Jones Lang LaSalle (NYSE: JLL) and SouFun Holdings Limited (NYSE:SFUN) are both financials companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, institutional ownership, risk, dividends, earnings and profitability.

Dividends

Jones Lang LaSalle pays an annual dividend of $0.70 per share and has a dividend yield of 0.6%. SouFun Holdings Limited does not pay a dividend. Jones Lang LaSalle pays out 10.6% of its earnings in the form of a dividend.

Risk & Volatility

Jones Lang LaSalle has a beta of 1.81, suggesting that its share price is 81% more volatile than the S&P 500. Comparatively, SouFun Holdings Limited has a beta of 1.36, suggesting that its share price is 36% more volatile than the S&P 500.

Valuation & Earnings

This table compares Jones Lang LaSalle and SouFun Holdings Limited’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Jones Lang LaSalle $7.31 billion 0.74 $651.60 million $6.62 18.04
SouFun Holdings Limited $821.57 million 1.97 -$19.98 million ($0.15) -24.40

Jones Lang LaSalle has higher revenue and earnings than SouFun Holdings Limited. SouFun Holdings Limited is trading at a lower price-to-earnings ratio than Jones Lang LaSalle, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Jones Lang LaSalle and SouFun Holdings Limited’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Jones Lang LaSalle 4.29% 10.68% 4.17%
SouFun Holdings Limited -8.27% -14.64% -4.45%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Jones Lang LaSalle and SouFun Holdings Limited, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Jones Lang LaSalle 0 2 4 0 2.67
SouFun Holdings Limited 2 3 2 0 2.00

Jones Lang LaSalle presently has a consensus target price of $131.80, indicating a potential upside of 10.39%. SouFun Holdings Limited has a consensus target price of $3.63, indicating a potential downside of 0.93%. Given Jones Lang LaSalle’s stronger consensus rating and higher probable upside, analysts plainly believe Jones Lang LaSalle is more favorable than SouFun Holdings Limited.

Institutional & Insider Ownership

89.1% of Jones Lang LaSalle shares are held by institutional investors. Comparatively, 50.2% of SouFun Holdings Limited shares are held by institutional investors. 0.7% of Jones Lang LaSalle shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Jones Lang LaSalle beats SouFun Holdings Limited on 13 of the 15 factors compared between the two stocks.

Jones Lang LaSalle Company Profile

Jones Lang LaSalle Incorporated (JLL) is a financial and professional services company specializing in real estate. The Company operates through four business segments: Americas; Europe, Middle East and Africa (EMEA); Asia Pacific, and LaSalle. It offers integrated services on a local, regional and global basis to owner, occupier, investor and developer clients. It delivers various real estate services (RES) across three geographic business segments: the Americas, EMEA and Asia Pacific. Its RES is organized into five product categories: leasing; capital markets and hotels; property and facility management; project and development services, and advisory, consulting and other services. LaSalle offers clients with real estate investment products and services, such as private investments in multiple real estate property types, including office, industrial, healthcare and multifamily residential. LaSalle enables clients to invest in separate accounts focused on public real estate equities.

SouFun Holdings Limited Company Profile

Fang Holdings Limited, formerly SouFun Holdings Limited, operates as a real estate Internet portal in China. The Company’s Websites and mobile applications support active online communities and networks of users seeking information on, and services for, the real estate and home-related sectors in China. The Company, through its Internet platform, is engaged in the development of transaction and financing platforms by offering direct sales services for new homes, online real estate brokerage services and financial services. The Company’s service offerings include marketing services, E-commerce services, listing services, Financial services and other value-added services. The Company provides secured loans in the form of entrusted loans and mortgage loans and unsecured loans primarily to home buyers, real estate developers and other borrowers that meet its credit assessment requirements.

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