Financial Analysis: Star (NASDAQ:STHO) versus Henderson Land Development (OTCMKTS:HLDCY)

Star (NASDAQ:STHO) and Henderson Land Development (OTCMKTS:HLDCY) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, analyst recommendations, institutional ownership and earnings.

Institutional and Insider Ownership

89.3% of Star shares are held by institutional investors. 3.7% of Star shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Star and Henderson Land Development, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Star	0	0	0	0	0.00
Henderson Land Development	0	0	0	1	4.00

Profitability

This table compares Star and Henderson Land Development’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Star	-44.28%	-34.56%	-20.35%
Henderson Land Development	N/A	N/A	N/A

Valuation and Earnings

This table compares Star and Henderson Land Development”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Star	$113.30 million	N/A	-$86.75 million	($3.41)	-2.35
Henderson Land Development	$2.63 billion	6.68	$807.15 million	N/A	N/A

Henderson Land Development has higher revenue and earnings than Star.

Risk & Volatility

Star has a beta of 1.32, suggesting that its share price is 32% more volatile than the S&P 500. Comparatively, Henderson Land Development has a beta of 0.62, suggesting that its share price is 38% less volatile than the S&P 500.

Summary

Henderson Land Development beats Star on 7 of the 10 factors compared between the two stocks.

About Star

Star Holdings engages in the non-ground lease related commercial real estate businesses in the United States. Its portfolio primarily comprises interest in the Asbury Park Waterfront and Magnolia Green residential development projects. Star Holdings is based in New York, New York.

About Henderson Land Development

Henderson Land Development Company Limited, an investment holding company, engages in the property development and investment activities in Hong Kong and Mainland China. The company operates through Property Development, Property Leasing, Department Stores and Supermarket-Cum-Stores Operations, Hotel Room Operation, Other Businesses, and Utility and Energy segments. The Property Development segment develops and sells real estate properties. Its property portfolio primarily includes offices, shopping arcades, shopping malls, commercial complexes, and residential properties. The Property Leasing segment leases properties. The Department Stores and Supermarket-Cum-Stores Operations segment operates and manages department stores and supermarket-cum-stores. The Hotel Room Operation segment operates hotel properties. The Other Businesses segment operates and manages hotels; provides construction, finance, project management, property management, agency, and cleaning and security guard services; and trades in building materials. It also engages in food and beverage, and travel operations. The Utility and Energy segment is involved in production, distribution, and marketing gas; and water supply and environmentally friendly energy businesses. Henderson Land Development Company Limited was founded in 1976 and is based in Central, Hong Kong. Henderson Land Development Company Limited is a subsidiary of Henderson Development Limited.