Contrasting Sotherly Hotels (NASDAQ:SOHO) and Klépierre (OTCMKTS:KLPEF)

Sotherly Hotels (NASDAQ:SOHO) and Klépierre (OTCMKTS:KLPEF) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their risk, institutional ownership, profitability, earnings, valuation, analyst recommendations and dividends.

Profitability

This table compares Sotherly Hotels and Klépierre’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sotherly Hotels	2.27%	7.81%	0.98%
Klépierre	N/A	N/A	N/A

Analyst Recommendations

This is a summary of current recommendations and price targets for Sotherly Hotels and Klépierre, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sotherly Hotels	0	1	0	0	2.00
Klépierre	1	2	1	0	2.00

Sotherly Hotels currently has a consensus price target of $2.25, suggesting a potential upside of 53.55%. Given Sotherly Hotels’ higher possible upside, equities analysts clearly believe Sotherly Hotels is more favorable than Klépierre.

Institutional and Insider Ownership

27.5% of Sotherly Hotels shares are owned by institutional investors. 15.9% of Sotherly Hotels 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.

Volatility and Risk

Sotherly Hotels has a beta of 1.63, suggesting that its stock price is 63% more volatile than the S&P 500. Comparatively, Klépierre has a beta of 1.5, suggesting that its stock price is 50% more volatile than the S&P 500.

Earnings and Valuation

This table compares Sotherly Hotels and Klépierre’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sotherly Hotels	$173.84 million	0.17	$3.94 million	($0.21)	-6.94
Klépierre	$1.30 billion	N/A	$437.45 million	N/A	N/A

Klépierre has higher revenue and earnings than Sotherly Hotels.

Summary

Sotherly Hotels beats Klépierre on 7 of the 10 factors compared between the two stocks.

About Sotherly Hotels

Sotherly Hotels Inc. is a self-managed and self-administered lodging REIT focused on the acquisition, renovation, upbranding and repositioning of upscale to upper-upscale full-service hotels in the Southern United States. Sotherly may also opportunistically acquire hotels throughout the United States. Currently, the Company's portfolio consists of investments in ten hotel properties, comprising 2,786 rooms, as well as interests in two condominium hotels and their associated rental programs. The Company owns hotels that operate under the Hilton Worldwide and Hyatt Hotels Corporation brands, as well as independent hotels. Sotherly Hotels Inc. was organized in 2004 and is headquartered in Williamsburg, Virginia.

About Klépierre

Klépierre SA is the European leader in shopping malls, combining property development and asset management skills. The Company's portfolio is valued at 19.3 billion at December 31, 2023, and comprises large shopping centers in more than 10 countries in Continental Europe which together host hundreds of millions of visitors per year. Klépierre SA holds a controlling stake in Steen & Strøm (56.1%), Scandinavia's number one shopping center owner and manager. Klépierre SA is a French REIT (SIIC) listed on Euronext Paris and is included in the CAC Next 20 and EPRA Euro Zone Indexes. It is also included in ethical indexes, such as Euronext CAC 40 ESG, Euronext CAC SBT 1.5, MSCI Europe ESG Leaders, FTSE4Good, Euronext Vigeo Europe 120, and features in CDP's A-list. These distinctions underscore the Group's commitment to a proactive sustainable development policy and its global leadership in the fight against climate change.