Head to Head Review: Berkeley Group (OTCMKTS:BKGFY) and Howard Hughes (NYSE:HHH)

Berkeley Group (OTCMKTS:BKGFY) and Howard Hughes (NYSE:HHH) are both mid-cap finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, valuation, analyst recommendations, earnings, profitability, risk and dividends.

Profitability

This table compares Berkeley Group and Howard Hughes’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Berkeley Group	N/A	N/A	N/A
Howard Hughes	14.27%	10.21%	3.08%

Insider & Institutional Ownership

93.8% of Howard Hughes shares are held by institutional investors. 33.0% of Howard Hughes shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Volatility & Risk

Berkeley Group has a beta of 1.34, meaning that its stock price is 34% more volatile than the S&P 500. Comparatively, Howard Hughes has a beta of 1.23, meaning that its stock price is 23% more volatile than the S&P 500.

Earnings and Valuation

This table compares Berkeley Group and Howard Hughes”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Berkeley Group	$3.10 billion	1.69	$500.02 million	N/A	N/A
Howard Hughes	$1.75 billion	1.97	$200.55 million	$5.21	13.14

Berkeley Group has higher revenue and earnings than Howard Hughes.

Analyst Recommendations

This is a summary of recent ratings and target prices for Berkeley Group and Howard Hughes, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Berkeley Group	0	0	0	2	4.00
Howard Hughes	0	1	2	0	2.67

Howard Hughes has a consensus price target of $80.33, indicating a potential upside of 17.32%. Given Howard Hughes’ higher possible upside, analysts plainly believe Howard Hughes is more favorable than Berkeley Group.

Summary

Howard Hughes beats Berkeley Group on 8 of the 13 factors compared between the two stocks.

About Berkeley Group

The Berkeley Group Holdings plc, together with its subsidiaries, engages in the residential-led and mixed-use property development and ancillary activities in the United Kingdom. The company is involved in land selling activities. It operates under the Berkeley, St Edward, St George, St James, St Joseph, and St William brand names. The Berkeley Group Holdings plc was founded in 1976 and is headquartered in Cobham, the United Kingdom.

About Howard Hughes

Howard Hughes Holdings Inc., together with its subsidiaries, operates as a real estate development company in the United States. It operates in four segments: Operating Assets; Master Planned Communities (MPCs); Seaport; and Strategic Developments. The Operating Assets segment consists of developed or acquired retail, office, and multi-family properties along with other retail investments. Its MPCs segment develops, sells, and leases residential and commercial land designated for long-term community development projects in and around Las Vegas, Nevada; Houston, Texas; and Phoenix, Arizona. The Seaport segment is involved in the landlord operations, managed businesses, and events and sponsorships services of its restaurant, retail, and entertain properties in Pier 17, New York City; Historic Area/Uplands; and Tin Building, as well as in 250 Water Street and in the Jean-Georges restaurants. The Strategic Development segment develops and redevelops residential condominiums and commercial properties. It serves homebuilders. Howard Hughes Holdings Inc. was founded in 2010 and is headquartered in The Woodlands, Texas.