Tanger (NYSE:SKT) versus Phillips Edison & Company, Inc. (NASDAQ:PECO) Head to Head Survey

Phillips Edison & Company, Inc. (NASDAQ:PECO) and Tanger (NYSE:SKT) are both mid-cap finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, risk, institutional ownership, valuation, dividends, analyst recommendations and earnings.

Dividends

Phillips Edison & Company, Inc. pays an annual dividend of $1.30 per share and has a dividend yield of 3.4%. Tanger pays an annual dividend of $1.17 per share and has a dividend yield of 3.2%. Phillips Edison & Company, Inc. pays out 146.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Tanger pays out 117.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Phillips Edison & Company, Inc. has increased its dividend for 1 consecutive years and Tanger has increased its dividend for 4 consecutive years.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Phillips Edison & Company, Inc. and Tanger, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Phillips Edison & Company, Inc.	0	5	4	0	2.44
Tanger	0	6	1	1	2.38

Phillips Edison & Company, Inc. currently has a consensus price target of $39.43, suggesting a potential upside of 2.39%. Tanger has a consensus price target of $36.71, suggesting a potential upside of 0.67%. Given Phillips Edison & Company, Inc.’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Phillips Edison & Company, Inc. is more favorable than Tanger.

Insider and Institutional Ownership

80.7% of Phillips Edison & Company, Inc. shares are held by institutional investors. Comparatively, 85.2% of Tanger shares are held by institutional investors. 8.1% of Phillips Edison & Company, Inc. shares are held by company insiders. Comparatively, 3.2% of Tanger shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Phillips Edison & Company, Inc. has a beta of 0.53, indicating that its share price is 47% less volatile than the S&P 500. Comparatively, Tanger has a beta of 1.2, indicating that its share price is 20% more volatile than the S&P 500.

Valuation and Earnings

This table compares Phillips Edison & Company, Inc. and Tanger”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Phillips Edison & Company, Inc.	$726.59 million	6.67	$111.30 million	$0.89	43.27
Tanger	$581.56 million	7.18	$114.78 million	$1.00	36.47

Tanger has lower revenue, but higher earnings than Phillips Edison & Company, Inc.. Tanger is trading at a lower price-to-earnings ratio than Phillips Edison & Company, Inc., indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Phillips Edison & Company, Inc. and Tanger’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Phillips Edison & Company, Inc.	15.32%	4.29%	2.12%
Tanger	19.70%	16.43%	4.48%

Summary

Tanger beats Phillips Edison & Company, Inc. on 11 of the 18 factors compared between the two stocks.

About Phillips Edison & Company, Inc.

Phillips Edison & Co., Inc. is a real estate investment trust, which engages in the ownership and operation of shopping centers. It also offers an investment management business providing property management and advisory services. Its portfolio consists of well-occupied, grocery-anchored neighborhood and community shopping centers having a mix of national, regional, and local retailers offering necessity-based goods and services. The company was founded by Jeffrey S. Edison and Michael C. Phillips in 1991 and is headquartered in Cincinnati, OH.

About Tanger

Tanger Inc. (NYSE: SKT) is a leading owner and operator of outlet and open-air retail shopping destinations, with over 43 years of expertise in the retail and outlet shopping industries. Tanger’s portfolio of 38 outlet centers, one adjacent managed center and one open-air lifestyle center comprises over 15 million square feet well positioned across tourist destinations and vibrant markets in 20 U.S. states and Canada. A publicly traded REIT since 1993, Tanger continues to innovate the retail experience for its shoppers with over 3,000 stores operated by more than 700 different brand name companies. Tanger is furnishing a Form 8-K with the Securities and Exchange Commission (“SEC”) that includes a supplemental information package for the quarter and year ended December 31, 2023.