Comparing BRAEMAR HOTELS & RESORTS (NYSE:BHR) and SBA Communications (NASDAQ:SBAC)

BRAEMAR HOTELS & RESORTS (NYSE:BHR) and SBA Communications (NASDAQ:SBAC) are both finance companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, valuation, institutional ownership, dividends, earnings and risk.

Analyst Ratings

This is a breakdown of current ratings and target prices for BRAEMAR HOTELS & RESORTS and SBA Communications, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BRAEMAR HOTELS & RESORTS	0	0	0	0	0.00
SBA Communications	0	8	7	2	2.65

SBA Communications has a consensus price target of $251.63, indicating a potential upside of 26.38%. Given SBA Communications’ stronger consensus rating and higher possible upside, analysts clearly believe SBA Communications is more favorable than BRAEMAR HOTELS & RESORTS.

Volatility and Risk

BRAEMAR HOTELS & RESORTS has a beta of 1.25, indicating that its stock price is 25% more volatile than the S&P 500. Comparatively, SBA Communications has a beta of 0.8, indicating that its stock price is 20% less volatile than the S&P 500.

Institutional & Insider Ownership

64.8% of BRAEMAR HOTELS & RESORTS shares are held by institutional investors. Comparatively, 97.4% of SBA Communications shares are held by institutional investors. 1.8% of BRAEMAR HOTELS & RESORTS shares are held by company insiders. Comparatively, 0.9% of SBA Communications shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares BRAEMAR HOTELS & RESORTS and SBA Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BRAEMAR HOTELS & RESORTS	-0.07%	-0.22%	-0.02%
SBA Communications	31.19%	-16.83%	7.94%

Valuation & Earnings

This table compares BRAEMAR HOTELS & RESORTS and SBA Communications”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BRAEMAR HOTELS & RESORTS	$716.64 million	0.28	-$1.69 million	($0.77)	-3.77
SBA Communications	$2.68 billion	7.98	$749.54 million	$7.87	25.30

SBA Communications has higher revenue and earnings than BRAEMAR HOTELS & RESORTS. BRAEMAR HOTELS & RESORTS is trading at a lower price-to-earnings ratio than SBA Communications, indicating that it is currently the more affordable of the two stocks.

Dividends

BRAEMAR HOTELS & RESORTS pays an annual dividend of $0.20 per share and has a dividend yield of 6.9%. SBA Communications pays an annual dividend of $4.44 per share and has a dividend yield of 2.2%. BRAEMAR HOTELS & RESORTS pays out -26.0% of its earnings in the form of a dividend. SBA Communications pays out 56.4% 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. SBA Communications has raised its dividend for 6 consecutive years. BRAEMAR HOTELS & RESORTS is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

SBA Communications beats BRAEMAR HOTELS & RESORTS on 13 of the 18 factors compared between the two stocks.

About BRAEMAR HOTELS & RESORTS

Braemar Hotels & Resorts is a conservatively capitalized REIT that invests primarily in high RevPAR, full-service luxury hotels and resorts. We are listed on the New York Stock Exchange under the symbol BHR and are externally-advised by Ashford (NYSE American: AINC).

About SBA Communications

SBA Communications Corporation is a leading independent owner and operator of wireless communications infrastructure including towers, buildings, rooftops, distributed antenna systems (DAS) and small cells. With a portfolio of more than 39,000 communications sites throughout the Americas, Africa and in Asia, SBA is listed on NASDAQ under the symbol SBAC. Our organization is part of the S&P 500 and is one of the top Real Estate Investment Trusts (REITs) by market capitalization.