Critical Comparison: Brandywine Realty Trust (NYSE:BDN) versus United Development Funding IV (OTCMKTS:UDFI)

United Development Funding IV (OTCMKTS:UDFI) and Brandywine Realty Trust (NYSE:BDN) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, institutional ownership, profitability, valuation, analyst recommendations, risk and earnings.

Profitability

This table compares United Development Funding IV and Brandywine Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
United Development Funding IV	N/A	N/A	N/A
Brandywine Realty Trust	-38.46%	-16.40%	-5.33%

Valuation & Earnings

This table compares United Development Funding IV and Brandywine Realty Trust”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
United Development Funding IV	N/A	N/A	N/A	N/A	N/A
Brandywine Realty Trust	$505.52 million	1.56	-$194.44 million	($1.14)	-3.99

United Development Funding IV has higher earnings, but lower revenue than Brandywine Realty Trust.

Analyst Recommendations

This is a summary of recent recommendations and price targets for United Development Funding IV and Brandywine Realty Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
United Development Funding IV	0	0	0	0	0.00
Brandywine Realty Trust	0	1	0	0	2.00

Brandywine Realty Trust has a consensus price target of $5.00, indicating a potential upside of 10.01%. Given Brandywine Realty Trust’s stronger consensus rating and higher probable upside, analysts plainly believe Brandywine Realty Trust is more favorable than United Development Funding IV.

Institutional and Insider Ownership

87.3% of Brandywine Realty Trust shares are owned by institutional investors. 0.5% of United Development Funding IV shares are owned by insiders. Comparatively, 2.6% of Brandywine Realty Trust shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Brandywine Realty Trust beats United Development Funding IV on 5 of the 8 factors compared between the two stocks.

About United Development Funding IV

United Development Funding IV invests in secured loans for the acquisition and development of land into single-family home lots, and the construction of model and new single-family homes. It also makes equity investments in residential real estate. The company has elected to be taxed as a real estate investment trust. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to shareholders. United Development Funding IV was founded in 2008 and is headquartered in Grapevine, Texas.

About Brandywine Realty Trust

Brandywine Realty Trust (NYSE: BDN) is one of the largest, publicly traded, full-service, integrated real estate companies in the United States with a core focus in the Philadelphia and Austin markets. Organized as a real estate investment trust (REIT), we own, develop, lease and manage an urban, town center and transit-oriented portfolio comprising 160 properties and 22.6 million square feet as of September 30, 2023 which excludes assets held for sale. Our purpose is to shape, connect and inspire the world around us through our expertise, the relationships we foster, the communities in which we live and work, and the history we build together.