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ESRT vs SVC

ESRT
Empire State Realty Trust, Inc.
NEUTRAL
Price
$5.56
Market Cap
$951.1M
Sector
Real Estate
AI Confidence
85%
SVC
Service Properties Trust
BEARISH
Price
$1.44
Market Cap
$932.0M
Sector
Real Estate
AI Confidence
95%

Valuation

P/E Ratio
ESRT
22.24
SVC
--
Forward P/E
ESRT
92.67
SVC
-5.54
P/B Ratio
ESRT
0.89
SVC
0.37
P/S Ratio
ESRT
1.24
SVC
0.51
EV/EBITDA
ESRT
12.67
SVC
10.52

Profitability

Gross Margin
ESRT
52.46%
SVC
30.42%
Operating Margin
ESRT
17.77%
SVC
8.04%
Profit Margin
ESRT
6.2%
SVC
-11.15%
ROE
ESRT
4.05%
SVC
-27.01%
ROA
ESRT
1.89%
SVC
1.8%

Growth

Revenue Growth
ESRT
0.8%
SVC
-12.9%
Earnings Growth
ESRT
75.4%
SVC
--

Financial Health

Debt/Equity
ESRT
1.32
SVC
8.48
Current Ratio
ESRT
2.61
SVC
1.98
Quick Ratio
ESRT
2.41
SVC
1.48

Dividends

Dividend Yield
ESRT
2.52%
SVC
2.79%
Payout Ratio
ESRT
56.0%
SVC
466.67%

AI Verdict

ESRT NEUTRAL

ESRT presents as a classic value trap, trading below its Graham Number ($5.91) and Book Value (P/B 0.89), yet suffering from a total collapse in technical momentum (0/100). The Piotroski F-Score of 4/9 indicates stable but mediocre financial health, while the massive jump in Forward P/E (from 22.24 to 92.67) signals an expected sharp contraction in future earnings. While the current price offers a margin of safety relative to assets, the structural headwinds of NYC office vacancy and extreme geographic concentration offset the valuation appeal.

Strengths
Trading below book value (P/B 0.89), suggesting asset-based support
Strong short-term liquidity with a Current Ratio of 2.61
Sustainable dividend payout ratio of 56%
Risks
Extreme geographic concentration in New York City real estate
Severe technical bearishness with a 0/100 trend score and -29.4% 6-month return
Stagnant revenue growth (0.80% YoY) indicating a lack of organic expansion
SVC BEARISH

SVC exhibits severe financial distress, anchored by a weak Piotroski F-Score of 2/9 and a catastrophic Debt/Equity ratio of 8.48. While the stock trades at a deep discount to book value (P/B 0.37), this is a classic value trap characterized by negative ROE (-27.01%) and shrinking revenues (-12.9% YoY). The dividend is fundamentally unsustainable with a payout ratio of 466.67%, and the long-term price trend is devastating, losing 85% of its value over five years.

Strengths
Deeply discounted Price-to-Book ratio (0.37)
Low Price-to-Sales ratio (0.51)
Positive operating margin (8.04%) despite net losses
Risks
Extreme leverage with Debt/Equity at 8.48
Unsustainable dividend payout ratio of 466.67%
Consistent negative net profit margins (-11.15%)

Compare Another Pair

ESRT vs SVC: Head-to-Head Comparison

This page compares Empire State Realty Trust, Inc. (ESRT) and Service Properties Trust (SVC) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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