Head to Head Comparison: Orion Office REIT (NYSE:ONL) versus Mackenzie Realty Capital (NASDAQ:MKZR)

Orion Office REIT (NYSE:ONL) and Mackenzie Realty Capital (NASDAQ:MKZR) are both small-cap real estate companies, but which is the superior investment? We will compare the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, dividends and valuation.

Volatility & Risk

Orion Office REIT has a beta of 1.58, suggesting that its share price is 58% more volatile than the S&P 500. Comparatively, Mackenzie Realty Capital has a beta of -0.46, suggesting that its share price is 146% less volatile than the S&P 500.

Insider and Institutional Ownership

79.9% of Orion Office REIT shares are held by institutional investors. 1.6% of Orion Office REIT shares are held by insiders. Comparatively, 6.3% of Mackenzie Realty Capital shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Orion Office REIT and Mackenzie Realty Capital, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Orion Office REIT	1	0	1	0	2.00
Mackenzie Realty Capital	1	0	0	0	1.00

Orion Office REIT currently has a consensus price target of $3.50, suggesting a potential upside of 44.03%. Given Orion Office REIT’s stronger consensus rating and higher probable upside, equities analysts clearly believe Orion Office REIT is more favorable than Mackenzie Realty Capital.

Profitability

This table compares Orion Office REIT and Mackenzie Realty Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Orion Office REIT	-65.66%	-14.85%	-7.95%
Mackenzie Realty Capital	-90.30%	-18.99%	-7.07%

Earnings and Valuation

This table compares Orion Office REIT and Mackenzie Realty Capital”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Orion Office REIT	$147.65 million	0.94	-$139.31 million	($1.69)	-1.44
Mackenzie Realty Capital	$22.06 million	0.14	-$25.92 million	($6.15)	-0.22

Mackenzie Realty Capital has lower revenue, but higher earnings than Orion Office REIT. Orion Office REIT is trading at a lower price-to-earnings ratio than Mackenzie Realty Capital, indicating that it is currently the more affordable of the two stocks.

Summary

Orion Office REIT beats Mackenzie Realty Capital on 10 of the 14 factors compared between the two stocks.

About Orion Office REIT

Orion Office REIT specializes in the ownership, acquisition and management of a diversified portfolio of mission-critical and corporate headquarters office buildings in high-quality suburban markets across the U.S. The portfolio is leased primarily on a single-tenant net lease basis to creditworthy tenants. The company's team of experienced industry leaders employs a proven, cycle-tested investment evaluation framework which serves as the lens through which capital allocation decisions are made for the current portfolio and future acquisitions.

About Mackenzie Realty Capital

MacKenzie Realty Capital Inc. is a REIT which focused on investing in multifamily housing and office real estate properties located principally in the United States. MacKenzie Realty Capital Inc. is based in ORINDA, Calif.