other healthcare facilities to unlock the value of their underlying real estate in order to fund facility improvements, technology upgrades, staff additions and new construction. Facilities include acute care hospitals, inpatient rehabilitation hospitals, long-term acute care hospitals, and other medical and surgical facilities.
About Rithm Property Trust
Rithm Property Trust Inc is a real estate investment trust (REIT) externally managed by an affiliate of Rithm Capital Corp. (Rithm). The company focuses on commercial real estate-focused investment, including originating, acquiring and managing portfolios of CMBS, commercial real property, commercial mortgage loans and other CRE investments. It has two reportable operating segments: Residential and Commercial. The majority of the company’s revenue is derived from the Residential segment, which is focused on managing a portfolio that includes residential mortgage assets, including whole mortgage loans, RMBS and beneficial interests.
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