Head-To-Head Comparison: Clipper Realty (NYSE:CLPR) & Xenia Hotels & Resorts (NYSE:XHR)

Clipper Realty (NYSE:CLPR) and Xenia Hotels & Resorts (NYSE:XHR) are both small-cap finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, risk, institutional ownership, earnings, profitability, valuation and analyst recommendations.

Risk & Volatility

Clipper Realty has a beta of 0.98, meaning that its stock price is 2% less volatile than the S&P 500. Comparatively, Xenia Hotels & Resorts has a beta of 1.14, meaning that its stock price is 14% more volatile than the S&P 500.

Institutional & Insider Ownership

37.6% of Clipper Realty shares are owned by institutional investors. Comparatively, 92.4% of Xenia Hotels & Resorts shares are owned by institutional investors. 54.6% of Clipper Realty shares are owned by insiders. Comparatively, 4.4% of Xenia Hotels & Resorts shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Dividends

Clipper Realty pays an annual dividend of $0.38 per share and has a dividend yield of 13.0%. Xenia Hotels & Resorts pays an annual dividend of $0.56 per share and has a dividend yield of 2.7%. Clipper Realty pays out -46.9% of its earnings in the form of a dividend. Xenia Hotels & Resorts pays out 80.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Xenia Hotels & Resorts has increased its dividend for 3 consecutive years. Clipper Realty is clearly the better dividend stock, given its higher yield and lower payout ratio.

Analyst Ratings

This is a breakdown of current ratings and price targets for Clipper Realty and Xenia Hotels & Resorts, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Clipper Realty	0	1	0	0	2.00
Xenia Hotels & Resorts	0	0	4	0	3.00

Xenia Hotels & Resorts has a consensus price target of $19.25, suggesting a potential downside of 7.12%. Given Xenia Hotels & Resorts’ stronger consensus rating and higher possible upside, analysts clearly believe Xenia Hotels & Resorts is more favorable than Clipper Realty.

Earnings and Valuation

This table compares Clipper Realty and Xenia Hotels & Resorts”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Clipper Realty	$153.20 million	0.31	-$19.90 million	($0.81)	-3.61
Xenia Hotels & Resorts	$1.08 billion	1.77	$63.09 million	$0.70	29.61

Xenia Hotels & Resorts has higher revenue and earnings than Clipper Realty. Clipper Realty is trading at a lower price-to-earnings ratio than Xenia Hotels & Resorts, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Clipper Realty and Xenia Hotels & Resorts’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Clipper Realty	-7.10%	N/A	-0.87%
Xenia Hotels & Resorts	6.20%	5.53%	2.38%

Summary

Xenia Hotels & Resorts beats Clipper Realty on 14 of the 17 factors compared between the two stocks.

About Clipper Realty

Clipper Realty Inc. (NYSE: CLPR) is a self-administered and self-managed real estate company that acquires, owns, manages, operates, and repositions multifamily residential and commercial properties in the New York metropolitan area, with a portfolio in Manhattan and Brooklyn.

About Xenia Hotels & Resorts

Xenia Hotels & Resorts, Inc. is a real estate investment trust, which engages in the provision of investment in luxury and upper upscale hotels and resorts. It also owns a diversified portfolio of lodging properties operated by Marriott, Kimpton, Hyatt, Aston, Fairmong, and Loews. The company was founded in 2007 and is headquartered in Orlando, FL.