Reviewing EPR Properties (NYSE:EPR) & Equinix (NASDAQ:EQIX)

EPR Properties (NYSE:EPR) and Equinix (NASDAQ:EQIX) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, institutional ownership, risk and dividends.

Valuation and Earnings

This table compares EPR Properties and Equinix”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EPR Properties	$649.20 million	7.17	$146.07 million	$1.63	37.54
Equinix	$8.85 billion	8.41	$815.00 million	$9.62	79.02

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

Volatility & Risk

EPR Properties has a beta of 1.27, suggesting that its stock price is 27% more volatile than the S&P 500. Comparatively, Equinix has a beta of 0.93, suggesting that its stock price is 7% less volatile than the S&P 500.

Insider & Institutional Ownership

74.7% of EPR Properties shares are held by institutional investors. Comparatively, 94.9% of Equinix shares are held by institutional investors. 2.3% of EPR Properties shares are held by company insiders. Comparatively, 0.3% of Equinix shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares EPR Properties and Equinix’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EPR Properties	21.13%	6.30%	2.65%
Equinix	10.48%	6.96%	2.66%

Analyst Recommendations

This is a summary of current recommendations for EPR Properties and Equinix, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EPR Properties	1	3	3	1	2.50
Equinix	0	4	20	5	3.03

EPR Properties currently has a consensus price target of $56.43, indicating a potential downside of 7.79%. Equinix has a consensus price target of $957.05, indicating a potential upside of 25.89%. Given Equinix’s stronger consensus rating and higher possible upside, analysts clearly believe Equinix is more favorable than EPR Properties.

Dividends

EPR Properties pays an annual dividend of $3.54 per share and has a dividend yield of 5.8%. Equinix pays an annual dividend of $18.76 per share and has a dividend yield of 2.5%. EPR Properties pays out 217.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Equinix pays out 195.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. EPR Properties has increased its dividend for 1 consecutive years and Equinix has increased its dividend for 10 consecutive years.

Summary

Equinix beats EPR Properties on 14 of the 18 factors compared between the two stocks.

About EPR Properties

EPR Properties (NYSE:EPR) is the leading diversified experiential net lease real estate investment trust (REIT), specializing in select enduring experiential properties in the real estate industry. We focus on real estate venues that create value by facilitating out of home leisure and recreation experiences where consumers choose to spend their discretionary time and money. We have total assets of approximately $5.7 billion (after accumulated depreciation of approximately $1.4 billion) across 44 states. We adhere to rigorous underwriting and investing criteria centered on key industry, property and tenant level cash flow standards. We believe our focused approach provides a competitive advantage and the potential for stable and attractive returns.

About Equinix

Equinix (Nasdaq: EQIX) is the world's digital infrastructure company . Digital leaders harness Equinix's trusted platform to bring together and interconnect foundational infrastructure at software speed. Equinix enables organizations to access all the right places, partners and possibilities to scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value, while supporting their sustainability goals.