Comparing Kennedy-Wilson (NYSE:KW) & Deutsche Wohnen (OTCMKTS:DWHHF)

Deutsche Wohnen (OTCMKTS:DWHHF) and Kennedy-Wilson (NYSE:KW) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, dividends, risk, institutional ownership, profitability, analyst recommendations and valuation.

Volatility & Risk

Deutsche Wohnen has a beta of 0.82, indicating that its share price is 18% less volatile than the S&P 500. Comparatively, Kennedy-Wilson has a beta of 1.02, indicating that its share price is 2% more volatile than the S&P 500.

Insider and Institutional Ownership

87.7% of Kennedy-Wilson shares are held by institutional investors. 22.7% of Kennedy-Wilson shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Deutsche Wohnen and Kennedy-Wilson”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Deutsche Wohnen	$1.49 billion	6.80	-$638.98 million	($1.70)	-14.94
Kennedy-Wilson	$531.40 million	2.58	-$33.00 million	($0.26)	-38.23

Kennedy-Wilson has lower revenue, but higher earnings than Deutsche Wohnen. Kennedy-Wilson is trading at a lower price-to-earnings ratio than Deutsche Wohnen, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent recommendations and price targets for Deutsche Wohnen and Kennedy-Wilson, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Deutsche Wohnen	0	0	0	0	0.00
Kennedy-Wilson	2	1	0	0	1.33

Kennedy-Wilson has a consensus target price of $10.00, suggesting a potential upside of 0.60%. Given Kennedy-Wilson’s stronger consensus rating and higher possible upside, analysts plainly believe Kennedy-Wilson is more favorable than Deutsche Wohnen.

Profitability

This table compares Deutsche Wohnen and Kennedy-Wilson’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Deutsche Wohnen	N/A	N/A	N/A
Kennedy-Wilson	1.59%	19.00%	2.22%

Summary

Kennedy-Wilson beats Deutsche Wohnen on 10 of the 13 factors compared between the two stocks.

About Deutsche Wohnen

Deutsche Wohnen SE develops and manages residential properties in Germany. The company operates through Rental, Value-add, Recurring Sales, Development, and Care segment. The Rental segment offers value-enhancing management to residential real estate portfolio. The Value- add segment engages in the core business of letting. This segment also includes multimedia services and the supply of energy. The Recurring Sales segment includes sales of individual condominiums and single-family homes. The Development segment includes project development to create new living space. The care segment includes all activities related to the management of care facilities and the leasing of care properties. Deutsche Wohnen SE was founded in 1924 and is headquartered in Berlin, Germany. Deutsche Wohnen SE operates as a subsidiary of Vonovia SE.

About Kennedy-Wilson

Kennedy-Wilson Holdings, Inc., together with its subsidiaries, operates as a real estate investment company. The company owns, operates, and invests in real estate both on its own and through its investment management platform. It focuses on multifamily and office properties located in the Western United States, the United Kingdom, Ireland, Spain, Italy, and Japan. The company had ownership interests in multifamily units, office space, retail and industrial space, and a hotel. It is involved in the development, redevelopment, and entitlement of real estate properties. Kennedy-Wilson Holdings, Inc. was founded in 1977 and is headquartered in Beverly Hills, California.