Critical Review: InvenTrust Properties (NYSE:IVT) and Generation Income Properties (NASDAQ:GIPR)

Generation Income Properties (NASDAQ:GIPRGet Free Report) and InvenTrust Properties (NYSE:IVTGet Free Report) are both small-cap finance companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Dividends

Generation Income Properties pays an annual dividend of $0.46 per share and has a dividend yield of 23.4%. InvenTrust Properties pays an annual dividend of $0.90 per share and has a dividend yield of 3.2%. Generation Income Properties pays out -17.9% of its earnings in the form of a dividend. InvenTrust Properties pays out 900.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Generation Income Properties has raised its dividend for 1 consecutive years. Generation Income Properties is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Generation Income Properties and InvenTrust Properties, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Generation Income Properties 0 1 0 0 2.00
InvenTrust Properties 0 0 1 0 3.00

Generation Income Properties presently has a consensus target price of $5.00, indicating a potential upside of 153.81%. InvenTrust Properties has a consensus target price of $27.00, indicating a potential downside of 3.30%. Given Generation Income Properties’ higher possible upside, research analysts plainly believe Generation Income Properties is more favorable than InvenTrust Properties.

Volatility & Risk

Generation Income Properties has a beta of -0.1, indicating that its stock price is 110% less volatile than the S&P 500. Comparatively, InvenTrust Properties has a beta of 0.99, indicating that its stock price is 1% less volatile than the S&P 500.

Institutional and Insider Ownership

20.7% of Generation Income Properties shares are held by institutional investors. Comparatively, 61.7% of InvenTrust Properties shares are held by institutional investors. 11.5% of Generation Income Properties shares are held by insiders. Comparatively, 0.4% of InvenTrust Properties shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Generation Income Properties and InvenTrust Properties’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Generation Income Properties -82.77% -92.11% -7.48%
InvenTrust Properties 2.46% 0.42% 0.26%

Valuation and Earnings

This table compares Generation Income Properties and InvenTrust Properties’ revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Generation Income Properties $8.54 million 1.25 -$5.72 million ($2.57) -0.77
InvenTrust Properties $263.01 million 7.21 $5.27 million $0.10 279.20

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

Summary

InvenTrust Properties beats Generation Income Properties on 12 of the 17 factors compared between the two stocks.

About Generation Income Properties

(Get Free Report)

Generation Income Properties, Inc., located in Tampa, Florida, is an internally managed real estate investment trust formed to acquire and own, directly and jointly, real estate investments focused on retail, office, and industrial net lease properties in densely populated submarkets.

About InvenTrust Properties

(Get Free Report)

InvenTrust Properties Corp. (the "Company," "IVT," or "InvenTrust") is a premier Sun Belt, multi-tenant essential retail REIT that owns, leases, redevelops, acquires and manages grocery-anchored neighborhood and community centers as well as high-quality power centers that often have a grocery component. Management pursues the Company's business strategy by acquiring retail properties in Sun Belt markets, opportunistically disposing of retail properties, maintaining a flexible capital structure, and enhancing environmental, social and governance ("ESG") practices and standards. A trusted, local operator bringing real estate expertise to its tenant relationships, IVT has built a strong reputation with market participants across its portfolio. IVT is committed to leadership in ESG practices and has been a Global Real Estate Sustainability Benchmark ("GRESB") member since 2013.

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