Financial Analysis: American Realty Investors (NYSE:ARL) & Henderson Land Development (OTCMKTS:HLDCY)

Henderson Land Development (OTCMKTS:HLDCY) and American Realty Investors (NYSE:ARL) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, analyst recommendations, dividends, risk, profitability and institutional ownership.

Valuation & Earnings

This table compares Henderson Land Development and American Realty Investors”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Henderson Land Development	$2.63 billion	7.52	$807.15 million	N/A	N/A
American Realty Investors	$47.32 million	6.13	-$14.70 million	$0.36	49.86

Henderson Land Development has higher revenue and earnings than American Realty Investors.

Analyst Ratings

This is a summary of recent recommendations for Henderson Land Development and American Realty Investors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Henderson Land Development	0	0	0	1	4.00
American Realty Investors	0	1	0	0	2.00

Profitability

This table compares Henderson Land Development and American Realty Investors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Henderson Land Development	N/A	N/A	N/A
American Realty Investors	11.74%	0.33%	0.25%

Risk & Volatility

Henderson Land Development has a beta of 0.54, meaning that its share price is 46% less volatile than the S&P 500. Comparatively, American Realty Investors has a beta of 0.69, meaning that its share price is 31% less volatile than the S&P 500.

Summary

Henderson Land Development beats American Realty Investors on 5 of the 9 factors compared between the two stocks.

About Henderson Land Development

Henderson Land Development Company Limited, an investment holding company, engages in the property development and investment activities in Hong Kong and Mainland China. The company operates through Property Development, Property Leasing, Department Stores and Supermarket-Cum-Stores Operations, Hotel Room Operation, Other Businesses, and Utility and Energy segments. The Property Development segment develops and sells real estate properties. Its property portfolio primarily includes offices, shopping arcades, shopping malls, commercial complexes, and residential properties. The Property Leasing segment leases properties. The Department Stores and Supermarket-Cum-Stores Operations segment operates and manages department stores and supermarket-cum-stores. The Hotel Room Operation segment operates hotel properties. The Other Businesses segment operates and manages hotels; provides construction, finance, project management, property management, agency, and cleaning and security guard services; and trades in building materials. It also engages in food and beverage, and travel operations. The Utility and Energy segment is involved in production, distribution, and marketing gas; and water supply and environmentally friendly energy businesses. Henderson Land Development Company Limited was founded in 1976 and is based in Central, Hong Kong. Henderson Land Development Company Limited is a subsidiary of Henderson Development Limited.

About American Realty Investors

American Realty Investors, Inc., together with its subsidiaries, acquires, develops, owns, and manages multifamily and commercial real estate properties in the Southern United States. It operates through two segments, Residential and Commercial. The company leases apartment units to residents; and office, industrial, and retail space to various for-profit businesses, as well as local, state, and federal agencies. It also offers tenant services, including parking and storage space rental; and sells land and properties. The company was incorporated in 1999 and is based in Dallas, Texas. American Realty Investors, Inc. is a subsidiary of Realty Advisors, Inc.