Comparing Millrose Properties (MRP) and Its Peers

Millrose Properties (NYSE:MRP) is one of 35 publicly-traded companies in the “Specialized REITs” industry, but how does it compare to its peers? We will compare Millrose Properties to similar businesses based on the strength of its analyst recommendations, valuation, risk, institutional ownership, dividends, earnings and profitability.

Valuation & Earnings

This table compares Millrose Properties and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Millrose Properties	$600.46 million	$379.86 million	8.58
Millrose Properties Competitors	$2.59 billion	$596.00 million	31.74

Millrose Properties’ peers have higher revenue and earnings than Millrose Properties. Millrose Properties is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Insider & Institutional Ownership

78.0% of shares of all “Specialized REITs” companies are held by institutional investors. 0.2% of Millrose Properties shares are held by insiders. Comparatively, 7.5% of shares of all “Specialized REITs” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of recent recommendations for Millrose Properties and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Millrose Properties	0	3	0	1	2.50
Millrose Properties Competitors	523	2791	3673	191	2.49

Millrose Properties currently has a consensus target price of $35.00, indicating a potential upside of 35.06%. As a group, “Specialized REITs” companies have a potential upside of 12.45%. Given Millrose Properties’ stronger consensus rating and higher probable upside, equities research analysts clearly believe Millrose Properties is more favorable than its peers.

Dividends

Millrose Properties pays an annual dividend of $3.16 per share and has a dividend yield of 12.2%. Millrose Properties pays out 104.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Specialized REITs” companies pay a dividend yield of 3.3% and pay out 119.5% of their earnings in the form of a dividend. Millrose Properties is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Profitability

This table compares Millrose Properties and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Millrose Properties	63.24%	8.56%	5.13%
Millrose Properties Competitors	-4.53%	-3.15%	2.03%

Risk & Volatility

Millrose Properties has a beta of 0.52, suggesting that its share price is 48% less volatile than the S&P 500. Comparatively, Millrose Properties’ peers have a beta of 0.92, suggesting that their average share price is 8% less volatile than the S&P 500.

Summary

Millrose Properties beats its peers on 8 of the 15 factors compared.

About Millrose Properties

Millrose Properties, Inc. is a residential land development and homesite company. It acquires and develops land into finished lots, which it makes available to homebuilders through lot option arrangements. The company does not build or sell homes to consumers. Millrose operates in the United States and serves homebuilders across multiple residential markets. Its business model is designed to provide builders with access to ready-to-build lots while managing the land acquisition and development process.