Peakstone Realty Trust (NYSE:PKST) versus Hudson Pacific Properties (NYSE:HPP) Financial Survey

Hudson Pacific Properties (NYSE:HPP) and Peakstone Realty Trust (NYSE:PKST) are both small-cap finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, profitability, valuation, risk, dividends and earnings.

Institutional & Insider Ownership

97.6% of Hudson Pacific Properties shares are owned by institutional investors. Comparatively, 39.0% of Peakstone Realty Trust shares are owned by institutional investors. 4.9% of Hudson Pacific Properties shares are owned by company insiders. Comparatively, 0.8% of Peakstone Realty Trust shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Hudson Pacific Properties and Peakstone Realty Trust”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hudson Pacific Properties	$842.08 million	0.63	-$352.29 million	($16.93)	-0.57
Peakstone Realty Trust	$228.07 million	2.23	-$10.43 million	($8.13)	-1.70

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

Analyst Ratings

This is a summary of current recommendations for Hudson Pacific Properties and Peakstone Realty Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hudson Pacific Properties	3	8	4	0	2.07
Peakstone Realty Trust	1	1	2	0	2.25

Hudson Pacific Properties currently has a consensus target price of $16.31, suggesting a potential upside of 67.55%. Peakstone Realty Trust has a consensus target price of $17.50, suggesting a potential upside of 26.66%. Given Hudson Pacific Properties’ higher possible upside, research analysts plainly believe Hudson Pacific Properties is more favorable than Peakstone Realty Trust.

Risk and Volatility

Hudson Pacific Properties has a beta of 1.49, indicating that its share price is 49% more volatile than the S&P 500. Comparatively, Peakstone Realty Trust has a beta of 1.71, indicating that its share price is 71% more volatile than the S&P 500.

Profitability

This table compares Hudson Pacific Properties and Peakstone Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hudson Pacific Properties	-59.61%	-16.24%	-5.84%
Peakstone Realty Trust	-153.27%	-32.69%	-13.09%

Summary

Hudson Pacific Properties beats Peakstone Realty Trust on 9 of the 14 factors compared between the two stocks.

About Hudson Pacific Properties

Hudson Pacific Properties (NYSE: HPP) is a real estate investment trust serving dynamic tech and media tenants in global epicenters for these synergistic, converging and secular growth industries. Hudson Pacific's unique and high-barrier tech and media focus leverages a full-service, end-to-end value creation platform forged through deep strategic relationships and niche expertise across identifying, acquiring, transforming and developing properties into world-class amenitized, collaborative and sustainable office and studio space.

About Peakstone Realty Trust

Peakstone Realty Trust (NYSE: PKST) is an internally managed, real estate investment trust (REIT) that owns and operates a high-quality, newer-vintage portfolio of predominantly single-tenant industrial and office properties. These assets are generally leased to creditworthy tenants under long-term net lease agreements with contractual rent escalations. As of March 31, 2023, Peakstone's wholly-owned portfolio consists of 19 million square feet across 24 states in primarily high-growth, strategic coastal and sunbelt markets.