ARLINGTON ASSET INVEST - AAIC 6 3/4 03/15/25 (AIC)
US0413565021
Overall AIC gets a fundamental rating of 2 out of 10. We evaluated AIC against 64 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. AIC may be in some trouble as it scores bad on both profitability and health. AIC is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AIC was profitable.
AIC had a negative operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: AIC reported negative net income in multiple years.
Of the past 5 years AIC 4 years had a positive operating cash flow.
1.2 Ratios
AIC's Return On Assets of -0.27% is on the low side compared to the rest of the industry. AIC is outperformed by 68.25% of its industry peers.
The Return On Equity of AIC (-1.08%) is worse than 65.08% of its industry peers.
AIC's Return On Invested Capital of 0.19% is on the low side compared to the rest of the industry. AIC is outperformed by 65.08% of its industry peers.
| 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
In the last couple of years the Profit Margin of AIC has declined.
With a Operating Margin value of 4.02%, AIC is not doing good in the industry: 65.08% of the companies in the same industry are doing better.
AIC's Operating Margin has declined in the last couple of years.
AIC has a Gross Margin (36.78%) which is in line with its industry peers.
AIC's Gross Margin has been stable in the last couple of years.
| 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
The number of shares outstanding for AIC has been reduced compared to 1 year ago.
Compared to 5 years ago, AIC has about the same amount of shares outstanding.
AIC has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -2.77, we must say that AIC is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -2.77, AIC is doing worse than 96.83% of the companies in the same industry.
AIC has a Debt/Equity ratio of 3.01. This is a high value indicating a heavy dependency on external financing.
AIC has a Debt to Equity ratio of 3.01. This is comparable to the rest of the industry: AIC outperforms 57.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.01 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -2.77 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
AIC has a Current Ratio of 0.36. This is a bad value and indicates that AIC is not financially healthy enough and could expect problems in meeting its short term obligations.
AIC has a Current ratio of 0.36. This is comparable to the rest of the industry: AIC outperforms 55.56% of its industry peers.
A Quick Ratio of 0.36 indicates that AIC may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.36, AIC is in line with its industry, outperforming 55.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.36 | ||
| Quick Ratio | 0.36 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.39% over the past year.
AIC shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -33.34% yearly.
The Revenue has grown by 17.04% in the past year. This is quite good.
Measured over the past years, AIC shows a very negative growth in Revenue. The Revenue has been decreasing by -16.37% on average per year.
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
AIC is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -4.66% yearly.
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
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.
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
With a Price/Earnings ratio of 90.11, AIC can be considered very expensive at the moment.
Based on the Price/Earnings ratio, AIC is valued a bit more expensive than the industry average as 76.19% of the companies are valued more cheaply.
AIC's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 24.84.
With a Price/Forward Earnings ratio of 89.22, AIC can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, AIC is valued expensively inside the industry as 93.65% of the companies are valued cheaper.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.35, AIC is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 90.11 | ||
| Fwd PE | 89.22 |
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 AIC'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
AIC has a Yearly Dividend Yield of 6.94%, which is a nice return.
Compared to an average industry Dividend Yield of 13.17, AIC's dividend is way lower than its industry peers. On top of this 93.65% of the companies listed in the same industry pay a better dividend than AIC!
Compared to an average S&P500 Dividend Yield of 2.41, AIC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.94% |
5.2 History
The dividend of AIC decreases each year by -47.16%.
AIC has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)-47.16%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
AIC has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The Dividend Rate of AIC 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 3/4 03/15/25
NYSE:AIC (1/5/2024, 7:04:00 PM)
After market: 24.29 -0.04 (-0.16%)24.3301
+0.01 (+0.04%)
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 Cap689.03M
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)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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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 | 90.11 | ||
| Fwd PE | 89.22 | ||
| 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