Financial Review: Douglas Elliman (NYSE:DOUG) & Millrose Properties (NYSE:MRP)
by Mitch Edgeman · The Markets DailyDouglas Elliman (NYSE:DOUG – Get Free Report) and Millrose Properties (NYSE:MRP – Get Free Report) are both finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, valuation and dividends.
Risk & Volatility
Douglas Elliman has a beta of 1.87, meaning that its share price is 87% more volatile than the S&P 500. Comparatively, Millrose Properties has a beta of 0.4, meaning that its share price is 60% less volatile than the S&P 500.
Institutional and Insider Ownership
59.6% of Douglas Elliman shares are held by institutional investors. 9.6% of Douglas Elliman shares are held by company insiders. Comparatively, 0.2% of Millrose Properties shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.
Analyst Recommendations
This is a summary of current ratings and target prices for Douglas Elliman and Millrose Properties, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Douglas Elliman | 1 | 0 | 0 | 0 | 1.00 |
| Millrose Properties | 0 | 1 | 2 | 1 | 3.00 |
Millrose Properties has a consensus target price of $37.67, suggesting a potential upside of 25.62%. Given Millrose Properties’ stronger consensus rating and higher probable upside, analysts plainly believe Millrose Properties is more favorable than Douglas Elliman.
Valuation and Earnings
This table compares Douglas Elliman and Millrose Properties”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Douglas Elliman | $993.99 million | 0.16 | $15.22 million | ($0.07) | -25.21 |
| Millrose Properties | $712.69 million | 6.49 | $379.86 million | $2.79 | 10.75 |
Millrose Properties has lower revenue, but higher earnings than Douglas Elliman. Douglas Elliman is trading at a lower price-to-earnings ratio than Millrose Properties, indicating that it is currently the more affordable of the two stocks.
Dividends
Douglas Elliman pays an annual dividend of $0.05 per share and has a dividend yield of 2.8%. Millrose Properties pays an annual dividend of $3.08 per share and has a dividend yield of 10.3%. Douglas Elliman pays out -71.4% of its earnings in the form of a dividend. Millrose Properties pays out 110.4% 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 Douglas Elliman and Millrose Properties’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Douglas Elliman | 0.50% | -20.59% | -6.72% |
| Millrose Properties | 64.96% | 7.90% | 5.17% |
Summary
Millrose Properties beats Douglas Elliman on 12 of the 17 factors compared between the two stocks.
About Douglas Elliman
Douglas Elliman Inc. owns Douglas Elliman Realty, LLC, operating as a residential brokerage company in the United States with operations in New York, Florida, California, Texas, Colorado, Nevada, Massachusetts, Connecticut, Maryland, Virginia and Washington, D.C. In addition, Douglas Elliman sources, uses and invests in early-stage, disruptive property technology (“PropTech”) solutions and companies and provides other real estate services, including development marketing, property management and settlement and escrow services in select markets.
About Millrose Properties
Millrose Properties, Inc. is a real estate investment and management company that focuses on acquiring, developing, and managing high-quality commercial properties. They are headquartered in Purchase, New York.