Head-To-Head Review: VICI Properties (NYSE:VICI) & NETSTREIT (NYSE:NTST)

NETSTREIT (NYSE:NTST) and VICI Properties (NYSE:VICI) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, valuation, institutional ownership, risk, profitability, analyst recommendations and dividends.

Institutional & Insider Ownership

97.7% of VICI Properties shares are held by institutional investors. 0.6% of NETSTREIT shares are held by insiders. Comparatively, 0.3% of VICI Properties shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares NETSTREIT and VICI Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NETSTREIT	0.10%	0.01%	0.01%
VICI Properties	70.18%	10.17%	6.07%

Dividends

NETSTREIT pays an annual dividend of $0.86 per share and has a dividend yield of 5.0%. VICI Properties pays an annual dividend of $1.80 per share and has a dividend yield of 6.5%. VICI Properties pays out 68.7% of its earnings in the form of a dividend. NETSTREIT has increased its dividend for 1 consecutive years and VICI Properties has increased its dividend for 4 consecutive years. VICI Properties is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Analyst Recommendations

This is a summary of current ratings and price targets for NETSTREIT and VICI Properties, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NETSTREIT	0	2	10	1	2.92
VICI Properties	0	4	11	0	2.73

NETSTREIT presently has a consensus price target of $20.36, indicating a potential upside of 17.91%. VICI Properties has a consensus price target of $34.31, indicating a potential upside of 23.56%. Given VICI Properties’ higher possible upside, analysts clearly believe VICI Properties is more favorable than NETSTREIT.

Earnings and Valuation

This table compares NETSTREIT and VICI Properties”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NETSTREIT	$162.78 million	8.87	-$11.94 million	N/A	N/A
VICI Properties	$3.85 billion	7.71	$2.68 billion	$2.62	10.60

VICI Properties has higher revenue and earnings than NETSTREIT.

Volatility and Risk

NETSTREIT has a beta of 0.9, meaning that its stock price is 10% less volatile than the S&P 500. Comparatively, VICI Properties has a beta of 0.7, meaning that its stock price is 30% less volatile than the S&P 500.

Summary

VICI Properties beats NETSTREIT on 11 of the 17 factors compared between the two stocks.

About NETSTREIT

NETSTREIT Corp. is an internally managed real estate investment trust (REIT) based in Dallas, Texas that specializes in acquiring single-tenant net lease retail properties nationwide. The growing portfolio consists of high-quality properties leased to e-commerce resistant tenants with healthy balance sheets. Led by a management team of seasoned commercial real estate executives, NETSTREIT’s strategy is to create the highest quality net lease retail portfolio in the country with the goal of generating consistent cash flows and dividends for its investors.

About VICI Properties

VICI Properties Inc. is an S&P 500 experiential real estate investment trust that owns one of the largest portfolios of market-leading gaming, hospitality and entertainment destinations, including Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas, three of the most iconic entertainment facilities on the Las Vegas Strip. VICI Properties owns 93 experiential assets across a geographically diverse portfolio consisting of 54 gaming properties and 39 other experiential properties across the United States and Canada. The portfolio is comprised of approximately 127 million square feet and features approximately 60,300 hotel rooms and over 500 restaurants, bars, nightclubs and sportsbooks. Its properties are occupied by industry-leading gaming, leisure and hospitality operators under long-term, triple-net lease agreements. VICI Properties has a growing array of real estate and financing partnerships with leading operators in other experiential sectors, including Bowlero, Cabot, Canyon Ranch, Chelsea Piers, Great Wolf Resorts, Homefield, and Kalahari Resorts. VICI Properties also owns four championship golf courses and 33 acres of undeveloped and underdeveloped land adjacent to the Las Vegas Strip. VICI Properties’ goal is to create the highest quality and most productive experiential real estate portfolio through a strategy of partnering with the highest quality experiential place makers and operators.