Financial Review: United Homes Group (NASDAQ:UHG) vs. The Berkeley Group (OTCMKTS:BKGFF)

United Homes Group (NASDAQ:UHG) and The Berkeley Group (OTCMKTS:BKGFF) are both consumer cyclical companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, earnings, analyst recommendations, valuation and dividends.

Analyst Recommendations

This is a summary of current ratings for United Homes Group and The Berkeley Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
United Homes Group	0	0	0	0	N/A
The Berkeley Group	0	0	0	0	N/A

Valuation and Earnings

This table compares United Homes Group and The Berkeley Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
United Homes Group	$414.81 million	0.66	$125.06 million	$5.68	0.99
The Berkeley Group	N/A	N/A	N/A	$2.62	23.50

United Homes Group has higher revenue and earnings than The Berkeley Group. United Homes Group is trading at a lower price-to-earnings ratio than The Berkeley Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares United Homes Group and The Berkeley Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
United Homes Group	33.22%	1,013.13%	22.09%
The Berkeley Group	N/A	N/A	N/A

Institutional and Insider Ownership

88.8% of United Homes Group shares are held by institutional investors. Comparatively, 45.9% of The Berkeley Group shares are held by institutional investors. 85.3% of United Homes Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

United Homes Group beats The Berkeley Group on 7 of the 8 factors compared between the two stocks.

About United Homes Group

United Homes Group, Inc., a homebuilding company, engages in the design, building, and sale of homes in South Carolina, North Carolina, and Georgia. It provides detached single-family houses, as well as attached single-family houses, including duplex and town houses for entry-level buyers, first time move-ups, second time move-ups, third time move-ups, and custom builds. The company was founded in 2004 and is headquartered in Chapin, South Carolina.

About The Berkeley Group

The Berkeley Group Holdings plc, together with its subsidiaries, engages in the residential-led and mixed-use property development and ancillary activities in the United Kingdom. The company is involved in land selling activities. It operates under the Berkeley, St Edward, St George, St James, St Joseph, and St William brand names. The Berkeley Group Holdings plc was founded in 1976 and is headquartered in Cobham, the United Kingdom.