New York Mortgage Trust (NASDAQ:NYMT – Get Free Report) and Equinix (NASDAQ:EQIX – Get Free Report) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, profitability, valuation, earnings, risk and dividends.
Insider & Institutional Ownership
54.9% of New York Mortgage Trust shares are owned by institutional investors. Comparatively, 94.9% of Equinix shares are owned by institutional investors. 1.2% of New York Mortgage Trust shares are owned by insiders. Comparatively, 0.3% of Equinix 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.
Analyst Ratings
This is a summary of current ratings and recommmendations for New York Mortgage Trust and Equinix, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| New York Mortgage Trust | 0 | 2 | 1 | 0 | 2.33 |
| Equinix | 0 | 6 | 7 | 1 | 2.64 |
Profitability
This table compares New York Mortgage Trust and Equinix’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| New York Mortgage Trust | -44.65% | -2.60% | -0.40% |
| Equinix | 11.84% | 8.01% | 3.05% |
Volatility & Risk
New York Mortgage Trust has a beta of 1.91, indicating that its stock price is 91% more volatile than the S&P 500. Comparatively, Equinix has a beta of 0.62, indicating that its stock price is 38% less volatile than the S&P 500.
Dividends
New York Mortgage Trust pays an annual dividend of $0.80 per share and has a dividend yield of 12.9%. Equinix pays an annual dividend of $17.04 per share and has a dividend yield of 2.4%. New York Mortgage Trust pays out -43.2% of its earnings in the form of a dividend. Equinix pays out 165.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Equinix has raised its dividend for 8 consecutive years. New York Mortgage Trust is clearly the better dividend stock, given its higher yield and lower payout ratio.
Valuation and Earnings
This table compares New York Mortgage Trust and Equinix’s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| New York Mortgage Trust | $258.66 million | 2.19 | -$48.67 million | ($1.85) | -3.36 |
| Equinix | $8.19 billion | 8.09 | $969.18 million | $10.31 | 67.91 |
Equinix has higher revenue and earnings than New York Mortgage Trust. New York Mortgage Trust is trading at a lower price-to-earnings ratio than Equinix, indicating that it is currently the more affordable of the two stocks.
Summary
Equinix beats New York Mortgage Trust on 13 of the 18 factors compared between the two stocks.
About New York Mortgage Trust
New York Mortgage Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. Its targeted investments include residential loans, including business purpose loans; structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties; non-agency residential mortgage-backed securities (RMBS); agency RMBS; commercial mortgage-backed securities (CMBS); single-family rental properties; and other mortgage, residential housing, and credit-related assets. The company also qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. New York Mortgage Trust, Inc. was incorporated in 2003 and is headquartered in New York, New York.
About Equinix
Equinix (Nasdaq: EQIX) is the world's digital infrastructure company . Digital leaders harness Equinix's trusted platform to bring together and interconnect foundational infrastructure at software speed. Equinix enables organizations to access all the right places, partners and possibilities to scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value, while supporting their sustainability goals.
Receive News & Ratings for New York Mortgage Trust Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for New York Mortgage Trust and related companies with MarketBeat.com's FREE daily email newsletter.
