Contrasting Apple Hospitality REIT (NYSE:APLE) & BRAEMAR HOTELS & RESORTS (NYSE:BHR)

BRAEMAR HOTELS & RESORTS (NYSE:BHR) and Apple Hospitality REIT (NYSE:APLE) are both real estate companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, risk, institutional ownership, profitability and earnings.

Risk & Volatility

BRAEMAR HOTELS & RESORTS has a beta of 0.79, suggesting that its stock price is 21% less volatile than the S&P 500. Comparatively, Apple Hospitality REIT has a beta of 0.87, suggesting that its stock price is 13% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for BRAEMAR HOTELS & RESORTS and Apple Hospitality REIT, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BRAEMAR HOTELS & RESORTS	1	2	0	0	1.67
Apple Hospitality REIT	0	7	2	1	2.40

BRAEMAR HOTELS & RESORTS presently has a consensus target price of $2.50, suggesting a potential upside of 10.86%. Apple Hospitality REIT has a consensus target price of $16.00, suggesting a potential downside of 3.05%. Given BRAEMAR HOTELS & RESORTS’s higher possible upside, analysts plainly believe BRAEMAR HOTELS & RESORTS is more favorable than Apple Hospitality REIT.

Valuation & Earnings

This table compares BRAEMAR HOTELS & RESORTS and Apple Hospitality REIT”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BRAEMAR HOTELS & RESORTS	$704.02 million	0.22	-$22.32 million	($0.96)	-2.35
Apple Hospitality REIT	$1.41 billion	2.76	$175.36 million	$0.73	22.61

Apple Hospitality REIT has higher revenue and earnings than BRAEMAR HOTELS & RESORTS. BRAEMAR HOTELS & RESORTS is trading at a lower price-to-earnings ratio than Apple Hospitality REIT, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares BRAEMAR HOTELS & RESORTS and Apple Hospitality REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BRAEMAR HOTELS & RESORTS	-2.24%	-8.68%	-0.80%
Apple Hospitality REIT	12.08%	5.43%	3.50%

Insider and Institutional Ownership

64.8% of BRAEMAR HOTELS & RESORTS shares are owned by institutional investors. Comparatively, 89.7% of Apple Hospitality REIT shares are owned by institutional investors. 8.2% of BRAEMAR HOTELS & RESORTS shares are owned by insiders. Comparatively, 6.9% of Apple Hospitality REIT shares are owned by 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.

Summary

Apple Hospitality REIT beats BRAEMAR HOTELS & RESORTS on 13 of the 15 factors compared between the two stocks.

About BRAEMAR HOTELS & RESORTS

Braemar Hotels & Resorts is a conservatively capitalized REIT that invests primarily in high RevPAR, full-service luxury hotels and resorts. We are listed on the New York Stock Exchange under the symbol BHR and are externally-advised by Ashford (NYSE American: AINC).

About Apple Hospitality REIT

Apple Hospitality REIT, Inc. (NYSE: APLE) is a publicly traded real estate investment trust (REIT) that owns one of the largest and most diverse portfolios of upscale, rooms-focused hotels in the United States. Apple Hospitality's portfolio consists of 223 hotels with more than 29,400 guest rooms located in 87 markets throughout 37 states as well as one property leased to third parties. Concentrated with industry-leading brands, the Company's hotel portfolio consists of 99 Marriott-branded hotels, 119 Hilton-branded hotels and five Hyatt-branded hotels.