Contrasting BXP (NYSE:BXP) and OUTFRONT Media (NYSE:OUT)

OUTFRONT Media (NYSE:OUT) and BXP (NYSE:BXP) are both mid-cap finance companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, dividends, valuation, institutional ownership, profitability and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and target prices for OUTFRONT Media and BXP, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OUTFRONT Media	0	1	6	0	2.86
BXP	0	11	10	0	2.48

OUTFRONT Media currently has a consensus price target of $27.86, suggesting a potential upside of 8.46%. BXP has a consensus price target of $75.00, suggesting a potential upside of 44.81%. Given BXP’s higher probable upside, analysts plainly believe BXP is more favorable than OUTFRONT Media.

Insider and Institutional Ownership

98.7% of BXP shares are held by institutional investors. 0.5% of OUTFRONT Media shares are held by insiders. Comparatively, 1.4% of BXP shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Dividends

OUTFRONT Media pays an annual dividend of $1.20 per share and has a dividend yield of 4.7%. BXP pays an annual dividend of $2.80 per share and has a dividend yield of 5.4%. OUTFRONT Media pays out 150.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. BXP pays out 160.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Volatility and Risk

OUTFRONT Media has a beta of 1.51, meaning that its stock price is 51% more volatile than the S&P 500. Comparatively, BXP has a beta of 1.01, meaning that its stock price is 1% more volatile than the S&P 500.

Profitability

This table compares OUTFRONT Media and BXP’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OUTFRONT Media	8.03%	24.86%	2.83%
BXP	7.95%	3.59%	1.07%

Valuation and Earnings

This table compares OUTFRONT Media and BXP”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OUTFRONT Media	$1.83 billion	2.47	$147.00 million	$0.80	32.11
BXP	$3.48 billion	2.36	$276.80 million	$1.74	29.77

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

About OUTFRONT Media

OUTFRONT Media, Inc. leases advertising space on out-of-home advertising structures and sites. Its inventory consists of billboard displays, which are primarily located on the most heavily traveled highways & roadways, and transit advertising displays operated under exclusive multi-year contracts with municipalities in large cities across the U.S. and Canada. It operates through the U.S. Media and other segments. The U.S. Media segment includes U.S. Billboard and Transit. The company was founded in 1938 and is headquartered in New York, NY.

About BXP

Boston Properties, Inc. (NYSE: BXP) (BXP or the Company) is the largest publicly traded developer, owner, and manager of premier workplaces in the United States, concentrated in six dynamic gateway markets – Boston, Los Angeles, New York, San Francisco, Seattle, and Washington, DC. BXP has delivered places that power progress for our clients and communities for more than 50 years. BXP is a fully integrated real estate company, organized as a real estate investment trust (REIT). Including properties owned by joint ventures, BXP's portfolio totals 53.3 million square feet and 188 properties, including 10 properties under construction/redevelopment. BXP's properties include 167 office properties, 14 retail properties (including two retail properties under construction/redevelopment), six residential properties (including one residential property under construction) and one hotel. BXP is well-known for its inhouse building management expertise and responsiveness to clients' needs. BXP holds a superior track record of developing premium Central Business District (CBD) office buildings, successful mixed-use complexes, suburban office centers and build-to-suit projects for a diverse array of creditworthy clients. BXP actively works to promote its growth and operations in a sustainable and responsible manner. BXP has earned a twelfth consecutive GRESB Green Star recognition and the highest GRESB 5-star Rating. BXP, an S&P 500 company, was founded in 1970 by Mortimer B. Zuckerman and Edward H. Linde and became a public company in 1997.