Financial Contrast: reAlpha Tech (NASDAQ:AIRE) versus Five Point (NYSE:FPH)

reAlpha Tech (NASDAQ:AIRE) and Five Point (NYSE:FPH) are both small-cap business services companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.

Earnings and Valuation

This table compares reAlpha Tech and Five Point”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
reAlpha Tech	$310,000.00	147.97	N/A	N/A	N/A
Five Point	$211.73 million	2.64	$55.39 million	$0.70	5.39

Five Point has higher revenue and earnings than reAlpha Tech.

Profitability

This table compares reAlpha Tech and Five Point’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
reAlpha Tech	-2,035.17%	-45.22%	-36.74%
Five Point	26.19%	2.57%	1.76%

Insider & Institutional Ownership

1.0% of reAlpha Tech shares are owned by institutional investors. Comparatively, 38.1% of Five Point shares are owned by institutional investors. 73.9% of reAlpha Tech shares are owned by insiders. Comparatively, 4.4% of Five Point shares are owned by 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 Ratings

This is a summary of current ratings and price targets for reAlpha Tech and Five Point, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
reAlpha Tech	0	0	1	0	3.00
Five Point	0	0	0	0	0.00

reAlpha Tech currently has a consensus target price of $3.00, suggesting a potential upside of 200.00%. Given reAlpha Tech’s stronger consensus rating and higher possible upside, equities analysts clearly believe reAlpha Tech is more favorable than Five Point.

About reAlpha Tech

reAlpha Tech Corp., a real estate technology company, commercializes artificial intelligence (AI)-powered technologies. The company operates in two segments, Platform Services and Rental Business. The company offers and develops AI-based products and services to customers in the real-estate industry. These include reAlpha BRAIN, which utilizes a natural language processing program to scan through property data and choose the ones with a higher than expected industry standard return on investment; reAlpha HUMINT, which allows analysts to input qualitative features about a property and factor it into property evaluation; GENA to generate home descriptions; AIRE, a web-based AI application that provides data and insights about the real estate market; and reAlpha App, which allows syndicate members to acquire equity interests in the syndication LLC. It also leases short-term rental properties; and provides technical support services. The company was formerly known as eAlpha Asset Management, Inc. and changed its name to reAlpha Tech Corp. in March 2023. reAlpha Tech Corp. was founded in 2020 and is headquartered in Dublin, Ohio.

About Five Point

Five Point Holdings, LLC, through its subsidiary, Five Point Operating Company, LP, owns and develops mixed-use and planned communities in Orange County, Los Angeles County, and San Francisco County. The company operates in four segments: Valencia, San Francisco, Great Park, and Commercial. It sells residential and commercial land sites to homebuilders, commercial developers, and commercial buyers; operates and owns a commercial office, research and development, medical campus, and other properties; and provides development and property management services. The company was formerly known as Newhall Holding Company, LLC and changed its name to Five Point Holdings, LLC in May 2016. Five Point Holdings, LLC was incorporated in 2009 and is headquartered in Irvine, California.