ADVANCED FLOWER CAPITAL INC (AFCG) Stock Fundamental Analysis
NASDAQ:AFCG - Nasdaq - US00109K1051 - REIT - Currency: USD
Taking everything into account, AFCG scores 6 out of 10 in our fundamental rating. AFCG was compared to 65 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. AFCG has an excellent profitability rating, but there are some minor concerns on its financial health. AFCG scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year AFCG was profitable.
In the past year AFCG had a positive cash flow from operations.
In the past 5 years AFCG has always been profitable.
AFCG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 6.50%, AFCG belongs to the best of the industry, outperforming 96.92% of the companies in the same industry.
Looking at the Return On Equity, with a value of 10.41%, AFCG belongs to the top of the industry, outperforming 95.38% of the companies in the same industry.
The Return On Invested Capital of AFCG (7.26%) is better than 96.92% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AFCG is significantly above the industry average of 1.42%.
| 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
With an excellent Profit Margin value of 50.32%, AFCG belongs to the best of the industry, outperforming 93.85% of the companies in the same industry.
AFCG's Profit Margin has declined in the last couple of years.
AFCG has a better Operating Margin (64.08%) than 96.92% of its industry peers.
AFCG's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 81.43%, AFCG belongs to the top of the industry, outperforming 93.85% 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
The number of shares outstanding for AFCG has been increased compared to 1 year ago.
The debt/assets ratio for AFCG is higher compared to a year ago.
2.2 Solvency
AFCG has an Altman-Z score of 0.73. This is a bad value and indicates that AFCG is not financially healthy and even has some risk of bankruptcy.
AFCG has a Altman-Z score of 0.73. This is amongst the best in the industry. AFCG outperforms 87.69% of its industry peers.
AFCG has a debt to FCF ratio of 4.65. This is a neutral value as AFCG would need 4.65 years to pay back of all of its debts.
AFCG has a better Debt to FCF ratio (4.65) than 96.92% 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.
AFCG has a better Debt to Equity ratio (0.44) than 96.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.44 | ||
| Debt/FCF | 4.65 | ||
| Altman-Z | 0.73 |
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.
The Current ratio of AFCG (0.46) is better than 64.62% of its industry peers.
AFCG has a Quick 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.
AFCG has a better Quick ratio (0.46) than 64.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.46 | ||
| Quick Ratio | 0.46 |
3. Growth
3.1 Past
The earnings per share for AFCG have decreased strongly by -28.06% in the last year.
AFCG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.79% yearly.
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
AFCG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.93% yearly.
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-37.94%
EPS Next 2Y-12.59%
EPS Next 3Y-1.78%
EPS Next 5Y9.93%
Revenue Next Year-37.14%
Revenue Next 2Y-13.77%
Revenue Next 3Y6.54%
Revenue Next 5Y11.81%
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
Based on the Price/Earnings ratio of 3.89, the valuation of AFCG can be described as very cheap.
98.46% of the companies in the same industry are more expensive than AFCG, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.52. AFCG is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 4.24, the valuation of AFCG can be described as very cheap.
Based on the Price/Forward Earnings ratio, AFCG is valued cheaper than 98.46% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of AFCG to the average of the S&P500 Index (22.25), we can say AFCG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.89 | ||
| Fwd PE | 4.24 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, AFCG is valued cheaper than 81.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.48 | ||
| 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-12.59%
EPS Next 3Y-1.78%
5. Dividend
5.1 Amount
AFCG has a Yearly Dividend Yield of 25.61%, which is a nice return.
In the last 3 months the price of AFCG has falen by -34.84%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
AFCG's Dividend Yield is rather good when compared to the industry average which is at 13.76. AFCG pays more dividend than 100.00% of the companies 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 | 25.61% |
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
179.56% of the earnings are spent on dividend by AFCG. This is not a sustainable payout ratio.
DP179.56%
EPS Next 2Y-12.59%
EPS Next 3Y-1.78%
5.48
+0.13 (+2.43%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners34.63%
Inst Owner Change-10.53%
Ins Owners18.21%
Ins Owner Change10.02%
Market Cap123.85M
Analysts76.92
Price Target9.24 (68.61%)
Short Float %5.88%
Short Ratio5.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 25.61% |
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)-6.6%
PT rev (3m)-24.5%
EPS NQ rev (1m)-7.29%
EPS NQ rev (3m)-40.76%
EPS NY rev (1m)-2.22%
EPS NY rev (3m)-35.09%
Revenue NQ rev (1m)5.46%
Revenue NQ rev (3m)-33.6%
Revenue NY rev (1m)2.95%
Revenue NY rev (3m)-31.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.89 | ||
| Fwd PE | 4.24 | ||
| P/S | 2.98 | ||
| P/FCF | 6.48 | ||
| P/OCF | 6.48 | ||
| P/B | 0.62 | ||
| P/tB | 0.62 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.41
EY25.73%
EPS(NY)1.29
Fwd EY23.56%
FCF(TTM)0.85
FCFY15.43%
OCF(TTM)0.85
OCFY15.43%
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 | 0.73 |
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-37.94%
EPS Next 2Y-12.59%
EPS Next 3Y-1.78%
EPS Next 5Y9.93%
Revenue 1Y (TTM)-31.55%
Revenue growth 3Y6.74%
Revenue growth 5YN/A
Sales Q2Q%-42.69%
Revenue Next Year-37.14%
Revenue Next 2Y-13.77%
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