Comparing Howard Hughes (NYSE:HHH) & AMREP (NYSE:AXR)

AMREP (NYSE:AXR) and Howard Hughes (NYSE:HHH) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, valuation, analyst recommendations, profitability, institutional ownership, earnings and risk.

Valuation and Earnings

This table compares AMREP and Howard Hughes”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AMREP	$49.69 million	2.05	$12.72 million	$1.95	9.82
Howard Hughes	$1.75 billion	2.67	$200.55 million	$5.13	15.36

Howard Hughes has higher revenue and earnings than AMREP. AMREP is trading at a lower price-to-earnings ratio than Howard Hughes, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

59.9% of AMREP shares are owned by institutional investors. Comparatively, 93.8% of Howard Hughes shares are owned by institutional investors. 37.2% of AMREP shares are owned by company insiders. Comparatively, 48.0% of Howard Hughes shares are owned by company 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.

Profitability

This table compares AMREP and Howard Hughes’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AMREP	22.86%	7.98%	7.73%
Howard Hughes	14.95%	11.06%	3.36%

Analyst Ratings

This is a summary of current recommendations for AMREP and Howard Hughes, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AMREP	0	1	0	0	2.00
Howard Hughes	0	3	2	0	2.40

Howard Hughes has a consensus target price of $83.33, suggesting a potential upside of 5.77%. Given Howard Hughes’ stronger consensus rating and higher possible upside, analysts plainly believe Howard Hughes is more favorable than AMREP.

Volatility & Risk

AMREP has a beta of 1.45, suggesting that its stock price is 45% more volatile than the S&P 500. Comparatively, Howard Hughes has a beta of 1.22, suggesting that its stock price is 22% more volatile than the S&P 500.

Summary

Howard Hughes beats AMREP on 11 of the 14 factors compared between the two stocks.

About AMREP

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.

About Howard Hughes

Howard Hughes Holdings Inc., together with its subsidiaries, operates as a real estate development company in the United States. It operates in four segments: Operating Assets; Master Planned Communities (MPCs); Seaport; and Strategic Developments. The Operating Assets segment consists of developed or acquired retail, office, and multi-family properties along with other retail investments. Its MPCs segment develops, sells, and leases residential and commercial land designated for long-term community development projects in and around Las Vegas, Nevada; Houston, Texas; and Phoenix, Arizona. The Seaport segment is involved in the landlord operations, managed businesses, and events and sponsorships services of its restaurant, retail, and entertain properties in Pier 17, New York City; Historic Area/Uplands; and Tin Building, as well as in 250 Water Street and in the Jean-Georges restaurants. The Strategic Development segment develops and redevelops residential condominiums and commercial properties. It serves homebuilders. Howard Hughes Holdings Inc. was founded in 2010 and is headquartered in The Woodlands, Texas.