Analyzing Kite Realty Group Trust (NYSE:KRG) and Curbline Properties (NYSE:CURB)

Kite Realty Group Trust (NYSE:KRG) and Curbline Properties (NYSE:CURB) are both mid-cap finance companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, risk, analyst recommendations and valuation.

Institutional and Insider Ownership

90.8% of Kite Realty Group Trust shares are held by institutional investors. 2.5% of Kite Realty Group Trust shares are held by company insiders. Comparatively, 8.6% of Curbline Properties shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Kite Realty Group Trust and Curbline Properties”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kite Realty Group Trust	$844.36 million	5.98	$298.66 million	$1.38	18.02
Curbline Properties	$182.89 million	15.46	$39.83 million	$0.38	70.48

Kite Realty Group Trust has higher revenue and earnings than Curbline Properties. Kite Realty Group Trust is trading at a lower price-to-earnings ratio than Curbline Properties, indicating that it is currently the more affordable of the two stocks.

Dividends

Kite Realty Group Trust pays an annual dividend of $1.16 per share and has a dividend yield of 4.7%. Curbline Properties pays an annual dividend of $0.68 per share and has a dividend yield of 2.5%. Kite Realty Group Trust pays out 84.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Curbline Properties pays out 178.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Kite Realty Group Trust has increased its dividend for 4 consecutive years. Kite Realty Group Trust is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Analyst Recommendations

This is a summary of current ratings and target prices for Kite Realty Group Trust and Curbline Properties, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kite Realty Group Trust	0	6	3	0	2.33
Curbline Properties	0	1	7	0	2.88

Kite Realty Group Trust currently has a consensus target price of $26.38, suggesting a potential upside of 6.03%. Curbline Properties has a consensus target price of $28.13, suggesting a potential upside of 5.01%. Given Kite Realty Group Trust’s higher probable upside, equities analysts clearly believe Kite Realty Group Trust is more favorable than Curbline Properties.

Profitability

This table compares Kite Realty Group Trust and Curbline Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kite Realty Group Trust	35.34%	9.30%	4.45%
Curbline Properties	21.78%	2.10%	1.76%

Volatility and Risk

Kite Realty Group Trust has a beta of 0.88, meaning that its stock price is 12% less volatile than the S&P 500. Comparatively, Curbline Properties has a beta of 0.48, meaning that its stock price is 52% less volatile than the S&P 500.

Summary

Kite Realty Group Trust beats Curbline Properties on 12 of the 17 factors compared between the two stocks.

About Kite Realty Group Trust

Kite Realty Group Trust (NYSE: KRG) is a real estate investment trust (REIT) headquartered in Indianapolis, IN that is one of the largest publicly traded owners and operators of open-air shopping centers and mixed-use assets. The Company’s primarily grocery-anchored portfolio is located in high-growth Sun Belt and select strategic gateway markets. The combination of necessity-based grocery-anchored neighborhood and community centers, along with vibrant mixed-use assets makes the KRG portfolio an ideal mix for both retailers and consumers. Publicly listed since 2004, KRG has nearly 60 years of experience in developing, constructing and operating real estate. Using operational, investment, development, and redevelopment expertise, KRG continuously optimizes its portfolio to maximize value and return to shareholders. As of December 31, 2023, the Company owned interests in 180 U.S. open-air shopping centers and mixed-use assets, comprising approximately 28.1 million square feet of gross leasable space.

About Curbline Properties

Curbline Properties Corp. is a real estate investment trust which is an owner and manager of convenience shopping centers positioned on the curbline of well-trafficked intersections and major vehicular corridors in suburban. Curbline Properties Corp. is based in NEW YORK.