ARLINGTON ASSET INVEST - AAIC 6 08/01/26 (AAIN)
US0413568090
We assign a fundamental rating of 2 out of 10 to AAIN. AAIN was compared to 64 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. AAIN has a bad profitability rating. Also its financial health evaluation is rather negative. While showing a medium growth rate, AAIN is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year AAIN was profitable.
AAIN had a negative operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: AAIN reported negative net income in multiple years.
Of the past 5 years AAIN 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -0.27%, AAIN is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
AAIN has a Return On Equity of -1.08%. This is in the lower half of the industry: AAIN underperforms 63.49% of its industry peers.
With a Return On Invested Capital value of 0.19%, AAIN is not doing good in the industry: 63.49% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.27% | ||
| ROE | -1.08% | ||
| ROIC | 0.19% |
ROA(3y)-2.37%
ROA(5y)-1.82%
ROE(3y)-11.03%
ROE(5y)-12.68%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
AAIN's Profit Margin has declined in the last couple of years.
AAIN has a worse Operating Margin (4.02%) than 63.49% of its industry peers.
AAIN's Operating Margin has declined in the last couple of years.
AAIN's Gross Margin of 36.78% is in line compared to the rest of the industry. AAIN outperforms 57.14% of its industry peers.
In the last couple of years the Gross Margin of AAIN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.02% | ||
| PM (TTM) | N/A | ||
| GM | 36.78% |
OM growth 3Y18.88%
OM growth 5Y-16.44%
PM growth 3Y-17.2%
PM growth 5Y-18.06%
GM growth 3Y36.91%
GM growth 5Y-0.28%
2. Health
2.1 Basic Checks
Compared to 1 year ago, AAIN has less shares outstanding
Compared to 5 years ago, AAIN has about the same amount of shares outstanding.
The debt/assets ratio for AAIN is higher compared to a year ago.
2.2 Solvency
AAIN has an Altman-Z score of -2.79. This is a bad value and indicates that AAIN is not financially healthy and even has some risk of bankruptcy.
AAIN's Altman-Z score of -2.79 is on the low side compared to the rest of the industry. AAIN is outperformed by 98.41% of its industry peers.
A Debt/Equity ratio of 3.01 is on the high side and indicates that AAIN has dependencies on debt financing.
AAIN's Debt to Equity ratio of 3.01 is in line compared to the rest of the industry. AAIN outperforms 58.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.01 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -2.79 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.36 indicates that AAIN may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.36, AAIN is in line with its industry, outperforming 57.14% of the companies in the same industry.
A Quick Ratio of 0.36 indicates that AAIN may have some problems paying its short term obligations.
AAIN's Quick ratio of 0.36 is in line compared to the rest of the industry. AAIN outperforms 57.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.36 |
3. Growth
3.1 Past
AAIN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.39%, which is quite good.
AAIN shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -33.34% yearly.
Looking at the last year, AAIN shows a quite strong growth in Revenue. The Revenue has grown by 17.04% in the last year.
The Revenue for AAIN have been decreasing by -16.37% on average. This is quite bad
EPS 1Y (TTM)17.39%
EPS 3Y-30.92%
EPS 5Y-33.34%
EPS growth Q2Q-36.36%
Revenue 1Y (TTM)17.04%
Revenue growth 3Y-25.55%
Revenue growth 5Y-16.37%
Revenue growth Q2Q-64.33%
3.2 Future
Based on estimates for the next years, AAIN will show a decrease in Earnings Per Share. The EPS will decrease by -4.66% on average per year.
The Revenue is expected to grow by 6.80% on average over the next years.
EPS Next Y-0.01%
EPS Next 2Y-4.66%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-6.88%
Revenue Next 2Y6.8%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
AAIN is valuated quite expensively with a Price/Earnings ratio of 87.04.
Compared to the rest of the industry, the Price/Earnings ratio of AAIN indicates a slightly more expensive valuation: AAIN is more expensive than 74.60% of the companies listed in the same industry.
AAIN is valuated expensively when we compare the Price/Earnings ratio to 28.28, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 86.18 indicates a quite expensive valuation of AAIN.
AAIN's Price/Forward Earnings ratio is rather expensive when compared to the industry. AAIN is more expensive than 92.06% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of AAIN to the average of the S&P500 Index (20.88), we can say AAIN is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 87.04 | ||
| Fwd PE | 86.18 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as AAIN's earnings are expected to decrease with -4.66% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.66%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.94%, AAIN is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 13.12, AAIN's dividend is way lower than its industry peers. On top of this 95.24% of the companies listed in the same industry pay a better dividend than AAIN!
Compared to an average S&P500 Dividend Yield of 2.41, AAIN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.94% |
5.2 History
The dividend of AAIN decreases each year by -47.16%.
AAIN has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)-47.16%
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
The earnings of AAIN are negative and hence is the payout ratio. AAIN will probably not be able to sustain this dividend level.
The Dividend Rate of AAIN has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP-86.96%
EPS Next 2Y-4.66%
EPS Next 3YN/A
ARLINGTON ASSET INVEST - AAIC 6 08/01/26
NYSE:AAIN (1/5/2024, 7:04:00 PM)
23.5
-0.1 (-0.42%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap665.52M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.94% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 87.04 | ||
| Fwd PE | 86.18 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.27% | ||
| ROE | -1.08% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 4.02% | ||
| PM (TTM) | N/A | ||
| GM | 36.78% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.01 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.36 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)17.39%
EPS 3Y-30.92%
EPS 5Y
EPS growth Q2Q
EPS Next Y-0.01%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)17.04%
Revenue growth 3Y-25.55%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y