Highwoods Properties (NYSE:HIW) vs. Crown Castle International (NYSE:CCI) Financial Contrast


Highwoods Properties (NYSE:HIW – Get Rating) and Crown Castle International (NYSE:CCI – Get Rating) are both finance companies, but which is the better investment? We’ll compare the two companies based on their dividend strength, profitability, institutional ownership, risk, analyst recommendations, earnings and valuation.

Analyst Recommendations

This is a breakdown of the current ratings for Highwoods Properties and Crown Castle International, as provided by MarketBeat.com.

Sales Ratings Hold odds Buy reviews Strong buy odds Rating
Highwoods Properties 0 1 3 0 2.75
International Crown Castle 1 4 8 0 2.54

Highwoods Properties currently has a consensus target price of $50.25, indicating a potential upside of 27.15%. Crown Castle International has a consensus target price of $205.62, indicating a potential upside of 6.32%. Given Highwoods Properties’ higher consensus rating and possible higher upside, equity research analysts clearly believe that Highwoods Properties is more favorable than Crown Castle International.

Profitability

This table compares the net margins, return on equity and return on assets of Highwoods Properties and Crown Castle International.

Net margins Return on equity return on assets
Highwoods Properties 37.75% 11.99% 5.17%
International Crown Castle 22.12% 17.40% 3.74%

Dividends

Highwoods Properties pays an annual dividend of $2.00 per share and has a dividend yield of 5.1%. Crown Castle International pays an annual dividend of $5.88 per share and has a dividend yield of 3.0%. Highwoods Properties pays 70.7% of its profits as a dividend. Crown Castle International pays 175.0% of its earnings as a dividend, suggesting it may not have enough earnings to cover its dividend payment in the future. Highwoods Properties has increased its dividend for 5 consecutive years and Crown Castle International has increased its dividend for 7 consecutive years. Highwoods Properties is clearly the better dividend stock, given its higher yield and lower payout ratio.

Benefits and evaluation

This table compares the revenue, earnings per share and valuation of Highwoods Properties and Crown Castle International.

Gross revenue Price/sales ratio Net revenue Earnings per share Price/earnings ratio
Highwoods Properties $768.01 million 5.41 $313.28 million $2.83 13.96
International Crown Castle $6.34 billion 13.21 $1.10 billion $3.36 57.56

Crown Castle International has higher revenues and profits than Highwoods Properties. Highwoods Properties trades at a lower price-to-earnings ratio than Crown Castle International, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Highwoods Properties has a beta of 1.08, indicating that its stock price is 8% more volatile than the S&P 500. By comparison, Crown Castle International has a beta of 0.53, indicating that its stock price stock is 47% less volatile than the S&P 500.

Insider and Institutional Ownership

98.2% of the shares of Highwoods Properties are held by institutional investors. By comparison, 91.3% of Crown Castle International’s shares are held by institutional investors. 1.4% of the shares of Highwoods Properties are held by insiders of the company. By comparison, 0.5% of Crown Castle International shares are held by insiders of the company. Strong institutional ownership is an indication that endowments, hedge funds, and large money managers believe a company is poised for long-term growth.

Summary

Highwoods Properties beats Crown Castle International on 9 out of 17 factors compared between the two stocks.

About Highwoods Properties (Get a rating)

Highwoods Properties, Inc., headquartered in Raleigh, is a publicly traded real estate investment trust (REIT) (NYSE: HIW) and member of the S&P MidCap 400 Index. Highwoods is a fully integrated office REIT that owns , develops, acquires, leases and manages properties primarily in the Best Business Districts (BBDs) of Atlanta, Charlotte, Nashville, Orlando, Pittsburgh, Raleigh, Richmond and Tampa.

About Crown Castle International (Get a rating)

Crown Castle International LogoCrown Castle owns, operates and leases more than 40,000 cell towers and approximately 80,000 miles of fiber route supporting small cell and fiber solutions in all major US markets. This national communications infrastructure portfolio connects cities and communities to essential wireless data, technology and services, bringing information, ideas and innovation to the people and businesses that need it. For more information about Crown Castle, please visit www.crowncastle.com.



Receive daily news and reviews for Highwoods properties – Enter your email address below to receive a concise daily summary of the latest news and analyst ratings for Highwoods Properties and related companies with MarketBeat.com’s FREE daily email newsletter.

About Ferdinand Caldwell

Check Also

A perspective to the future

Since the latter part of the 19e century automobiles were the preferred mode of transportation …