Kilroy Realty (NYSE:KRC) and W. P. Carey (NYSE:WPC) Head to Head Analysis

Kilroy Realty (NYSE:KRC) and W. P. Carey (NYSE:WPC) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, dividends, institutional ownership, earnings, valuation, profitability and analyst recommendations.

Valuation & Earnings

This table compares Kilroy Realty and W. P. Carey”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kilroy Realty	$1.13 billion	4.06	$212.24 million	$1.67	23.29
W. P. Carey	$1.74 billion	6.93	$708.33 million	$2.54	21.70

W. P. Carey has higher revenue and earnings than Kilroy Realty. W. P. Carey is trading at a lower price-to-earnings ratio than Kilroy Realty, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

94.2% of Kilroy Realty shares are held by institutional investors. Comparatively, 73.7% of W. P. Carey shares are held by institutional investors. 2.5% of Kilroy Realty shares are held by company insiders. Comparatively, 1.1% of W. P. Carey shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Dividends

Kilroy Realty pays an annual dividend of $2.16 per share and has a dividend yield of 5.6%. W. P. Carey pays an annual dividend of $3.50 per share and has a dividend yield of 6.3%. Kilroy Realty pays out 129.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. W. P. Carey pays out 137.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Profitability

This table compares Kilroy Realty and W. P. Carey’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kilroy Realty	17.78%	3.53%	1.73%
W. P. Carey	35.12%	6.45%	3.14%

Analyst Recommendations

This is a summary of recent recommendations and price targets for Kilroy Realty and W. P. Carey, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kilroy Realty	0	6	2	0	2.25
W. P. Carey	0	7	2	0	2.22

Kilroy Realty currently has a consensus target price of $39.43, indicating a potential upside of 1.38%. W. P. Carey has a consensus target price of $63.25, indicating a potential upside of 14.74%. Given W. P. Carey’s higher probable upside, analysts clearly believe W. P. Carey is more favorable than Kilroy Realty.

Risk & Volatility

Kilroy Realty has a beta of 1.04, meaning that its share price is 4% more volatile than the S&P 500. Comparatively, W. P. Carey has a beta of 0.94, meaning that its share price is 6% less volatile than the S&P 500.

Summary

W. P. Carey beats Kilroy Realty on 9 of the 15 factors compared between the two stocks.

About Kilroy Realty

Kilroy Realty Corporation (NYSE: KRC, the company, Kilroy) is a leading U.S. landlord and developer, with operations in San Diego, Greater Los Angeles, the San Francisco Bay Area, Greater Seattle and Austin. The company has earned global recognition for sustainability, building operations, innovation and design. As a pioneer and innovator in the creation of a more sustainable real estate industry, the company's approach to modern business environments helps drive creativity and productivity for some of the world's leading technology, entertainment, life science and business services companies. The company is a publicly traded real estate investment trust (REIT) and member of the S&P MidCap 400 Index with more than seven decades of experience developing, acquiring and managing office, life science and mixed-use projects. As of December 31, 2023, Kilroy's stabilized portfolio totaled approximately 17.0 million square feet of primarily office and life science space that was 85.0% occupied and 86.4% leased. The company also had approximately 1,000 residential units in Hollywood and San Diego, which had a quarterly average occupancy of 92.5%. In addition, the company had two in-process life science redevelopment projects totaling approximately 100,000 square feet with total estimated redevelopment costs of $80.0 million and one approximately 875,000 square foot in-process development project with a total estimated investment of $1.0 billion.

About W. P. Carey

W. P. Carey ranks among the largest net lease REITs with a well-diversified portfolio of high-quality, operationally critical commercial real estate, which includes 1,424 net lease properties covering approximately 173 million square feet and a portfolio of 89 self-storage operating properties as of December 31, 2023. With offices in New York, London, Amsterdam and Dallas, the company remains focused on investing primarily in single-tenant, industrial, warehouse and retail properties located in the U.S. and Northern and Western Europe, under long-term net leases with built-in rent escalations.