Head-To-Head Review: COPT Defense Properties (NYSE:CDP) and First Industrial Realty Trust (NYSE:FR)

First Industrial Realty Trust (NYSE:FR) and COPT Defense Properties (NYSE:CDP) are both mid-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, valuation, profitability, dividends and risk.

Valuation and Earnings

This table compares First Industrial Realty Trust and COPT Defense Properties”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Industrial Realty Trust	$669.64 million	11.75	$287.55 million	$1.79	33.20
COPT Defense Properties	$750.00 million	4.56	$138.93 million	$1.33	22.73

First Industrial Realty Trust has higher earnings, but lower revenue than COPT Defense Properties. COPT Defense Properties is trading at a lower price-to-earnings ratio than First Industrial Realty Trust, indicating that it is currently the more affordable of the two stocks.

Dividends

First Industrial Realty Trust pays an annual dividend of $1.78 per share and has a dividend yield of 3.0%. COPT Defense Properties pays an annual dividend of $1.22 per share and has a dividend yield of 4.0%. First Industrial Realty Trust pays out 99.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. COPT Defense Properties pays out 91.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. First Industrial Realty Trust has raised its dividend for 12 consecutive years. COPT Defense Properties is clearly the better dividend stock, given its higher yield and lower payout ratio.

Analyst Ratings

This is a summary of current ratings for First Industrial Realty Trust and COPT Defense Properties, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Industrial Realty Trust	0	5	7	0	2.58
COPT Defense Properties	0	2	5	0	2.71

First Industrial Realty Trust currently has a consensus price target of $61.69, suggesting a potential upside of 3.80%. COPT Defense Properties has a consensus price target of $32.86, suggesting a potential upside of 8.69%. Given COPT Defense Properties’ stronger consensus rating and higher possible upside, analysts plainly believe COPT Defense Properties is more favorable than First Industrial Realty Trust.

Risk and Volatility

First Industrial Realty Trust has a beta of 1.14, meaning that its share price is 14% more volatile than the S&P 500. Comparatively, COPT Defense Properties has a beta of 0.86, meaning that its share price is 14% less volatile than the S&P 500.

Institutional & Insider Ownership

99.9% of First Industrial Realty Trust shares are held by institutional investors. 1.1% of First Industrial Realty Trust shares are held by insiders. Comparatively, 1.4% of COPT Defense Properties shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares First Industrial Realty Trust and COPT Defense Properties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Industrial Realty Trust	33.18%	8.65%	4.38%
COPT Defense Properties	19.99%	9.71%	3.50%

Summary

First Industrial Realty Trust beats COPT Defense Properties on 10 of the 17 factors compared between the two stocks.

About First Industrial Realty Trust

First Industrial Realty Trust, Inc. (NYSE: FR) is a leading U.S.-only owner, operator, developer and acquirer of logistics properties. Through our fully integrated operating and investing platform, we provide high quality facilities and industry-leading customer service to multinational corporations and regional firms that are essential for their supply chains. Our portfolio and new investments are concentrated in 15 target MSAs with an emphasis on supply-constrained, coastally oriented markets. In total, we own and have under development approximately 68.5 million square feet of industrial space as of December 31, 2023.

About COPT Defense Properties

COPT Defense Properties is a real estate investment trust. It acquires, develops, manages, sells, and leases out office properties and data centers. The firm operates through the following segments: Defense/Information Technology Locations, Regional Office, Wholesale Data Center, and Other. The company was founded on January 22,1988 and is headquartered in Columbia, MD.