Contrasting Invesco Trust for Investment Grade New York Municipals (NYSE:VTN) and iShares Biotechnology ETF (NASDAQ:IBB)

iShares Biotechnology ETF (NASDAQ:IBB) and Invesco Trust for Investment Grade New York Municipals (NYSE:VTN) are both finance companies, but which is the better stock? We will contrast the two companies based on the strength of their profitability, institutional ownership, dividends, risk, earnings, analyst recommendations and valuation.

Volatility and Risk

iShares Biotechnology ETF has a beta of 0.84, suggesting that its share price is 16% less volatile than the S&P 500. Comparatively, Invesco Trust for Investment Grade New York Municipals has a beta of 0.64, suggesting that its share price is 36% less volatile than the S&P 500.

Earnings & Valuation

This table compares iShares Biotechnology ETF and Invesco Trust for Investment Grade New York Municipals”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
iShares Biotechnology ETF	N/A	N/A	N/A	N/A	N/A
Invesco Trust for Investment Grade New York Municipals	$19.37 million	10.48	N/A	N/A	N/A

Dividends

iShares Biotechnology ETF pays an annual dividend of $0.38 per share and has a dividend yield of 0.3%. Invesco Trust for Investment Grade New York Municipals pays an annual dividend of $0.67 per share and has a dividend yield of 6.4%.

Institutional and Insider Ownership

62.5% of iShares Biotechnology ETF shares are owned by institutional investors. Comparatively, 34.9% of Invesco Trust for Investment Grade New York Municipals shares are owned by institutional investors. 1.0% of Invesco Trust for Investment Grade New York Municipals shares are owned 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.

Profitability

This table compares iShares Biotechnology ETF and Invesco Trust for Investment Grade New York Municipals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
iShares Biotechnology ETF	N/A	N/A	N/A
Invesco Trust for Investment Grade New York Municipals	N/A	N/A	N/A

Analyst Ratings

This is a breakdown of current ratings for iShares Biotechnology ETF and Invesco Trust for Investment Grade New York Municipals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
iShares Biotechnology ETF	0	34	110	2	2.70
Invesco Trust for Investment Grade New York Municipals	0	0	0	0	0.00

iShares Biotechnology ETF currently has a consensus price target of $130.29, indicating a potential upside of 0.00%. Given iShares Biotechnology ETF’s stronger consensus rating and higher probable upside, analysts clearly believe iShares Biotechnology ETF is more favorable than Invesco Trust for Investment Grade New York Municipals.

Summary

iShares Biotechnology ETF beats Invesco Trust for Investment Grade New York Municipals on 6 of the 9 factors compared between the two stocks.

About iShares Biotechnology ETF

iShares Nasdaq Biotechnology ETF (the Fund), formerly iShares Nasdaq Biotechnology Index Fund, is an exchange-traded fund (ETF). The Fund seeks investment results that correspond generally to the price and yield performance of the NASDAQ Biotechnology Index (the Index). The Index contains securities of NASDAQ listed companies that are classified according to the Industry Classification Benchmark as either biotechnology or pharmaceuticals, which also meet other eligibility criteria determined by NASDAQ. The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. Due to the use of representative sampling, the Fund may or may not hold all of the securities that are included in the Index. The Fund’s investment advisor is BlackRock Fund Advisors, which is indirectly owned by BlackRock, Inc.

About Invesco Trust for Investment Grade New York Municipals

Invesco Trust for Investment Grade New York Municipals is a closed-ended fixed income mutual fund launched by Invesco Ltd. The fund is co-managed by Invesco Advisers, Inc., INVESCO Asset Management (Japan) Limited, INVESCO Asset Management Deutschland GmbH, INVESCO Asset Management Limited, Invesco Canada Ltd., Invesco Hong Kong Limited, and INVESCO Senior Secured Management, Inc. It invests in the fixed income markets of the United States. The fund primarily invests in investment grade New York municipal securities which include municipal bonds, municipal notes, municipal commercial paper, and lease obligations. It employs fundamental analysis with bottom-up security selection approach to create its portfolio. The fund was formerly known as Invesco Van Kampen Trust for Investment Grade New York Municipals. Invesco Trust for Investment Grade New York Municipals was formed on March 27, 1992 and is domiciled in the United States.