Critical Contrast: Sila Realty Trust (NYSE:SILA) & SL Green Realty (NYSE:SLG)

Sila Realty Trust (NYSE:SILA) and SL Green Realty (NYSE:SLG) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, institutional ownership, risk, dividends, earnings, profitability and analyst recommendations.

Profitability

This table compares Sila Realty Trust and SL Green Realty’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sila Realty Trust	12.11%	1.54%	1.09%
SL Green Realty	2.48%	-0.10%	-0.04%

Valuation and Earnings

This table compares Sila Realty Trust and SL Green Realty”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sila Realty Trust	$186.86 million	7.49	$24.04 million	N/A	N/A
SL Green Realty	$938.24 million	4.20	$30.65 million	($0.42)	-131.68

SL Green Realty has higher revenue and earnings than Sila Realty Trust.

Analyst Recommendations

This is a summary of recent recommendations for Sila Realty Trust and SL Green Realty, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sila Realty Trust	0	0	3	0	3.00
SL Green Realty	1	11	3	0	2.13

Sila Realty Trust presently has a consensus price target of $28.67, indicating a potential upside of 12.99%. SL Green Realty has a consensus price target of $67.07, indicating a potential upside of 21.27%. Given SL Green Realty’s higher possible upside, analysts clearly believe SL Green Realty is more favorable than Sila Realty Trust.

Dividends

Sila Realty Trust pays an annual dividend of $1.60 per share and has a dividend yield of 6.3%. SL Green Realty pays an annual dividend of $3.09 per share and has a dividend yield of 5.6%. SL Green Realty pays out -735.7% of its earnings in the form of a dividend.

Institutional and Insider Ownership

90.0% of SL Green Realty shares are owned by institutional investors. 0.8% of Sila Realty Trust shares are owned by insiders. Comparatively, 5.1% of SL Green Realty shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

About Sila Realty Trust

Sila Realty Trust, Inc., headquartered in Tampa, Florida, is a net lease real estate investment trust with a strategic focus on investing in the large, growing, and resilient healthcare sector. The Company invests in high quality healthcare facilities along the continuum of care, which, we believe, generate predictable, durable, and growing income streams. Our portfolio comprises high quality tenants in geographically diverse facilities, which are positioned to capitalize on the dynamic delivery of healthcare to patients. As of June 30, 2024, the Company owned 137 real estate properties and two undeveloped land parcels located in 64 markets across the U.S.

About SL Green Realty

3SL Green Realty Corp., Manhattan’s largest office landlord, is a fully integrated real estate investment trust, or REIT, that is focused primarily on acquiring, managing and maximizing value of Manhattan commercial properties. As of June 30, 2022, SL Green held interests in 64 buildings totaling 34.4 million square feet. This included ownership interests in 26.3 million square feet of Manhattan buildings and 7.2 million square feet securing debt and preferred equity investments.