LuxUrban Hotels (NASDAQ:LUXH) versus reAlpha Tech (NASDAQ:AIRE) Head to Head Survey

reAlpha Tech (NASDAQ:AIRE) and LuxUrban Hotels (NASDAQ:LUXH) are both small-cap business services companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, earnings, profitability, dividends, analyst recommendations, risk and institutional ownership.

Profitability

This table compares reAlpha Tech and LuxUrban Hotels’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
reAlpha Tech	2,124.92%	26.80%	20.84%
LuxUrban Hotels	-69.25%	-11.23%	-0.28%

Analyst Ratings

This is a breakdown of current recommendations for reAlpha Tech and LuxUrban Hotels, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
reAlpha Tech	0	0	0	0	N/A
LuxUrban Hotels	0	0	2	0	3.00

LuxUrban Hotels has a consensus target price of $7.50, indicating a potential upside of 762.07%. Given LuxUrban Hotels’ higher probable upside, analysts clearly believe LuxUrban Hotels is more favorable than reAlpha Tech.

Insider and Institutional Ownership

1.0% of reAlpha Tech shares are owned by institutional investors. Comparatively, 28.5% of LuxUrban Hotels shares are owned by institutional investors. 72.0% of LuxUrban Hotels shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Valuation & Earnings

This table compares reAlpha Tech and LuxUrban Hotels’ gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
reAlpha Tech	$310,000.00	85.96	N/A	N/A	N/A
LuxUrban Hotels	$113.40 million	0.32	-$78.52 million	($2.13)	-0.41

reAlpha Tech has higher earnings, but lower revenue than LuxUrban Hotels.

Summary

LuxUrban Hotels beats reAlpha Tech on 5 of the 9 factors compared between the two stocks.

About reAlpha Tech

reAlpha Tech Corp., a real estate technology company, focuses on developing, utilizing, and commercializing real-estate focused artificial intelligence (AI). The company operates in two segments, Platform Services and Rental Business. The Platform Services segment offers and develops AI-based products and services to customers in the real-estate industry. The Rental Business segment focuses on purchasing properties for syndication, which is powered by its platform services technologies. The company was formerly known as reAlpha Asset Management Inc. and changed its name to reAlpha Tech Corp. in March 2023. reAlpha Tech Corp. was incorporated in 2021 and is based in Dublin, Ohio.

About LuxUrban Hotels

LuxUrban Hotels Inc. utilizes an asset light business model to lease entire hotels on a long-term basis and rent out hotel rooms in the properties it leases. It manages a portfolio of hotel rooms in New York, Washington D.C., Miami Beach, New Orleans, and Los Angeles. The company was formerly known as CorpHousing Group Inc. and changed its name to LuxUrban Hotels Inc. in November 2022. The company was incorporated in 2017 and is headquartered in Miami, Florida.