TPG RE Finance Trust (TRTX) Competitors

TPG RE Finance Trust (NYSE:TRTX) and Ares Commercial Real Estate (NYSE:ACRE) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their dividends, institutional ownership, risk, profitability, media sentiment, valuation, analyst recommendations and earnings.

Do institutionals & insiders have more ownership in TRTX or ACRE?

57.1% of TPG RE Finance Trust shares are owned by institutional investors. Comparatively, 41.3% of Ares Commercial Real Estate shares are owned by institutional investors. 3.0% of TPG RE Finance Trust shares are owned by company insiders. Comparatively, 1.8% of Ares Commercial Real Estate shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Do analysts prefer TRTX or ACRE?

TPG RE Finance Trust presently has a consensus price target of $9.67, indicating a potential upside of 6.52%. Ares Commercial Real Estate has a consensus price target of $5.31, indicating a potential upside of 17.66%. Given Ares Commercial Real Estate's higher possible upside, analysts plainly believe Ares Commercial Real Estate is more favorable than TPG RE Finance Trust.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TPG RE Finance Trust	0 Sell rating(s)	0 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	3.00
Ares Commercial Real Estate	1 Sell rating(s)	4 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.80

Which has better earnings and valuation, TRTX or ACRE?

TPG RE Finance Trust has higher revenue and earnings than Ares Commercial Real Estate. Ares Commercial Real Estate is trading at a lower price-to-earnings ratio than TPG RE Finance Trust, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TPG RE Finance Trust	$351.97M	2.03	$74.33M	$0.65	13.96
Ares Commercial Real Estate	$69.65M	3.57	-$34.99M	-$0.34	-13.28

Does the media prefer TRTX or ACRE?

In the previous week, Ares Commercial Real Estate had 1 more articles in the media than TPG RE Finance Trust. MarketBeat recorded 2 mentions for Ares Commercial Real Estate and 1 mentions for TPG RE Finance Trust. TPG RE Finance Trust's average media sentiment score of 0.96 beat Ares Commercial Real Estate's score of 0.22 indicating that TPG RE Finance Trust is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
TPG RE Finance Trust	1 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Ares Commercial Real Estate	2 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Is TRTX or ACRE more profitable?

TPG RE Finance Trust has a net margin of 21.09% compared to Ares Commercial Real Estate's net margin of -29.57%. TPG RE Finance Trust's return on equity of 6.61% beat Ares Commercial Real Estate's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
TPG RE Finance Trust	21.09%	6.61%	1.89%
Ares Commercial Real Estate	-29.57%	-5.44%	-1.78%

Which has more volatility and risk, TRTX or ACRE?

TPG RE Finance Trust has a beta of 1.63, indicating that its share price is 63% more volatile than the S&P 500. Comparatively, Ares Commercial Real Estate has a beta of 1.33, indicating that its share price is 33% more volatile than the S&P 500.

Is TRTX or ACRE a better dividend stock?

TPG RE Finance Trust pays an annual dividend of $0.96 per share and has a dividend yield of 10.6%. Ares Commercial Real Estate pays an annual dividend of $0.60 per share and has a dividend yield of 13.3%. TPG RE Finance Trust pays out 147.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Ares Commercial Real Estate pays out -176.5% of its earnings in the form of a dividend. Ares Commercial Real Estate is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

TPG RE Finance Trust beats Ares Commercial Real Estate on 13 of the 18 factors compared between the two stocks.