Analyzing Presidio Property Trust (NASDAQ:SQFT) & Equinix (NASDAQ:EQIX)

Presidio Property Trust (NASDAQ:SQFT) and Equinix (NASDAQ:EQIX) are both industrial products companies, but which is the better investment? We will compare the two companies based on the strength of their risk, earnings, institutional ownership, dividends, analyst recommendations, valuation and profitability.

Dividends

Presidio Property Trust pays an annual dividend of $0.02 per share and has a dividend yield of 2.5%. Equinix pays an annual dividend of $17.04 per share and has a dividend yield of 1.8%. Presidio Property Trust pays out -0.7% of its earnings in the form of a dividend. Equinix pays out 153.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Presidio Property Trust has raised its dividend for 1 consecutive years. Presidio Property Trust is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares Presidio Property Trust and Equinix’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Presidio Property Trust	-176.04%	-29.85%	-9.37%
Equinix	12.29%	8.34%	3.18%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Presidio Property Trust and Equinix, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Presidio Property Trust	0	0	0	0	0.00
Equinix	0	4	14	1	2.84

Equinix has a consensus price target of $976.81, indicating a potential upside of 2.94%. Given Equinix’s stronger consensus rating and higher probable upside, analysts plainly believe Equinix is more favorable than Presidio Property Trust.

Insider and Institutional Ownership

38.9% of Presidio Property Trust shares are held by institutional investors. Comparatively, 94.9% of Equinix shares are held by institutional investors. 18.7% of Presidio Property Trust shares are held by company insiders. Comparatively, 0.3% of Equinix shares are held 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.

Valuation and Earnings

This table compares Presidio Property Trust and Equinix”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Presidio Property Trust	$18.59 million	0.62	$10.15 million	($2.81)	-0.28
Equinix	$8.60 billion	10.65	$969.18 million	$11.09	85.57

Equinix has higher revenue and earnings than Presidio Property Trust. Presidio Property Trust is trading at a lower price-to-earnings ratio than Equinix, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Presidio Property Trust has a beta of 1.55, suggesting that its stock price is 55% more volatile than the S&P 500. Comparatively, Equinix has a beta of 0.72, suggesting that its stock price is 28% less volatile than the S&P 500.

Summary

Equinix beats Presidio Property Trust on 13 of the 18 factors compared between the two stocks.

About Presidio Property Trust

Presidio Property Trust, Inc. (we, our, us or the Company) is an internally-managed real estate investment trust (REIT), with holdings in office, industrial, retail and model home properties. We were incorporated in the State of California on September 28, 1999, and in August 2010, we reincorporated as a Maryland corporation. In October 2017, we changed our name from NetREIT, Inc., to Presidio Property Trust, Inc. Through Presidio Property Trust, Inc., its subsidiaries, and its partnerships, we own 12 commercial properties in fee interest, two of which we own as a partial interest in various affiliates, in which we serve as general partner, member and/or manager, and a special purpose acquisition company (until deconsolidation in September 2023). The Company has determined that the limited partnerships in which it owns less than 100% should be included in the Company’s consolidated financial statements as the Company directs their activities and has control of such limited partnerships.

About Equinix

Equinix (Nasdaq: EQIX) is the world's digital infrastructure company . Digital leaders harness Equinix's trusted platform to bring together and interconnect foundational infrastructure at software speed. Equinix enables organizations to access all the right places, partners and possibilities to scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value, while supporting their sustainability goals.