Financial Comparison: AMREP (AXR) and Its Rivals

AMREP (NYSE:AXR) is one of 329 publicly-traded companies in the “Real Estate Management & Development” industry, but how does it compare to its competitors? We will compare AMREP to similar companies based on the strength of its dividends, risk, analyst recommendations, earnings, profitability, valuation and institutional ownership.

Risk and Volatility

AMREP has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500. Comparatively, AMREP’s competitors have a beta of -0.20, suggesting that their average share price is 120% less volatile than the S&P 500.

Institutional and Insider Ownership

59.8% of AMREP shares are owned by institutional investors. Comparatively, 32.4% of shares of all “Real Estate Management & Development” companies are owned by institutional investors. 37.4% of AMREP shares are owned by company insiders. Comparatively, 27.1% of shares of all “Real Estate Management & Development” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and price targets for AMREP and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AMREP	0	3	0	0	2.00
AMREP Competitors	1583	4692	7449	209	2.45

AMREP currently has a consensus target price of $22.00, indicating a potential upside of 2.55%. As a group, “Real Estate Management & Development” companies have a potential upside of 21.15%. Given AMREP’s competitors stronger consensus rating and higher possible upside, analysts plainly believe AMREP has less favorable growth aspects than its competitors.

Earnings & Valuation

This table compares AMREP and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
AMREP	$41.05 million	$10.29 million	19.86
AMREP Competitors	$2.69 billion	-$400.38 million	27.50

AMREP’s competitors have higher revenue, but lower earnings than AMREP. AMREP is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares AMREP and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AMREP	14.31%	4.21%	4.09%
AMREP Competitors	-264.49%	-683.07%	-1.20%

Summary

AMREP beats its competitors on 7 of the 13 factors compared.

AMREP Company Profile

AMREP Corporation, through its subsidiaries, primarily engages in the real estate business. The company operates through two segments, Land Development and Homebuilding. It sells developed and undeveloped lots to homebuilders, commercial and industrial property developers, and others. In addition, the company owns mineral interests covering an area of approximately 55,000 surface acres of land in Sandoval County, New Mexico; and owns oil, gas, and minerals and mineral interests covering an area of approximately 147 surface acres of land in Brighton, Colorado. Further, the company focuses on selling single-family detached homes and attached homes. As of April 30, 2023, it owned approximately 17,000 acres in Sandoval County, New Mexico. The company owns an approximately 160-acre property in Brighton, Colorado. AMREP Corporation was founded in 1961 and is headquartered in Havertown, Pennsylvania.