Financial Comparison: Bellway (OTC:BLWYY) and Claros Mortgage Trust (NYSE:CMTG)

Claros Mortgage Trust (NYSE:CMTG) and Bellway (OTC:BLWYY) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, dividends, risk, profitability, valuation and earnings.

Dividends

Claros Mortgage Trust pays an annual dividend of $0.40 per share and has a dividend yield of 10.2%. Bellway pays an annual dividend of $0.84 per share and has a dividend yield of 2.7%. Claros Mortgage Trust pays out -25.2% of its earnings in the form of a dividend.

Profitability

This table compares Claros Mortgage Trust and Bellway’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Claros Mortgage Trust	-89.07%	4.72%	1.35%
Bellway	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current ratings and target prices for Claros Mortgage Trust and Bellway, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Claros Mortgage Trust	2	3	1	0	1.83
Bellway	0	0	0	1	4.00

Claros Mortgage Trust currently has a consensus target price of $4.31, indicating a potential upside of 10.44%. Given Claros Mortgage Trust’s higher possible upside, research analysts plainly believe Claros Mortgage Trust is more favorable than Bellway.

Institutional & Insider Ownership

89.5% of Claros Mortgage Trust shares are owned by institutional investors. 1.4% of Claros Mortgage Trust shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Claros Mortgage Trust and Bellway”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Claros Mortgage Trust	$97.78 million	5.57	$6.03 million	($1.59)	-2.46
Bellway	$3.00 billion	1.25	$164.33 million	N/A	N/A

Bellway has higher revenue and earnings than Claros Mortgage Trust.

Risk and Volatility

Claros Mortgage Trust has a beta of 1.62, indicating that its stock price is 62% more volatile than the S&P 500. Comparatively, Bellway has a beta of 0.12, indicating that its stock price is 88% less volatile than the S&P 500.

Summary

Claros Mortgage Trust beats Bellway on 10 of the 15 factors compared between the two stocks.

About Claros Mortgage Trust

Claros Mortgage Trust, Inc. operates as a real estate investment trust. It focuses on originating senior and subordinate loans on transitional commercial real estate assets in the United States. The company has elected to be taxed as a real estate investment trust. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to shareholders. The company was incorporated in 2015 and is headquartered in New York, New York.

About Bellway

Bellway p.l.c., together with its subsidiaries, engages in the home building business in the United Kingdom. The company builds and sells homes ranging from one-bedroom apartments to six-bedroom family homes, as well as provides homes to housing associations for social housing. It offers homes under Bellway, Ashberry, and Bellway London brands. The company was founded in 1946 and is headquartered in Newcastle upon Tyne, the United Kingdom.