Financial Survey: Rexford Industrial Realty (NYSE:REXR) versus Community Healthcare Trust (NYSE:CHCT)

Rexford Industrial Realty (NYSE:REXR) and Community Healthcare Trust (NYSE:CHCT) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, valuation, risk, dividends, analyst recommendations, institutional ownership and earnings.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Rexford Industrial Realty and Community Healthcare Trust, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rexford Industrial Realty	2	7	4	0	2.15
Community Healthcare Trust	0	3	1	0	2.25

Rexford Industrial Realty presently has a consensus target price of $41.92, suggesting a potential upside of 15.48%. Community Healthcare Trust has a consensus target price of $18.00, suggesting a potential upside of 5.66%. Given Rexford Industrial Realty’s higher probable upside, equities research analysts plainly believe Rexford Industrial Realty is more favorable than Community Healthcare Trust.

Earnings and Valuation

This table compares Rexford Industrial Realty and Community Healthcare Trust”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rexford Industrial Realty	$1.00 billion	8.13	$212.03 million	$0.85	42.71
Community Healthcare Trust	$121.19 million	4.02	$5.10 million	$0.07	243.37

Rexford Industrial Realty has higher revenue and earnings than Community Healthcare Trust. Rexford Industrial Realty is trading at a lower price-to-earnings ratio than Community Healthcare Trust, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Rexford Industrial Realty and Community Healthcare Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rexford Industrial Realty	21.03%	2.37%	1.63%
Community Healthcare Trust	4.21%	1.16%	0.52%

Risk and Volatility

Rexford Industrial Realty has a beta of 1.26, indicating that its share price is 26% more volatile than the S&P 500. Comparatively, Community Healthcare Trust has a beta of 0.74, indicating that its share price is 26% less volatile than the S&P 500.

Insider and Institutional Ownership

99.5% of Rexford Industrial Realty shares are held by institutional investors. Comparatively, 87.8% of Community Healthcare Trust shares are held by institutional investors. 1.2% of Rexford Industrial Realty shares are held by insiders. Comparatively, 5.3% of Community Healthcare Trust shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Dividends

Rexford Industrial Realty pays an annual dividend of $1.74 per share and has a dividend yield of 4.8%. Community Healthcare Trust pays an annual dividend of $1.91 per share and has a dividend yield of 11.2%. Rexford Industrial Realty pays out 204.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Community Healthcare Trust pays out 2,728.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Rexford Industrial Realty has raised its dividend for 4 consecutive years and Community Healthcare Trust has raised its dividend for 3 consecutive years.

Summary

Rexford Industrial Realty beats Community Healthcare Trust on 13 of the 17 factors compared between the two stocks.

About Rexford Industrial Realty

Rexford Industrial Realty, Inc. is a self-administered and self-managed real estate investment trust, which engages in owning and operating industrial properties in infill markets. The company was founded by Richard S. Ziman on January 18, 2013 and is headquartered in Los Angeles, CA.

About Community Healthcare Trust

Community Healthcare Trust Incorporated (the Company”, we”, our”) was organized in the State of Maryland on March 28, 2014. The Company is a fully-integrated healthcare real estate company that owns and acquires real estate properties that are leased to hospitals, doctors, healthcare systems or other healthcare service providers. As of March 31, 2024, the Company had investments of approximately $1.1 billion in 197 real estate properties (including a portion of one property accounted for as a sales-type lease with a gross amount totaling approximately $3.0 million and two properties classified as an asset held for sale with an aggregate amount totaling approximately $7.5 million. The properties are located in 35 states, totaling approximately 4.4 million square feet in the aggregate and were approximately 92.3% leased, excluding real estate assets held for sale, at March 31, 2024 with a weighted average remaining lease term of approximately 6.9 years.