Comparing MJ (OTCMKTS:MJNE) & Stratus Properties (NASDAQ:STRS)

Stratus Properties (NASDAQ:STRS) and MJ (OTCMKTS:MJNE) are both small-cap finance companies, but which is the better stock? We will contrast the two companies based on the strength of their dividends, valuation, risk, institutional ownership, analyst recommendations, earnings and profitability.

Volatility & Risk

Stratus Properties has a beta of 1.28, indicating that its share price is 28% more volatile than the S&P 500. Comparatively, MJ has a beta of -0.18, indicating that its share price is 118% less volatile than the S&P 500.

Institutional and Insider Ownership

61.6% of Stratus Properties shares are owned by institutional investors. 10.0% of Stratus Properties shares are owned by company insiders. Comparatively, 35.9% of MJ shares are owned 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.

Analyst Ratings

This is a breakdown of recent ratings for Stratus Properties and MJ, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stratus Properties	1	0	0	0	1.00
MJ	0	0	0	0	0.00

Given MJ’s higher possible upside, analysts clearly believe MJ is more favorable than Stratus Properties.

Valuation & Earnings

This table compares Stratus Properties and MJ”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stratus Properties	$54.18 million	4.32	$1.96 million	($1.01)	-29.03
MJ	N/A	N/A	N/A	N/A	N/A

Stratus Properties has higher revenue and earnings than MJ.

Profitability

This table compares Stratus Properties and MJ’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stratus Properties	-25.38%	-2.57%	-1.46%
MJ	N/A	N/A	N/A

Summary

MJ beats Stratus Properties on 5 of the 9 factors compared between the two stocks.

About Stratus Properties

Stratus Properties Inc., a real estate company, engages in the entitlement, development, management, leasing, and sale of multi and single family residential and commercial real estate properties in the Austin, Texas area and other select markets in Texas. The company operates in two segments, Real Estate Operations and Leasing Operations. Its leasing operations cover lease of space at retail and mixed-use and multi-family properties. The company was incorporated in 1992 and is headquartered in Austin, Texas.

About MJ

MJ Holdings, Inc., a cannabis holding company, engages in cultivation management, asset, and infrastructure development business in Nevada. It is also involved in production of cannabis related products; and provision of management services, dispensaries, and consulting services. The company is headquartered in Las Vegas, Nevada.