Analyzing Gaming and Leisure Properties (NASDAQ:GLPI) and UDR (NYSE:UDR)

Gaming and Leisure Properties (NASDAQ:GLPI) and UDR (NYSE:UDR) are both large-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, profitability, dividends, risk and earnings.

Risk & Volatility

Gaming and Leisure Properties has a beta of 0.99, meaning that its stock price is 1% less volatile than the S&P 500. Comparatively, UDR has a beta of 0.88, meaning that its stock price is 12% less volatile than the S&P 500.

Earnings and Valuation

This table compares Gaming and Leisure Properties and UDR”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gaming and Leisure Properties	$1.44 billion	9.26	$734.28 million	$2.86	17.00
UDR	$1.67 billion	8.47	$444.35 million	$0.25	171.73

Gaming and Leisure Properties has higher earnings, but lower revenue than UDR. Gaming and Leisure Properties is trading at a lower price-to-earnings ratio than UDR, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

91.1% of Gaming and Leisure Properties shares are owned by institutional investors. Comparatively, 97.8% of UDR shares are owned by institutional investors. 4.4% of Gaming and Leisure Properties shares are owned by insiders. Comparatively, 3.7% of UDR shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Gaming and Leisure Properties and UDR’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gaming and Leisure Properties	51.93%	17.31%	6.53%
UDR	5.36%	2.65%	0.86%

Analyst Ratings

This is a breakdown of current ratings and target prices for Gaming and Leisure Properties and UDR, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gaming and Leisure Properties	0	5	9	0	2.64
UDR	1	9	8	0	2.39

Gaming and Leisure Properties currently has a consensus price target of $53.93, suggesting a potential upside of 10.95%. UDR has a consensus price target of $46.18, suggesting a potential upside of 7.56%. Given Gaming and Leisure Properties’ stronger consensus rating and higher probable upside, research analysts plainly believe Gaming and Leisure Properties is more favorable than UDR.

Dividends

Gaming and Leisure Properties pays an annual dividend of $3.04 per share and has a dividend yield of 6.3%. UDR pays an annual dividend of $1.70 per share and has a dividend yield of 4.0%. Gaming and Leisure Properties pays out 106.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. UDR pays out 680.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. UDR has raised its dividend for 14 consecutive years. Gaming and Leisure Properties is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

Gaming and Leisure Properties beats UDR on 13 of the 17 factors compared between the two stocks.

About Gaming and Leisure Properties

Gaming & Leisure Properties, Inc. engages in acquiring, financing, and owning real estate property to be leased to gaming operators in triple-net lease arrangements. The company was founded on February 13, 2013 and is headquartered in Wyomissing, PA.

About UDR

UDR, Inc. (NYSE: UDR), an S&P 500 company, is a leading multifamily real estate investment trust with a demonstrated performance history of delivering superior and dependable returns by successfully managing, buying, selling, developing and redeveloping attractive real estate communities in targeted U.S. markets. As of December 31, 2023, UDR owned or had an ownership position in 60,336 apartment homes including 359 homes under development. For over 51 years, UDR has delivered long-term value to shareholders, the best standard of service to Residents and the highest quality experience for Associates.