ADVANCED FLOWER CAPITAL INC (AFCG) Stock Fundamental Analysis
NASDAQ:AFCG - Nasdaq - US00109K1051 - REIT - Currency: USD
We assign a fundamental rating of 6 out of 10 to AFCG. AFCG was compared to 67 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. AFCG scores excellent on profitability, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on AFCG.
1. Profitability
1.1 Basic Checks
In the past year AFCG was profitable.
AFCG had a positive operating cash flow in the past year.
AFCG had positive earnings in each of the past 5 years.
Each year in the past 5 years AFCG had a positive operating cash flow.
1.2 Ratios
AFCG has a better Return On Assets (6.50%) than 97.01% of its industry peers.
With an excellent Return On Equity value of 10.41%, AFCG belongs to the best of the industry, outperforming 95.52% of the companies in the same industry.
AFCG's Return On Invested Capital of 7.26% is amongst the best of the industry. AFCG outperforms 97.01% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AFCG is significantly above the industry average of 1.38%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.5% | ||
| ROE | 10.41% | ||
| ROIC | 7.26% |
ROA(3y)5.2%
ROA(5y)4.94%
ROE(3y)8.49%
ROE(5y)7.57%
ROIC(3y)8.33%
ROIC(5y)6.54%
1.3 Margins
Looking at the Profit Margin, with a value of 50.32%, AFCG belongs to the top of the industry, outperforming 94.03% of the companies in the same industry.
In the last couple of years the Profit Margin of AFCG has declined.
Looking at the Operating Margin, with a value of 64.08%, AFCG belongs to the top of the industry, outperforming 97.01% of the companies in the same industry.
In the last couple of years the Operating Margin of AFCG has remained more or less at the same level.
With an excellent Gross Margin value of 81.43%, AFCG belongs to the best of the industry, outperforming 94.03% of the companies in the same industry.
In the last couple of years the Gross Margin of AFCG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 64.08% | ||
| PM (TTM) | 50.32% | ||
| GM | 81.43% |
OM growth 3Y0.26%
OM growth 5YN/A
PM growth 3Y-13.06%
PM growth 5YN/A
GM growth 3Y-0.23%
GM growth 5YN/A
2. Health
2.1 Basic Checks
Compared to 1 year ago, AFCG has more shares outstanding
The debt/assets ratio for AFCG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.61, we must say that AFCG is in the distress zone and has some risk of bankruptcy.
AFCG has a Altman-Z score of 0.61. This is amongst the best in the industry. AFCG outperforms 88.06% of its industry peers.
The Debt to FCF ratio of AFCG is 4.65, which is a neutral value as it means it would take AFCG, 4.65 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of AFCG (4.65) is better than 98.51% of its industry peers.
AFCG has a Debt/Equity ratio of 0.44. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.44, AFCG belongs to the best of the industry, outperforming 97.01% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 4.65 | ||
| Altman-Z | 0.61 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
AFCG has a Current Ratio of 0.46. This is a bad value and indicates that AFCG is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Current ratio value of 0.46, AFCG is doing good in the industry, outperforming 62.69% of the companies in the same industry.
A Quick Ratio of 0.46 indicates that AFCG may have some problems paying its short term obligations.
With a decent Quick ratio value of 0.46, AFCG is doing good in the industry, outperforming 62.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.46 | ||
| Quick Ratio | 0.46 |
3. Growth
3.1 Past
AFCG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -28.06%.
The Earnings Per Share has been decreasing by -2.79% on average over the past years.
The Revenue for AFCG has decreased by -31.55% in the past year. This is quite bad
The Revenue has been growing slightly by 6.74% on average over the past years.
EPS 1Y (TTM)-28.06%
EPS 3Y-2.79%
EPS 5YN/A
EPS Q2Q%-57.14%
Revenue 1Y (TTM)-31.55%
Revenue growth 3Y6.74%
Revenue growth 5YN/A
Sales Q2Q%-42.69%
3.2 Future
Based on estimates for the next years, AFCG will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.93% on average per year.
AFCG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.81% yearly.
EPS Next Y-42.01%
EPS Next 2Y-15.79%
EPS Next 3Y3.37%
EPS Next 5Y9.93%
Revenue Next Year-31.62%
Revenue Next 2Y-12.9%
Revenue Next 3Y6.54%
Revenue Next 5Y11.81%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
AFCG is valuated cheaply with a Price/Earnings ratio of 3.17.
Based on the Price/Earnings ratio, AFCG is valued cheaply inside the industry as 98.51% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.48, AFCG is valued rather cheaply.
The Price/Forward Earnings ratio is 3.73, which indicates a rather cheap valuation of AFCG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AFCG indicates a rather cheap valuation: AFCG is cheaper than 98.51% of the companies listed in the same industry.
