Head to Head Contrast: Allied Properties Real Estate Investment Trust (OTCMKTS:APYRF) & Paramount Group (NYSE:PGRE)

Paramount Group (NYSE:PGRE) and Allied Properties Real Estate Investment Trust (OTCMKTS:APYRF) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, valuation, analyst recommendations, institutional ownership, profitability and dividends.

Dividends

Paramount Group pays an annual dividend of $0.14 per share and has a dividend yield of 2.9%. Allied Properties Real Estate Investment Trust pays an annual dividend of $1.06 per share and has a dividend yield of 8.6%. Paramount Group pays out -12.1% of its earnings in the form of a dividend. Allied Properties Real Estate Investment Trust pays out 52.1% 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.

Analyst Ratings

This is a summary of current recommendations and price targets for Paramount Group and Allied Properties Real Estate Investment Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paramount Group	2	2	1	0	1.80
Allied Properties Real Estate Investment Trust	0	0	0	0	N/A

Paramount Group presently has a consensus target price of $4.60, indicating a potential downside of 3.87%. Allied Properties Real Estate Investment Trust has a consensus target price of $48.50, indicating a potential upside of 294.31%. Given Allied Properties Real Estate Investment Trust’s higher probable upside, analysts clearly believe Allied Properties Real Estate Investment Trust is more favorable than Paramount Group.

Profitability

This table compares Paramount Group and Allied Properties Real Estate Investment Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paramount Group	-33.85%	-6.01%	-3.09%
Allied Properties Real Estate Investment Trust	N/A	N/A	N/A

Valuation and Earnings

This table compares Paramount Group and Allied Properties Real Estate Investment Trust’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paramount Group	$743.19 million	1.40	-$259.74 million	($1.16)	-4.13
Allied Properties Real Estate Investment Trust	N/A	N/A	N/A	$2.03	6.06

Allied Properties Real Estate Investment Trust has lower revenue, but higher earnings than Paramount Group. Paramount Group is trading at a lower price-to-earnings ratio than Allied Properties Real Estate Investment Trust, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

65.6% of Paramount Group shares are held by institutional investors. Comparatively, 45.4% of Allied Properties Real Estate Investment Trust shares are held by institutional investors. 13.5% of Paramount Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

Allied Properties Real Estate Investment Trust beats Paramount Group on 7 of the 12 factors compared between the two stocks.

About Paramount Group

Paramount Group, Inc. ("Paramount" or the "Company") is a fully-integrated real estate investment trust that owns, operates, manages, acquires and redevelops high-quality, Class A office properties located in select central business district submarkets of New York and San Francisco. Paramount is focused on maximizing the value of its portfolio by leveraging the sought-after locations of its assets and its proven property management capabilities to attract and retain high-quality tenants.

About Allied Properties Real Estate Investment Trust

Allied is a leading owner-operator of distinctive urban workspace in Canada's major cities. Allied's mission is to provide knowledge-based organizations with workspace that is sustainable and conducive to human wellness, creativity, connectivity and diversity. Allied's vision is to make a continuous contribution to cities and culture that elevates and inspires the humanity in all people.