Critical Analysis: City Developments (OTCMKTS:CDEVY) versus FTAI Infrastructure (NASDAQ:FIP)

City Developments (OTCMKTS:CDEVY) and FTAI Infrastructure (NASDAQ:FIP) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, risk, profitability, earnings, dividends, analyst recommendations and valuation.

Insider & Institutional Ownership

87.4% of FTAI Infrastructure shares are owned by institutional investors. 2.4% of FTAI Infrastructure shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares City Developments and FTAI Infrastructure’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
City Developments	N/A	N/A	N/A
FTAI Infrastructure	-20.85%	-10.14%	-0.68%

Valuation & Earnings

This table compares City Developments and FTAI Infrastructure”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
City Developments	$2.45 billion	2.05	$150.66 million	N/A	N/A
FTAI Infrastructure	$331.50 million	1.92	-$223.65 million	($1.53)	-3.62

City Developments has higher revenue and earnings than FTAI Infrastructure.

Risk & Volatility

City Developments has a beta of 0.48, meaning that its share price is 52% less volatile than the S&P 500. Comparatively, FTAI Infrastructure has a beta of 1.82, meaning that its share price is 82% more volatile than the S&P 500.

Dividends

City Developments pays an annual dividend of $0.02 per share and has a dividend yield of 0.4%. FTAI Infrastructure pays an annual dividend of $0.12 per share and has a dividend yield of 2.2%. FTAI Infrastructure pays out -7.8% of its earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of current ratings for City Developments and FTAI Infrastructure, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
City Developments	0	0	0	0	0.00
FTAI Infrastructure	1	0	1	0	2.00

FTAI Infrastructure has a consensus price target of $12.00, suggesting a potential upside of 116.61%. Given FTAI Infrastructure’s stronger consensus rating and higher possible upside, analysts clearly believe FTAI Infrastructure is more favorable than City Developments.

Summary

FTAI Infrastructure beats City Developments on 8 of the 14 factors compared between the two stocks.

About City Developments

City Developments Limited (CDL) is a leading global real estate company with a network spanning 112 locations in 29 countries and regions. Listed on the Singapore Exchange, the Group is one of the largest companies by market capitalisation. Its income-stable and geographically-diverse portfolio comprises residences, offices, hotels, serviced apartments, shopping malls and integrated developments. With a proven track record of over 55 years in real estate development, investment and management, CDL has developed over 47,000 homes and owns over 23 million square feet of gross floor area in residential, commercial and hospitality assets globally. Its diversified global land bank offers 3.5 million square feet of land area.

About FTAI Infrastructure

FTAI Infrastructure Inc. focuses on acquiring, developing, and operating assets and businesses that represent infrastructure for customers in the transportation, energy, and industrial products industries in North America. The company operates through five segments: Railroad, Jefferson Terminal, Repauno, Power and Gas, and Sustainability and Energy Transition. It operates a multi-modal crude oil and refined products terminal, and other related assets. The company also has a 1,630-acre deep-water port located along the Delaware River with an underground storage cavern, a multipurpose dock, a rail-to-ship transloading system, and multiple industrial development opportunities; and a 1,660-acre multi-modal port located along the Ohio River with rail, dock, and multiple industrial development opportunities, including a power plant under construction. In addition, it operates six freight railroads and one switching facility. FTAI Infrastructure Inc. was incorporated in 2021 and is headquartered in New York, New York.