Head-To-Head Analysis: Universal Health Realty Income Trust (NYSE:UHT) and Public Storage (NYSE:PSA)

Public Storage (NYSE:PSA) and Universal Health Realty Income Trust (NYSE:UHT) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, valuation, institutional ownership, risk, profitability, earnings and analyst recommendations.

Dividends

Public Storage pays an annual dividend of $12.00 per share and has a dividend yield of 4.1%. Universal Health Realty Income Trust pays an annual dividend of $2.98 per share and has a dividend yield of 7.4%. Public Storage pays out 124.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Universal Health Realty Income Trust pays out 231.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Universal Health Realty Income Trust has increased its dividend for 2 consecutive years. Universal Health Realty Income Trust is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Volatility & Risk

Public Storage has a beta of 1.01, suggesting that its stock price is 1% more volatile than the S&P 500. Comparatively, Universal Health Realty Income Trust has a beta of 0.92, suggesting that its stock price is 8% less volatile than the S&P 500.

Insider & Institutional Ownership

78.8% of Public Storage shares are owned by institutional investors. Comparatively, 64.7% of Universal Health Realty Income Trust shares are owned by institutional investors. 11.1% of Public Storage shares are owned by company insiders. Comparatively, 2.4% of Universal Health Realty Income Trust shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent recommendations for Public Storage and Universal Health Realty Income Trust, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Public Storage	0	8	8	2	2.67
Universal Health Realty Income Trust	0	1	0	0	2.00

Public Storage presently has a consensus target price of $315.56, indicating a potential upside of 7.23%. Given Public Storage’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Public Storage is more favorable than Universal Health Realty Income Trust.

Profitability

This table compares Public Storage and Universal Health Realty Income Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Public Storage	39.53%	36.09%	9.46%
Universal Health Realty Income Trust	18.06%	10.63%	3.13%

Valuation and Earnings

This table compares Public Storage and Universal Health Realty Income Trust”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Public Storage	$4.70 billion	11.00	$2.07 billion	$9.63	30.56
Universal Health Realty Income Trust	$99.01 million	5.64	$19.23 million	$1.29	31.22

Public Storage has higher revenue and earnings than Universal Health Realty Income Trust. Public Storage is trading at a lower price-to-earnings ratio than Universal Health Realty Income Trust, indicating that it is currently the more affordable of the two stocks.

Summary

Public Storage beats Universal Health Realty Income Trust on 15 of the 18 factors compared between the two stocks.

About Public Storage

Public Storage, a member of the S&P 500 and FT Global 500, is a REIT that primarily acquires, develops, owns, and operates self-storage facilities. At December 31, 2023, we had: (i) interests in 3,044 self-storage facilities located in 40 states with approximately 218 million net rentable square feet in the United States and (ii) a 35% common equity interest in Shurgard Self Storage Limited (Euronext Brussels: SHUR), which owned 275 self-storage facilities located in seven Western European nations with approximately 15 million net rentable square feet operated under the Shurgard brand. Our headquarters are located in Glendale, California.

About Universal Health Realty Income Trust

Universal Health Realty Income Trust, a real estate investment trust, invests in healthcare and human-service related facilities including acute care hospitals, behavioral health care hospitals, specialty facilities, medical/office buildings, free-standing emergency departments and childcare centers. We have investments or commitments in seventy-six properties located in twenty-one states.