Elme Communities (NYSE:ELME) and Apartment Investment and Management (NYSE:AIV) Head to Head Survey

Elme Communities (NYSE:ELME) and Apartment Investment and Management (NYSE:AIV) are both small-cap finance companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, profitability, analyst recommendations, valuation and dividends.

Volatility and Risk

Elme Communities has a beta of 0.77, meaning that its stock price is 23% less volatile than the S&P 500. Comparatively, Apartment Investment and Management has a beta of 1.38, meaning that its stock price is 38% more volatile than the S&P 500.

Valuation & Earnings

This table compares Elme Communities and Apartment Investment and Management”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Elme Communities	$241.93 million	6.32	-$13.10 million	($1.52)	-11.42
Apartment Investment and Management	$208.68 million	3.88	-$102.47 million	$1.72	3.27

Elme Communities has higher revenue and earnings than Apartment Investment and Management. Elme Communities is trading at a lower price-to-earnings ratio than Apartment Investment and Management, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Elme Communities and Apartment Investment and Management’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Elme Communities	-54.57%	-13.15%	-7.52%
Apartment Investment and Management	125.34%	-98.07%	-7.13%

Institutional & Insider Ownership

87.9% of Elme Communities shares are held by institutional investors. Comparatively, 83.3% of Apartment Investment and Management shares are held by institutional investors. 1.4% of Elme Communities shares are held by company insiders. Comparatively, 3.0% of Apartment Investment and Management shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current recommendations and price targets for Elme Communities and Apartment Investment and Management, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Elme Communities	1	3	0	0	1.75
Apartment Investment and Management	1	0	1	0	2.00

Elme Communities currently has a consensus price target of $18.50, indicating a potential upside of 6.60%. Apartment Investment and Management has a consensus price target of $10.00, indicating a potential upside of 77.78%. Given Apartment Investment and Management’s stronger consensus rating and higher probable upside, analysts plainly believe Apartment Investment and Management is more favorable than Elme Communities.

Summary

Apartment Investment and Management beats Elme Communities on 9 of the 14 factors compared between the two stocks.

About Elme Communities

Elme Communities is committed to elevating what home can be for middle-income renters by providing a higher level of quality, service, and experience. The Company is a multifamily real estate investment trust that owns and operates approximately 9,400 apartment homes in the Washington, DC metro and the Atlanta metro regions, and owns approximately 300,000 square feet of commercial space. Focused on providing quality, affordable homes to a deep, solid, and underserved base of mid-market demand, Elme Communities is building long-term value for shareholders.

About Apartment Investment and Management

Apartment Investment & Management Co. operates as a real estate investment trust that engages in the acquisition, ownership, management and redevelopment of apartment properties. The company was founded in 1975 and is headquartered in Denver, CO.