Reviewing Urban Edge Properties (NYSE:UE) & LuxUrban Hotels (NASDAQ:LUXH)

Urban Edge Properties (NYSE:UE) and LuxUrban Hotels (NASDAQ:LUXH) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, valuation, dividends, profitability, risk, analyst recommendations and institutional ownership.

Institutional and Insider Ownership

94.9% of Urban Edge Properties shares are held by institutional investors. Comparatively, 28.5% of LuxUrban Hotels shares are held by institutional investors. 3.1% of Urban Edge Properties shares are held by company insiders. Comparatively, 7.0% of LuxUrban Hotels 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.

Risk and Volatility

Urban Edge Properties has a beta of 1.53, meaning that its stock price is 53% more volatile than the S&P 500. Comparatively, LuxUrban Hotels has a beta of -1.5, meaning that its stock price is 250% less volatile than the S&P 500.

Valuation and Earnings

This table compares Urban Edge Properties and LuxUrban Hotels”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Urban Edge Properties	$445.18 million	5.99	$248.50 million	$2.23	9.58
LuxUrban Hotels	$72.79 million	0.04	-$78.52 million	($148.49)	-0.01

Urban Edge Properties has higher revenue and earnings than LuxUrban Hotels. LuxUrban Hotels is trading at a lower price-to-earnings ratio than Urban Edge Properties, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Urban Edge Properties and LuxUrban Hotels’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Urban Edge Properties	59.23%	20.89%	8.15%
LuxUrban Hotels	-145.57%	N/A	-29.89%

Analyst Ratings

This is a summary of recent ratings and target prices for Urban Edge Properties and LuxUrban Hotels, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Urban Edge Properties	0	1	0	0	2.00
LuxUrban Hotels	0	2	1	0	2.33

Urban Edge Properties currently has a consensus price target of $22.00, indicating a potential upside of 2.95%. LuxUrban Hotels has a consensus price target of $280.00, indicating a potential upside of 29,066.67%. Given LuxUrban Hotels’ stronger consensus rating and higher possible upside, analysts plainly believe LuxUrban Hotels is more favorable than Urban Edge Properties.

Summary

Urban Edge Properties beats LuxUrban Hotels on 10 of the 14 factors compared between the two stocks.

About Urban Edge Properties

Urban Edge Properties is a NYSE listed real estate investment trust focused on owning, managing, acquiring, developing, and redeveloping retail real estate in urban communities, primarily in the Washington, D.C. to Boston corridor. Urban Edge owns 76 properties totaling 17.1 million square feet of gross leasable area.

About LuxUrban Hotels

LuxUrban Hotels Inc. utilizes an asset light business model to lease entire hotels on a long-term basis and rent out hotel rooms in the properties it leases. It manages a portfolio of hotel rooms in New York, Washington D.C., Miami Beach, New Orleans, and Los Angeles. The company was formerly known as CorpHousing Group Inc. and changed its name to LuxUrban Hotels Inc. in November 2022. The company was incorporated in 2017 and is headquartered in Miami, Florida.