Head-To-Head Analysis: Brandywine Realty Trust (NYSE:BDN) and Healthcare Realty Trust (NYSE:HR)

Brandywine Realty Trust (NYSE:BDN) and Healthcare Realty Trust (NYSE:HR) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, dividends, valuation, earnings, profitability, risk and institutional ownership.

Volatility & Risk

Brandywine Realty Trust has a beta of 1.43, indicating that its stock price is 43% more volatile than the S&P 500. Comparatively, Healthcare Realty Trust has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500.

Dividends

Brandywine Realty Trust pays an annual dividend of $0.60 per share and has a dividend yield of 14.2%. Healthcare Realty Trust pays an annual dividend of $0.96 per share and has a dividend yield of 5.6%. Brandywine Realty Trust pays out -31.9% of its earnings in the form of a dividend. Healthcare Realty Trust pays out -83.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Analyst Ratings

This is a summary of recent recommendations for Brandywine Realty Trust and Healthcare Realty Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brandywine Realty Trust	0	1	0	0	2.00
Healthcare Realty Trust	1	4	0	0	1.80

Brandywine Realty Trust presently has a consensus target price of $5.00, suggesting a potential upside of 18.62%. Healthcare Realty Trust has a consensus target price of $16.60, suggesting a potential downside of 3.87%. Given Brandywine Realty Trust’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Brandywine Realty Trust is more favorable than Healthcare Realty Trust.

Valuation & Earnings

This table compares Brandywine Realty Trust and Healthcare Realty Trust”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brandywine Realty Trust	$505.52 million	1.45	-$195.91 million	($1.88)	-2.24
Healthcare Realty Trust	$1.27 billion	4.79	-$654.48 million	($1.15)	-15.02

Brandywine Realty Trust has higher earnings, but lower revenue than Healthcare Realty Trust. Healthcare Realty Trust is trading at a lower price-to-earnings ratio than Brandywine Realty Trust, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Brandywine Realty Trust and Healthcare Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brandywine Realty Trust	-65.33%	-32.12%	-9.31%
Healthcare Realty Trust	-32.95%	-7.70%	-3.78%

Institutional & Insider Ownership

87.3% of Brandywine Realty Trust shares are owned by institutional investors. 3.3% of Brandywine Realty Trust shares are owned by company insiders. Comparatively, 0.4% of Healthcare Realty Trust shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

Brandywine Realty Trust beats Healthcare Realty Trust on 8 of the 15 factors compared between the two stocks.

About Brandywine Realty Trust

Brandywine Realty Trust (NYSE: BDN) is one of the largest, publicly traded, full-service, integrated real estate companies in the United States with a core focus in the Philadelphia and Austin markets. Organized as a real estate investment trust (REIT), we own, develop, lease and manage an urban, town center and transit-oriented portfolio comprising 160 properties and 22.6 million square feet as of September 30, 2023 which excludes assets held for sale. Our purpose is to shape, connect and inspire the world around us through our expertise, the relationships we foster, the communities in which we live and work, and the history we build together.

About Healthcare Realty Trust

Healthcare Realty Trust, Inc. provides real estate investment services. It owns, leases, manages, acquires, finances, develops, and redevelops income-producing real estate properties associated primarily with the delivery of outpatient healthcare services throughout the United States of America. The company was founded by David R. Emery in 1992 and is headquartered in Nashville, TN.