Analyzing Millrose Properties (NYSE:MRP) and Claros Mortgage Trust (NYSE:CMTG)

Claros Mortgage Trust (NYSE:CMTG) and Millrose Properties (NYSE:MRP) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, valuation, risk, dividends, profitability and analyst recommendations.

Institutional & Insider Ownership

89.5% of Claros Mortgage Trust shares are owned by institutional investors. 1.4% of Claros Mortgage Trust shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Claros Mortgage Trust and Millrose Properties”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Claros Mortgage Trust	$97.78 million	5.34	$6.03 million	($1.59)	-2.36
Millrose Properties	$434.01 million	9.82	N/A	N/A	N/A

Claros Mortgage Trust has higher earnings, but lower revenue than Millrose Properties.

Profitability

This table compares Claros Mortgage Trust and Millrose Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Claros Mortgage Trust	-89.07%	4.72%	1.35%
Millrose Properties	N/A	N/A	N/A

Dividends

Claros Mortgage Trust pays an annual dividend of $0.40 per share and has a dividend yield of 10.7%. Millrose Properties pays an annual dividend of $0.38 per share and has a dividend yield of 1.4%. Claros Mortgage Trust pays out -25.2% of its earnings in the form of a dividend.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Claros Mortgage Trust and Millrose Properties, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Claros Mortgage Trust	2	3	1	0	1.83
Millrose Properties	0	0	0	1	4.00

Claros Mortgage Trust presently has a consensus price target of $4.31, suggesting a potential upside of 15.15%. Millrose Properties has a consensus price target of $25.00, suggesting a potential downside of 5.73%. Given Claros Mortgage Trust’s higher probable upside, equities research analysts clearly believe Claros Mortgage Trust is more favorable than Millrose Properties.

Summary

Claros Mortgage Trust beats Millrose Properties on 8 of the 13 factors compared between the two stocks.

About Claros Mortgage Trust

Claros Mortgage Trust, Inc. operates as a real estate investment trust. It focuses on originating senior and subordinate loans on transitional commercial real estate assets in the United States. The company has elected to be taxed as a real estate investment trust. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to shareholders. The company was incorporated in 2015 and is headquartered in New York, New York.

About Millrose Properties

Millrose Properties, Inc. is a real estate investment and management company that focuses on acquiring, developing, and managing high-quality commercial properties. They are headquartered in Purchase, New York.