RLJ Lodging Trust (NYSE:RLJ – Get Free Report) and InnSuites Hospitality Trust (NYSE:IHT – Get Free Report) are both small-cap real estate companies, but which is the better business? We will compare the two businesses based on the strength of their risk, profitability, earnings, dividends, institutional ownership, analyst recommendations and valuation.
Dividends
RLJ Lodging Trust pays an annual dividend of $0.60 per share and has a dividend yield of 5.5%. InnSuites Hospitality Trust pays an annual dividend of $0.02 per share and has a dividend yield of 1.5%. InnSuites Hospitality Trust pays out -14.3% of its earnings in the form of a dividend. RLJ Lodging Trust has raised its dividend for 3 consecutive years. RLJ Lodging Trust is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Profitability
This table compares RLJ Lodging Trust and InnSuites Hospitality Trust’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| RLJ Lodging Trust | 2.00% | 1.52% | 0.57% |
| InnSuites Hospitality Trust | -11.56% | -40.28% | -5.83% |
Analyst Ratings
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| RLJ Lodging Trust | 3 | 5 | 2 | 0 | 1.90 |
| InnSuites Hospitality Trust | 0 | 0 | 0 | 0 | 0.00 |
RLJ Lodging Trust currently has a consensus price target of $11.11, suggesting a potential upside of 1.66%. Given RLJ Lodging Trust’s stronger consensus rating and higher possible upside, research analysts plainly believe RLJ Lodging Trust is more favorable than InnSuites Hospitality Trust.
Volatility & Risk
RLJ Lodging Trust has a beta of 1.08, suggesting that its stock price is 8% more volatile than the S&P 500. Comparatively, InnSuites Hospitality Trust has a beta of 0.3, suggesting that its stock price is 70% less volatile than the S&P 500.
Institutional and Insider Ownership
92.3% of RLJ Lodging Trust shares are held by institutional investors. Comparatively, 2.5% of InnSuites Hospitality Trust shares are held by institutional investors. 3.7% of RLJ Lodging Trust shares are held by company insiders. Comparatively, 68.1% of InnSuites Hospitality Trust shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Earnings and Valuation
This table compares RLJ Lodging Trust and InnSuites Hospitality Trust”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| RLJ Lodging Trust | $1.35 billion | 1.23 | $28.51 million | N/A | N/A |
| InnSuites Hospitality Trust | $7.56 million | 1.69 | $200,000.00 | ($0.14) | -9.71 |
RLJ Lodging Trust has higher revenue and earnings than InnSuites Hospitality Trust.
Summary
RLJ Lodging Trust beats InnSuites Hospitality Trust on 13 of the 16 factors compared between the two stocks.
About RLJ Lodging Trust
RLJ Lodging Trust is a self-advised, publicly traded real estate investment trust that owns primarily premium-branded, high-margin, focused-service and compact full-service hotels. The Company's portfolio currently consists of 96 hotels with approximately 21,200 rooms, located in 23 states and the District of Columbia and an ownership interest in one unconsolidated hotel with 171 rooms.
About InnSuites Hospitality Trust
InnSuites Hospitality Trust (NYSE American symbol: IHT) first listed on the NYSE in 1971 is headquartered in Phoenix, Arizona is an unincorporated Ohio Business. Trust that owns and manages hotels under the InnSuites Hotels name. IHT qualifies as a Real Estate Investment Trust (REIT) for tax treatment currently taxed as a corporation with the IRS. IHT has paid dividends each year since 1971 currently at $0.2/year. There are approximately 9 million shares of stock outstanding. In addition, there are approximately 3 million RRF Partnership units convertible 1 to 1 into IHT stock. Total shares and units are approximately 12 million.
Receive News & Ratings for RLJ Lodging Trust Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for RLJ Lodging Trust and related companies with MarketBeat.com's FREE daily email newsletter.
