Critical Analysis: Rafael (NYSE:RFL) vs. Corporación Inmobiliaria Vesta (NYSE:VTMX)

Corporación Inmobiliaria Vesta (NYSE:VTMX) and Rafael (NYSE:RFL) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, valuation, profitability, dividends, earnings, institutional ownership and risk.

Earnings & Valuation

This table compares Corporación Inmobiliaria Vesta and Rafael”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Corporación Inmobiliaria Vesta	$236.66 million	98.05	$316.64 million	$5.02	5.35
Rafael	$540,000.00	89.62	-$1.88 million	($1.20)	-1.64

Corporación Inmobiliaria Vesta has higher revenue and earnings than Rafael. Rafael is trading at a lower price-to-earnings ratio than Corporación Inmobiliaria Vesta, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Corporación Inmobiliaria Vesta and Rafael’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Corporación Inmobiliaria Vesta	179.79%	17.11%	11.11%
Rafael	-5,329.44%	-36.57%	-34.92%

Volatility & Risk

Corporación Inmobiliaria Vesta has a beta of 1.4, suggesting that its stock price is 40% more volatile than the S&P 500. Comparatively, Rafael has a beta of 1.07, suggesting that its stock price is 7% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings for Corporación Inmobiliaria Vesta and Rafael, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Corporación Inmobiliaria Vesta	0	0	2	0	3.00
Rafael	0	0	0	0	N/A

Corporación Inmobiliaria Vesta presently has a consensus target price of $40.00, indicating a potential upside of 48.92%. Given Corporación Inmobiliaria Vesta’s higher probable upside, equities research analysts plainly believe Corporación Inmobiliaria Vesta is more favorable than Rafael.

Institutional and Insider Ownership

6.9% of Corporación Inmobiliaria Vesta shares are owned by institutional investors. Comparatively, 11.3% of Rafael shares are owned by institutional investors. 9.7% of Rafael shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Corporación Inmobiliaria Vesta beats Rafael on 11 of the 13 factors compared between the two stocks.

About Corporación Inmobiliaria Vesta

Corporación Inmobiliaria Vesta, S.A.B. de C.V., together with its subsidiaries, acquires, develops, manages, operates, and leases industrial buildings and distribution facilities in Mexico. The company was incorporated in 1998 and is headquartered in Mexico City, Mexico.

About Rafael

Rafael Holdings, Inc. primarily engages in holding interests in clinical and early-stage pharmaceutical companies, and commercial real estate assets in the United States and Israel. It operates in two segments, Healthcare and Real Estate. The company engages in the development and commercialization of therapies that exploit the metabolic differences between normal cells and cancer cells. Its lead drug candidate is CPI-613 (devimistat), currently under Phase III clinical study for the treatment of metastatic pancreatic cancer and acute myeloid leukemia. The company is also involved in developing Promitil, a molecule designed for the targeted delivery of mitomycin-C in a proprietary prodrug form, completed Phase 1B clinical studies; Folate-targeted Promitil (Promi-Fol) which is aimed at local treatment (intravesical) of superficial bladder cancer; and Promi-Dox, a highly potent dual drug liposome with MLP and doxorubicin targeting a potential basket of tumors. In addition, it engages in the development of surgical and procedural devices, including orthopedic arthroscopy instrumentation. Rafael Holdings, Inc. was incorporated in 2017 and is headquartered in Newark, New Jersey.