Getty Realty (NYSE:GTY) & Medalist Diversified REIT (NASDAQ:MDRR) Head to Head Comparison

Getty Realty (NYSE:GTY) and Medalist Diversified REIT (NASDAQ:MDRR) are both small-cap finance companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, risk, dividends, earnings, valuation, profitability and analyst recommendations.

Dividends

Getty Realty pays an annual dividend of $1.94 per share and has a dividend yield of 5.9%. Medalist Diversified REIT pays an annual dividend of $0.27 per share and has a dividend yield of 2.3%. Getty Realty pays out 127.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Medalist Diversified REIT pays out -14.7% of its earnings in the form of a dividend. Getty Realty has raised its dividend for 1 consecutive years and Medalist Diversified REIT has raised its dividend for 2 consecutive years.

Risk and Volatility

Getty Realty has a beta of 0.75, indicating that its stock price is 25% less volatile than the S&P 500. Comparatively, Medalist Diversified REIT has a beta of 0.59, indicating that its stock price is 41% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Getty Realty and Medalist Diversified REIT, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Getty Realty	0	4	1	0	2.20
Medalist Diversified REIT	1	0	0	0	1.00

Getty Realty currently has a consensus target price of $33.00, indicating a potential downside of 0.15%. Given Getty Realty’s stronger consensus rating and higher probable upside, equities analysts plainly believe Getty Realty is more favorable than Medalist Diversified REIT.

Earnings and Valuation

This table compares Getty Realty and Medalist Diversified REIT”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Getty Realty	$221.73 million	9.01	$79.19 million	$1.52	21.74
Medalist Diversified REIT	$10.40 million	1.60	-$2.39 million	($1.84)	-6.33

Getty Realty has higher revenue and earnings than Medalist Diversified REIT. Medalist Diversified REIT is trading at a lower price-to-earnings ratio than Getty Realty, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

85.1% of Getty Realty shares are owned by institutional investors. Comparatively, 17.4% of Medalist Diversified REIT shares are owned by institutional investors. 7.5% of Getty Realty shares are owned by company insiders. Comparatively, 43.8% of Medalist Diversified REIT shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Getty Realty and Medalist Diversified REIT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Getty Realty	40.06%	8.76%	4.32%
Medalist Diversified REIT	-22.37%	-9.28%	-2.86%

Summary

Getty Realty beats Medalist Diversified REIT on 14 of the 17 factors compared between the two stocks.

About Getty Realty

Getty Realty Corp. is a publicly traded, net lease REIT specializing in the acquisition, financing and development of convenience, automotive and other single tenant retail real estate. As of December 31, 2023, the Company’s portfolio included 1,093 freestanding properties located in 40 states across the United States and Washington, D.C.

About Medalist Diversified REIT

Medalist Diversified REIT Inc. is a Virginia-based real estate investment trust that specializes in acquiring, owning and managing commercial real estate in the Southeast region of the U.S. The Company's strategy is to focus on commercial real estate which is expected to provide an attractive balance of risk and returns. Medalist utilizes a rigorous, consistent and replicable process for sourcing and conducting due diligence of acquisitions.