Reviewing OUTFRONT Media (OUT) and Its Peers

OUTFRONT Media (NYSE:OUT) is one of 35 public companies in the “Specialized REITs” industry, but how does it compare to its competitors? We will compare OUTFRONT Media to related businesses based on the strength of its earnings, institutional ownership, profitability, dividends, valuation, analyst recommendations and risk.

Insider and Institutional Ownership

78.0% of shares of all “Specialized REITs” companies are held by institutional investors. 0.5% of OUTFRONT Media shares are held by insiders. Comparatively, 7.5% of shares of all “Specialized REITs” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings for OUTFRONT Media and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OUTFRONT Media	0	1	6	0	2.86
OUTFRONT Media Competitors	519	2788	3668	191	2.49

OUTFRONT Media presently has a consensus price target of $34.00, indicating a potential upside of 5.16%. As a group, “Specialized REITs” companies have a potential upside of 12.87%. Given OUTFRONT Media’s competitors higher probable upside, analysts clearly believe OUTFRONT Media has less favorable growth aspects than its competitors.

Dividends

OUTFRONT Media pays an annual dividend of $1.32 per share and has a dividend yield of 4.1%. OUTFRONT Media pays out 89.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Specialized REITs” companies pay a dividend yield of 3.3% and pay out 119.8% of their earnings in the form of a dividend. OUTFRONT Media is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Valuation & Earnings

This table compares OUTFRONT Media and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
OUTFRONT Media	$1.83 billion	$147.00 million	22.00
OUTFRONT Media Competitors	$2.58 billion	$596.00 million	31.80

OUTFRONT Media’s competitors have higher revenue and earnings than OUTFRONT Media. OUTFRONT Media 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.

Risk & Volatility

OUTFRONT Media has a beta of 1.56, indicating that its stock price is 56% more volatile than the S&P 500. Comparatively, OUTFRONT Media’s competitors have a beta of 0.92, indicating that their average stock price is 8% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
OUTFRONT Media	12.66%	37.44%	4.65%
OUTFRONT Media Competitors	-5.31%	-3.47%	1.99%

Summary

OUTFRONT Media beats its competitors on 8 of the 15 factors compared.

OUTFRONT Media Company Profile

OUTFRONT Media Inc. is an out-of-home advertising company that sells advertising space on billboards, transit displays and other outdoor media. Its portfolio includes traditional and digital formats, helping advertisers reach audiences in public spaces and while traveling. The company operates primarily in the United States and Canada. Its offerings include large-format roadside advertising as well as displays on buses, rail systems and other transit properties. OUTFRONT Media traces its history to CBS Outdoor Americas, which became an independent public company in 2014 and adopted the OUTFRONT Media name.