One Liberty Properties (NYSE:OLP) and Medalist Diversified REIT (NASDAQ:MDRR) Head-To-Head Analysis

One Liberty Properties (NYSE:OLP) and Medalist Diversified REIT (NASDAQ:MDRR) are both small-cap finance companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, risk, analyst recommendations, valuation, dividends and profitability.

Analyst Ratings

This is a summary of current ratings and price targets for One Liberty Properties and Medalist Diversified REIT, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
One Liberty Properties	0	0	1	0	3.00
Medalist Diversified REIT	0	0	0	0	0.00

One Liberty Properties presently has a consensus target price of $28.00, suggesting a potential upside of 1.93%. Given One Liberty Properties’ stronger consensus rating and higher possible upside, equities research analysts clearly believe One Liberty Properties is more favorable than Medalist Diversified REIT.

Earnings & Valuation

This table compares One Liberty Properties and Medalist Diversified REIT”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
One Liberty Properties	$89.45 million	6.57	$29.61 million	$1.62	16.96
Medalist Diversified REIT	$9.92 million	1.57	-$4.57 million	($0.22)	-63.55

One Liberty Properties has higher revenue and earnings than Medalist Diversified REIT. Medalist Diversified REIT is trading at a lower price-to-earnings ratio than One Liberty Properties, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares One Liberty Properties and Medalist Diversified REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
One Liberty Properties	38.96%	11.35%	4.58%
Medalist Diversified REIT	-2.18%	-18.35%	-3.87%

Insider and Institutional Ownership

36.2% of One Liberty Properties shares are owned by institutional investors. Comparatively, 17.4% of Medalist Diversified REIT shares are owned by institutional investors. 25.4% of One Liberty Properties shares are owned by company insiders. Comparatively, 56.1% of Medalist Diversified REIT shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Dividends

One Liberty Properties pays an annual dividend of $1.80 per share and has a dividend yield of 6.6%. Medalist Diversified REIT pays an annual dividend of $0.24 per share and has a dividend yield of 1.7%. One Liberty Properties pays out 111.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Medalist Diversified REIT pays out -109.1% of its earnings in the form of a dividend.

Volatility & Risk

One Liberty Properties has a beta of 1.39, meaning that its stock price is 39% more volatile than the S&P 500. Comparatively, Medalist Diversified REIT has a beta of 0.73, meaning that its stock price is 27% less volatile than the S&P 500.

Summary

One Liberty Properties beats Medalist Diversified REIT on 14 of the 16 factors compared between the two stocks.

About One Liberty Properties

One Liberty is a self-administered and self-managed real estate investment trust incorporated in Maryland in 1982. The Company acquires, owns and manages a geographically diversified portfolio consisting primarily of industrial and retail properties. Many of these properties are subject to long-term net leases under which the tenant is typically responsible for the property’s real estate taxes, insurance and ordinary maintenance and repairs.

About Medalist Diversified REIT

Medalist Diversified REIT Inc. is a Virginia-based real estate investment trust that specializes in acquiring, owning and managing commercial real estate in the Southeast region of the U.S. The Company's strategy is to focus on commercial real estate which is expected to provide an attractive balance of risk and returns. Medalist utilizes a rigorous, consistent and replicable process for sourcing and conducting due diligence of acquisitions.