Head to Head Analysis: New York Mortgage Trust (NASDAQ:NYMT) versus Kimco Realty (NYSE:KIM)

Kimco Realty (NYSE:KIM) and New York Mortgage Trust (NASDAQ:NYMT) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, risk, earnings, institutional ownership, profitability, analyst recommendations and dividends.

Dividends

Kimco Realty pays an annual dividend of $1.00 per share and has a dividend yield of 5.2%. New York Mortgage Trust pays an annual dividend of $0.80 per share and has a dividend yield of 13.6%. Kimco Realty pays out 178.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. New York Mortgage Trust pays out -70.2% of its earnings in the form of a dividend. New York Mortgage Trust is clearly the better dividend stock, given its higher yield and lower payout ratio.

Earnings & Valuation

This table compares Kimco Realty and New York Mortgage Trust”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kimco Realty	$2.04 billion	6.45	$410.79 million	$0.56	34.52
New York Mortgage Trust	$241.49 million	2.21	-$48.67 million	($1.14)	-5.16

Kimco Realty has higher revenue and earnings than New York Mortgage Trust. New York Mortgage Trust is trading at a lower price-to-earnings ratio than Kimco Realty, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

89.3% of Kimco Realty shares are held by institutional investors. Comparatively, 54.9% of New York Mortgage Trust shares are held by institutional investors. 2.2% of Kimco Realty shares are held by company insiders. Comparatively, 1.5% of New York Mortgage Trust shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Kimco Realty and New York Mortgage Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kimco Realty	0	9	4	2	2.53
New York Mortgage Trust	0	3	1	0	2.25

Kimco Realty presently has a consensus price target of $24.75, indicating a potential upside of 28.03%. New York Mortgage Trust has a consensus price target of $7.00, indicating a potential upside of 19.05%. Given Kimco Realty’s stronger consensus rating and higher possible upside, research analysts clearly believe Kimco Realty is more favorable than New York Mortgage Trust.

Profitability

This table compares Kimco Realty and New York Mortgage Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kimco Realty	20.17%	3.82%	2.07%
New York Mortgage Trust	-15.46%	-1.39%	-0.15%

Volatility & Risk

Kimco Realty has a beta of 1.25, indicating that its share price is 25% more volatile than the S&P 500. Comparatively, New York Mortgage Trust has a beta of 1.93, indicating that its share price is 93% more volatile than the S&P 500.

Summary

Kimco Realty beats New York Mortgage Trust on 14 of the 17 factors compared between the two stocks.

About Kimco Realty

Kimco Realty Corp. is a real estate investment trust (REIT) headquartered in New Hyde Park, N.Y., that is one of North America’s largest publicly traded owners and operators of open-air shopping centers. As of December 31, 2018, the company owned interests in 437 U.S. shopping centers comprising 76 million square feet of leasable space primarily concentrated in the top major metropolitan markets.

About New York Mortgage Trust

New York Mortgage Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. Its targeted investments include residential loans, including business purpose loans; structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties; non-agency residential mortgage-backed securities (RMBS); agency RMBS; commercial mortgage-backed securities (CMBS); single-family rental properties; and other mortgage, residential housing, and credit-related assets. The company also qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. New York Mortgage Trust, Inc. was incorporated in 2003 and is headquartered in New York, New York.