AFCG is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.17 | ||
| Fwd PE | 3.73 |
4.2 Price Multiples
92.54% of the companies in the same industry are more expensive than AFCG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.29 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The excellent profitability rating of AFCG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-15.79%
EPS Next 3Y3.37%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 23.32%, AFCG is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 10.60, AFCG pays a better dividend. On top of this AFCG pays more dividend than 100.00% of the companies listed in the same industry.
AFCG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 23.32% |
5.2 History
AFCG has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
AFCG pays out 179.56% of its income as dividend. This is not a sustainable payout ratio.
DP179.56%
EPS Next 2Y-15.79%
EPS Next 3Y3.37%
NASDAQ:AFCG (8/8/2025, 8:18:14 PM)
4.47
+0.01 (+0.22%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners31.2%
Inst Owner Change-0.25%
Ins Owners20.04%
Ins Owner Change8.14%
Market Cap101.02M
Analysts76.92
Price Target8.94 (100%)
Short Float %6.4%
Short Ratio5.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 23.32% |
Yearly Dividend1.87
Dividend Growth(5Y)N/A
DP179.56%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.85%
Min EPS beat(2)-21.34%
Max EPS beat(2)-16.37%
EPS beat(4)1
Avg EPS beat(4)-8.62%
Min EPS beat(4)-21.34%
Max EPS beat(4)6.55%
EPS beat(8)1
Avg EPS beat(8)-6.95%
EPS beat(12)3
Avg EPS beat(12)-4.32%
EPS beat(16)5
Avg EPS beat(16)-3.8%
Revenue beat(2)1
Avg Revenue beat(2)-13.08%
Min Revenue beat(2)-34.78%
Max Revenue beat(2)8.62%
Revenue beat(4)2
Avg Revenue beat(4)-9.79%
Min Revenue beat(4)-34.78%
Max Revenue beat(4)14.48%
Revenue beat(8)2
Avg Revenue beat(8)-9.25%
Revenue beat(12)4
Avg Revenue beat(12)-5.89%
Revenue beat(16)7
Avg Revenue beat(16)-3.99%
PT rev (1m)0%
PT rev (3m)-9.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-7.29%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.64%
Revenue NQ rev (1m)3.01%
Revenue NQ rev (3m)8.64%
Revenue NY rev (1m)8.47%
Revenue NY rev (3m)12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.17 | ||
| Fwd PE | 3.73 | ||
| P/S | 2.43 | ||
| P/FCF | 5.29 | ||
| P/OCF | 5.29 | ||
| P/B | 0.5 | ||
| P/tB | 0.5 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.41
EY31.54%
EPS(NY)1.2
Fwd EY26.81%
FCF(TTM)0.85
FCFY18.91%
OCF(TTM)0.85
OCFY18.91%
SpS1.84
BVpS8.88
TBVpS8.88
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.5% | ||
| ROE | 10.41% | ||
| ROCE | 9.19% | ||
| ROIC | 7.26% | ||
| ROICexc | 7.34% | ||
| ROICexgc | 7.34% | ||
| OM | 64.08% | ||
| PM (TTM) | 50.32% | ||
| GM | 81.43% | ||
| FCFM | 45.99% |
ROA(3y)5.2%
ROA(5y)4.94%
ROE(3y)8.49%
ROE(5y)7.57%
ROIC(3y)8.33%
ROIC(5y)6.54%
ROICexc(3y)12.36%
ROICexc(5y)9.43%
ROICexgc(3y)12.36%
ROICexgc(5y)9.43%
ROCE(3y)10.55%
ROCE(5y)8.28%
ROICexcg growth 3Y19.71%
ROICexcg growth 5YN/A
ROICexc growth 3Y19.71%
ROICexc growth 5YN/A
OM growth 3Y0.26%
OM growth 5YN/A
PM growth 3Y-13.06%
PM growth 5YN/A
GM growth 3Y-0.23%
GM growth 5YN/A
F-Score5
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 4.65 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 4.92 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 91.39% | ||
| Current Ratio | 0.46 | ||
| Quick Ratio | 0.46 | ||
| Altman-Z | 0.61 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)105.64%
Profit Quality(5y)79.53%
High Growth Momentum
Growth
EPS 1Y (TTM)-28.06%
EPS 3Y-2.79%
EPS 5YN/A
EPS Q2Q%-57.14%
EPS Next Y-42.01%
EPS Next 2Y-15.79%
EPS Next 3Y3.37%
EPS Next 5Y9.93%
Revenue 1Y (TTM)-31.55%
Revenue growth 3Y6.74%
Revenue growth 5YN/A
Sales Q2Q%-42.69%
Revenue Next Year-31.62%
Revenue Next 2Y-12.9%
Revenue Next 3Y6.54%
Revenue Next 5Y11.81%
EBIT growth 1Y-32.65%
EBIT growth 3Y7.02%
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-38.43%
FCF growth 3Y31.23%
FCF growth 5YN/A
OCF growth 1Y-38.43%
OCF growth 3Y31.23%
OCF growth 5YN/A