Net Lease Office Properties (NLOP) vs Postal Realty Trust, Inc. (PSTL)

Net Lease Office Properties and Postal Realty Trust, Inc. are both Reit Office companies. Postal Realty Trust, Inc. is the larger, with a market value of $837.2M against $147.1M — 5.7× the size. Net Lease Office Properties has negative trailing earnings, so its P/E is not meaningful; Postal Realty Trust, Inc. trades at 43.8×. Postal Realty Trust, Inc. grew revenue faster over the last twelve months: 22.0% against −35.5%. Postal Realty Trust, Inc. has the higher net margin (13.8% vs −59.8%) and the higher return on invested capital (3.19% vs −13.8%). Both pay a dividend; Postal Realty Trust, Inc. yields more (6.70% vs 1.34%). Across the 19 metrics below, Net Lease Office Properties leads on 10 and Postal Realty Trust, Inc. on 9.

Valuation

Metric NLOP PSTL Reit Office median
P/E n/m 43.80 38.94
P/S 1.94 6.14 2.92
P/B 0.88 1.55 0.78
Price to free cash flow 0.44 15.43 14.22
EV/EBITDA n/m 16.14 12.77
EV/Sales 1.91 9.59 7.03
Earnings yield (30.82%) 2.28% (3.43%)
Free cash flow yield 226.39% 6.48% 5.85%

Profitability

Metric NLOP PSTL Reit Office median
Gross margin 89.38% 78.36% 60.53%
Operating margin (48.17%) 37.77% 16.84%
Net margin (59.82%) 13.76% (8.23%)
Free cash flow margin 438.71% 39.78% 16.39%
Return on equity (13.52%) 3.92% (2.66%)
Return on assets (10.44%) 1.90% (0.95%)
Return on invested capital (13.77%) 3.19% 1.32%

Growth

Metric NLOP PSTL Reit Office median
Revenue growth (TTM) (35.45%) 21.97% 1.08%
EPS growth (last fiscal year) (58.74%) 62.07% —
Revenue growth, 5-year CAGR — 31.42% 4.37%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric NLOP PSTL Reit Office median
Debt to equity 0.13 0.92 1.20
Current ratio 2.37 1.50 2.43
Net debt to EBITDA 1.63 6.19 6.91

Dividend

Metric NLOP PSTL Reit Office median
Dividend yield 1.34% 6.70% 6.16%
Payout ratio — 7.25 1.38

Size

Metric NLOP PSTL Reit Office median
Market cap 147.10m 837.18m 1.39b

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