Marcus & Millichap, Inc. (MMI) vs Transcontinental Realty Investors, Inc. (TCI)

Marcus & Millichap, Inc. and Transcontinental Realty Investors, Inc. are both Real Estate Services companies. Marcus & Millichap, Inc. is the larger, with a market value of $1.1B against $432.2M — 2.5× the size. Transcontinental Realty Investors, Inc. trades at the lower P/E: 51.5× against 76.6×. Marcus & Millichap, Inc. grew revenue faster over the last twelve months: 11.9% against 5.33%. Transcontinental Realty Investors, Inc. has the higher net margin (16.1% vs 1.77%) and the lower return on invested capital (−0.75% vs 1.61%). Across the 20 metrics below, Marcus & Millichap, Inc. leads on 12 and Transcontinental Realty Investors, Inc. on 8.

Valuation

Metric MMI TCI Real Estate Services median
P/E 76.57 51.50 16.05
P/S 1.31 8.35 1.05
P/B 1.83 0.48 1.22
Price to free cash flow 12.55 n/m 12.55
EV/EBITDA 42.16 75.37 9.04
EV/Sales 1.05 7.28 1.05
Earnings yield 1.31% 1.94% 1.04%
Free cash flow yield 7.97% (0.86%) (0.91%)

Profitability

Metric MMI TCI Real Estate Services median
Gross margin 37.72% 38.36% 26.81%
Operating margin 1.17% (18.34%) 0.00%
Net margin 1.77% 16.08% 0.11%
Free cash flow margin 10.41% (7.16%) 0.00%
Return on equity 2.42% 0.94% 0.94%
Return on assets 1.84% 0.71% 0.00%
Return on invested capital 1.61% (0.75%) 0.00%

Growth

Metric MMI TCI Real Estate Services median
Revenue growth (TTM) 11.89% 5.33% 4.33%
EPS growth (last fiscal year) 84.38% 135.29% 32.94%
Revenue growth, 5-year CAGR 1.05% (2.96%) 5.09%
Net income growth, 5-year CAGR 0.00% 15.66% 0.00%

Health

Metric MMI TCI Real Estate Services median
Debt to equity 0.00 0.00 0.08
Current ratio 2.92 0.82 2.10
Net debt to EBITDA 156.54 (16.58) 0.54

Dividend

Metric MMI TCI Real Estate Services median
Dividend yield 1.78% — 1.78%
Payout ratio 1.37 — 0.37

Size

Metric MMI TCI Real Estate Services median
Market cap 1.07b 432.20m 207.59m

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