Analyzing Invitation Homes (NYSE:INVH) and XChange TEC.INC (NASDAQ:XHG)

Invitation Homes (NYSE:INVH) and XChange TEC.INC (NASDAQ:XHG) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, risk, dividends, analyst recommendations, earnings and valuation.

Risk and Volatility

Invitation Homes has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500. Comparatively, XChange TEC.INC has a beta of -0.89, meaning that its share price is 189% less volatile than the S&P 500.

Valuation & Earnings

This table compares Invitation Homes and XChange TEC.INC”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Invitation Homes	$2.58 billion	7.70	$519.47 million	$0.71	45.72
XChange TEC.INC	$76.74 million	0.00	-$9.77 million	N/A	N/A

Invitation Homes has higher revenue and earnings than XChange TEC.INC.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Invitation Homes and XChange TEC.INC, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Invitation Homes	0	8	12	0	2.60
XChange TEC.INC	0	0	0	0	0.00

Invitation Homes currently has a consensus target price of $38.70, indicating a potential upside of 19.22%. Given Invitation Homes’ stronger consensus rating and higher possible upside, equities analysts plainly believe Invitation Homes is more favorable than XChange TEC.INC.

Insider and Institutional Ownership

96.8% of Invitation Homes shares are held by institutional investors. 0.3% of Invitation Homes shares are held by insiders. Comparatively, 0.6% of XChange TEC.INC shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Invitation Homes and XChange TEC.INC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Invitation Homes	17.02%	4.36%	2.28%
XChange TEC.INC	N/A	N/A	N/A

Summary

Invitation Homes beats XChange TEC.INC on 11 of the 12 factors compared between the two stocks.

About Invitation Homes

Invitation Homes, an S&P 500 company, is the nation's premier single-family home leasing and management company, meeting changing lifestyle demands by providing access to high-quality, updated homes with valued features such as close proximity to jobs and access to good schools. The company's mission, Together with you, we make a house a home, reflects its commitment to providing homes where individuals and families can thrive and high-touch service that continuously enhances residents' living experiences.

About XChange TEC.INC

XChange TEC.INC engages in the professional insurance agency business in the People’s Republic of China. The company provides a various insurance products underwritten by insurance companies, including state-owned property and casualty insurance companies, as well as various regional property and casualty insurance companies. It also offers automobile, life, health, group accident, and other property related insurances primarily to individual end consumers. In addition, the company operates a SaaS platform to offer comprehensive services to online customers. It sells insurance primarily through a network of external referral sources that include external registered sales representatives and strategic channel partners, as well as through the in-house sales force. The company was formerly known as FLJ Group Limited and changed its name to XChange TEC.INC in May 2024. XChange TEC.INC was founded in 2012 and is based in Shanghai, the People’s Republic of China.