Brookfield (NYSE:BN) vs. FRP (NASDAQ:FRPH) Head to Head Review

Brookfield (NYSE:BN) and FRP (NASDAQ:FRPH) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, dividends, risk, earnings, profitability and valuation.

Risk & Volatility

Brookfield has a beta of 1.55, indicating that its stock price is 55% more volatile than the S&P 500. Comparatively, FRP has a beta of 0.49, indicating that its stock price is 51% less volatile than the S&P 500.

Earnings & Valuation

This table compares Brookfield and FRP”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brookfield	$75.10 billion	1.48	$1.31 billion	$0.49	92.26
FRP	$42.85 million	9.58	$3.33 million	$0.17	125.94

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

Profitability

This table compares Brookfield and FRP’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brookfield	1.74%	3.90%	1.22%
FRP	2.16%	0.29%	0.18%

Insider & Institutional Ownership

61.6% of Brookfield shares are held by institutional investors. Comparatively, 45.4% of FRP shares are held by institutional investors. 11.0% of Brookfield shares are held by company insiders. Comparatively, 22.8% of FRP shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and price targets for Brookfield and FRP, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brookfield	0	2	10	1	2.92
FRP	1	0	0	0	1.00

Brookfield currently has a consensus target price of $56.39, suggesting a potential upside of 24.74%. Given Brookfield’s stronger consensus rating and higher possible upside, research analysts clearly believe Brookfield is more favorable than FRP.

Summary

Brookfield beats FRP on 11 of the 15 factors compared between the two stocks.

About Brookfield

Brookfield Corporation is an alternative asset manager and REIT/Real Estate Investment Manager firm focuses on real estate, renewable power, infrastructure and venture capital and private equity assets. It manages a range of public and private investment products and services for institutional and retail clients. It typically makes investments in sizeable, premier assets across geographies and asset classes. It invests both its own capital as well as capital from other investors. Within private equity and venture capital, it focuses on acquisition, early ventures, control buyouts and financially distressed, buyouts and corporate carve-outs, recapitalizations, convertible, senior and mezzanine financings, operational and capital structure restructuring, strategic re-direction, turnaround, and under-performing midmarket companies. It invests in both public debt and equity markets. It invests in private equity sectors with focus on Business Services include infrastructure, healthcare, road fuel distribution and marketing, construction and real estate; Industrials include manufacturers of automotive batteries, graphite electrodes, returnable plastic packaging, and sanitation management and development; and Residential/ infrastructure services. It targets companies which likely possess underlying real assets, primarily in sectors such as industrial products, building materials, metals, mining, homebuilding, oil and gas, paper and packaging, manufacturing and forest product sectors. It invests globally with focus on North America including Brazil, the United States, Canada; Europe; and Australia; and Asia-Pacific. The firm considers equity investments in the range of $2 million to $500 million. It has a four-year investment period and a 10-year term with two one-year extensions. The firm prefers to take minority stake and majority stake. Brookfield Corporation was founded in 1997 and based in Toronto, Canada with additional offices across Northern America; South America; Europe; Middle East and Asia.

About FRP

FRP Holdings, Inc. engages in the real estate business in the United States. It operates through four segments: Industrial and Commercial, Mining Royalty Lands, Development, and Multifamily. The Industrial and Commercial segment owns, leases, and manages commercial properties. The Mining Royalty Lands segment leases and manages mining royalties owned by the company primarily in Florida, Georgia, and Virginia. The Development segment owns and monitors the use of parcels of land that are in various stages of development; and acquires, constructs, and develops primarily for apartment, retail, warehouse, and office buildings. The Multifamily segment owns, leases, and manages buildings through joint ventures. The company was incorporated in 2014 and is based in Jacksonville, Florida.