Brandywine Realty Trust (NYSE:BDN) and SBA Communications (NASDAQ:SBAC) Head to Head Comparison

Brandywine Realty Trust (NYSE:BDN) and SBA Communications (NASDAQ:SBAC) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, dividends, risk, institutional ownership, earnings and analyst recommendations.

Analyst Ratings

This is a breakdown of current ratings and target prices for Brandywine Realty Trust and SBA Communications, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Brandywine Realty Trust	0	2	1	0	2.33
SBA Communications	0	3	9	1	2.85

Brandywine Realty Trust currently has a consensus price target of $5.83, suggesting a potential upside of 1.19%. SBA Communications has a consensus price target of $257.23, suggesting a potential upside of 12.57%. Given SBA Communications’ stronger consensus rating and higher probable upside, analysts clearly believe SBA Communications is more favorable than Brandywine Realty Trust.

Insider and Institutional Ownership

87.3% of Brandywine Realty Trust shares are owned by institutional investors. Comparatively, 97.4% of SBA Communications shares are owned by institutional investors. 2.6% of Brandywine Realty Trust shares are owned by company insiders. Comparatively, 1.3% of SBA Communications shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Brandywine Realty Trust and SBA Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Brandywine Realty Trust	-60.08%	-24.59%	-8.33%
SBA Communications	25.76%	-13.13%	6.83%

Risk and Volatility

Brandywine Realty Trust has a beta of 1.33, indicating that its share price is 33% more volatile than the S&P 500. Comparatively, SBA Communications has a beta of 0.68, indicating that its share price is 32% less volatile than the S&P 500.

Dividends

Brandywine Realty Trust pays an annual dividend of $0.60 per share and has a dividend yield of 10.4%. SBA Communications pays an annual dividend of $3.92 per share and has a dividend yield of 1.7%. Brandywine Realty Trust pays out -33.3% of its earnings in the form of a dividend. SBA Communications pays out 61.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Brandywine Realty Trust is clearly the better dividend stock, given its higher yield and lower payout ratio.

Earnings & Valuation

This table compares Brandywine Realty Trust and SBA Communications”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Brandywine Realty Trust	$514.65 million	1.93	-$196.79 million	($1.80)	-3.20
SBA Communications	$2.71 billion	9.06	$501.81 million	$6.34	36.04

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

Summary

SBA Communications beats Brandywine Realty Trust on 13 of the 17 factors compared between the two stocks.

About Brandywine Realty Trust

Brandywine Realty Trust (NYSE: BDN) is one of the largest, publicly traded, full-service, integrated real estate companies in the United States with a core focus in the Philadelphia and Austin markets. Organized as a real estate investment trust (REIT), we own, develop, lease and manage an urban, town center and transit-oriented portfolio comprising 160 properties and 22.6 million square feet as of September 30, 2023 which excludes assets held for sale. Our purpose is to shape, connect and inspire the world around us through our expertise, the relationships we foster, the communities in which we live and work, and the history we build together.

About SBA Communications

SBA Communications Corporation is a leading independent owner and operator of wireless communications infrastructure including towers, buildings, rooftops, distributed antenna systems (DAS) and small cells. With a portfolio of more than 39,000 communications sites throughout the Americas, Africa and in Asia, SBA is listed on NASDAQ under the symbol SBAC. Our organization is part of the S&P 500 and is one of the top Real Estate Investment Trusts (REITs) by market capitalization.