MJ (OTCMKTS:MJNE) versus Stratus Properties (NASDAQ:STRS) Critical Comparison

MJ (OTCMKTS:MJNE) and Stratus Properties (NASDAQ:STRS) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, risk, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Profitability

This table compares MJ and Stratus Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MJ	N/A	N/A	N/A
Stratus Properties	-25.38%	-2.57%	-1.46%

Earnings & Valuation

This table compares MJ and Stratus Properties”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MJ	N/A	N/A	N/A	N/A	N/A
Stratus Properties	$54.18 million	4.34	$1.96 million	($1.01)	-29.11

Stratus Properties has higher revenue and earnings than MJ.

Insider & Institutional Ownership

61.6% of Stratus Properties shares are owned by institutional investors. 35.9% of MJ shares are owned by company insiders. Comparatively, 10.0% of Stratus Properties shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for MJ and Stratus Properties, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MJ	0	0	0	0	0.00
Stratus Properties	1	0	0	0	1.00

Given MJ’s higher possible upside, equities analysts clearly believe MJ is more favorable than Stratus Properties.

Volatility & Risk

MJ has a beta of -0.18, indicating that its share price is 118% less volatile than the S&P 500. Comparatively, Stratus Properties has a beta of 1.28, indicating that its share price is 28% more volatile than the S&P 500.

Summary

MJ beats Stratus Properties on 5 of the 9 factors compared between the two stocks.

About MJ

MJ Holdings, Inc., a cannabis holding company, engages in cultivation management, asset, and infrastructure development business in Nevada. It is also involved in production of cannabis related products; and provision of management services, dispensaries, and consulting services. The company is headquartered in Las Vegas, Nevada.

About Stratus Properties

Stratus Properties Inc., a real estate company, engages in the entitlement, development, management, leasing, and sale of multi and single family residential and commercial real estate properties in the Austin, Texas area and other select markets in Texas. The company operates in two segments, Real Estate Operations and Leasing Operations. Its leasing operations cover lease of space at retail and mixed-use and multi-family properties. The company was incorporated in 1992 and is headquartered in Austin, Texas.