Reviewing AMREP (NYSE:AXR) and American Strategic Investment (NYSE:NYC)

American Strategic Investment (NYSE:NYC) and AMREP (NYSE:AXR) are both small-cap real estate companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, analyst recommendations, risk, valuation, institutional ownership and earnings.

Analyst Recommendations

This is a breakdown of recent recommendations for American Strategic Investment and AMREP, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
American Strategic Investment	1	0	0	0	1.00
AMREP	0	3	0	0	2.00

AMREP has a consensus price target of $22.00, suggesting a potential upside of 2.04%. Given AMREP’s stronger consensus rating and higher possible upside, analysts clearly believe AMREP is more favorable than American Strategic Investment.

Profitability

This table compares American Strategic Investment and AMREP’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
American Strategic Investment	38.87%	-50.85%	-7.02%
AMREP	14.31%	4.21%	4.09%

Valuation & Earnings

This table compares American Strategic Investment and AMREP”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
American Strategic Investment	$33.41 million	0.53	-$21.19 million	$4.90	1.13
AMREP	$52.85 million	2.17	$10.29 million	$1.08	19.96

AMREP has higher revenue and earnings than American Strategic Investment. American Strategic Investment is trading at a lower price-to-earnings ratio than AMREP, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

48.0% of American Strategic Investment shares are owned by institutional investors. Comparatively, 59.9% of AMREP shares are owned by institutional investors. 4.0% of American Strategic Investment shares are owned by insiders. Comparatively, 37.4% of AMREP shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Volatility & Risk

American Strategic Investment has a beta of 0.14, suggesting that its share price is 86% less volatile than the S&P 500. Comparatively, AMREP has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500.

Summary

AMREP beats American Strategic Investment on 11 of the 13 factors compared between the two stocks.

About American Strategic Investment

American Strategic Investment Co. (NYSE: NYC) is a real estate company focused on owning, operating and managing office and mixed-use properties in New York City. Its portfolio is concentrated in the city’s commercial real estate market and is designed to generate rental income through leasing space to businesses and other tenants. The company’s activities include property management, leasing, asset management and the operation of real estate investments. Its properties may include office space, retail components and other commercial facilities, with services intended to support tenants and maintain the value and functionality of its buildings.

About AMREP

AMREP Corporation (NYSE:AXR) is a diversified company with operations in fulfillment services and real estate. Through its fulfillment business, the company provides subscription fulfillment, direct-mail, customer-care, data-processing and related services for publishers, membership organizations and other clients. AMREP also conducts real estate activities through subsidiaries that acquire, develop and sell land and residential properties. Its real estate operations are concentrated primarily in New Mexico, including the Rio Rancho area, where the company has been involved in the development and sale of residential and other land parcels.