Financial Comparison: Franklin Street Properties (NYSE:FSP) and NSI (OTCMKTS:NIUWF)

Franklin Street Properties (NYSE:FSP) and NSI (OTCMKTS:NIUWF) are both real estate companies, but which is the better stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, profitability, earnings, valuation, risk and dividends.

Earnings and Valuation

This table compares Franklin Street Properties and NSI”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Franklin Street Properties	$105.92 million	0.40	-$52.72 million	($0.40)	-1.01
NSI	N/A	N/A	N/A	C($1.41)	-14.00

NSI has lower revenue, but higher earnings than Franklin Street Properties. NSI is trading at a lower price-to-earnings ratio than Franklin Street Properties, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Franklin Street Properties and NSI, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Franklin Street Properties	0	0	0	0	0.00
NSI	1	0	0	0	1.00

Dividends

Franklin Street Properties pays an annual dividend of $0.04 per share and has a dividend yield of 9.9%. NSI pays an annual dividend of C$0.15 per share and has a dividend yield of 0.8%. Franklin Street Properties pays out -10.0% of its earnings in the form of a dividend. NSI pays out -10.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Institutional and Insider Ownership

61.4% of Franklin Street Properties shares are held by institutional investors. Comparatively, 28.8% of NSI shares are held by institutional investors. 4.9% of Franklin Street Properties shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Franklin Street Properties and NSI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Franklin Street Properties	-43.90%	-7.79%	-5.30%
NSI	N/A	N/A	N/A

Summary

Franklin Street Properties beats NSI on 6 of the 11 factors compared between the two stocks.

About Franklin Street Properties

Franklin Street Properties Corp., based in Wakefield, Massachusetts, is focused on infill and central business district (CBD) office properties in the U.S. Sunbelt and Mountain West, as well as select opportunistic markets. FSP seeks value-oriented investments with an eye towards long-term growth and appreciation, as well as current income. FSP is a Maryland corporation that operates in a manner intended to qualify as a real estate investment trust (REIT) for federal income tax purposes.

About NSI

NSI N.V. is a specialist commercial property investor and the only listed real estate investment trust (REIT) focused on well-located offices in economic growth regions in The Netherlands. The NSI team aims to maximise returns for its shareholders through pro-active management of its investment portfolio, value-add initiatives, and disciplined asset rotation. The portfolio, with a value of over one billion euros, is underpinned by a strong balance sheet, with significant capacity to fund both internal and external growth. By investing in an attractive space and a high level of services for its customers, NSI can generate sustainable and growing revenues to support an attractive level of dividends.