GREAT AJAX CORP (AJX)
US38983D3008 - REIT
Overall AJX gets a fundamental rating of 2 out of 10. We evaluated AJX against 64 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. Both the profitability and financial health of AJX have multiple concerns. While showing a medium growth rate, AJX is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
AJX had negative earnings in the past year.
AJX had a negative operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: AJX reported negative net income in multiple years.
In the past 5 years AJX reported 4 times negative operating cash flow.
1.2 Ratios
The Return On Assets of AJX (-3.65%) is worse than 96.88% of its industry peers.
AJX's Return On Equity of -15.77% is on the low side compared to the rest of the industry. AJX is outperformed by 93.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.65% | ||
| ROE | -15.77% | ||
| ROIC | N/A |
ROA(3y)-1.21%
ROA(5y)-0.02%
ROE(3y)-5.81%
ROE(5y)-0.64%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin and Operating Margin and Gross Margin are not available for AJX so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
AJX does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for AJX has been increased compared to 1 year ago.
AJX has more shares outstanding than it did 5 years ago.
AJX has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.31, we must say that AJX is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -0.31, AJX is doing worse than 64.06% of the companies in the same industry.
A Debt/Equity ratio of 3.23 is on the high side and indicates that AJX has dependencies on debt financing.
The Debt to Equity ratio of AJX (3.23) is better than 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.23 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.31 |
ROIC/WACCN/A
WACC4.19%
2.3 Liquidity
A Current Ratio of 0.23 indicates that AJX may have some problems paying its short term obligations.
The Current ratio of AJX (0.23) is comparable to the rest of the industry.
A Quick Ratio of 0.23 indicates that AJX may have some problems paying its short term obligations.
AJX has a Quick ratio (0.23) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.23 | ||
| Quick Ratio | 0.23 |
3. Growth
3.1 Past
AJX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -96.00%.
The Revenue for AJX has decreased by -28.57% in the past year. This is quite bad
The Revenue for AJX have been decreasing by -14.92% on average. This is quite bad
EPS 1Y (TTM)-96%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q-186.67%
Revenue 1Y (TTM)-28.57%
Revenue growth 3Y-20.63%
Revenue growth 5Y-14.92%
Revenue growth Q2Q-34.3%
3.2 Future
The Earnings Per Share is expected to grow by 49.40% on average over the next years. This is a very strong growth
Based on estimates for the next years, AJX will show a very strong growth in Revenue. The Revenue will grow by 47.35% on average per year.
EPS Next Y112.63%
EPS Next 2Y49.4%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year21.82%
Revenue Next 2Y47.35%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
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
AJX reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
A Price/Forward Earnings ratio of 15.07 indicates a correct valuation of AJX.
AJX's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. AJX is more expensive than 64.06% of the companies in the same industry.
AJX's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 15.07 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AJX's earnings are expected to grow with 49.40% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y49.4%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 11.63%, AJX is a good candidate for dividend investing.
In the last 3 months the price of AJX has falen by -35.80%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 13.21, AJX is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.41, AJX pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.63% |
5.2 History
The dividend of AJX decreases each year by -7.19%.
AJX has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-7.19%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of AJX are negative and hence is the payout ratio. AJX will probably not be able to sustain this dividend level.
DP-42.25%
EPS Next 2Y49.4%
EPS Next 3YN/A
GREAT AJAX CORP
NYSE:AJX (5/2/2024, 7:04:00 PM)
After market: 3.56 -0.17 (-4.56%)3.73
+0.08 (+2.19%)
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 Cap137.97M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.63% |
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)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
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)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 | N/A | ||
| Fwd PE | 15.07 | ||
| 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 | -3.65% | ||
| ROE | -15.77% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| 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 Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.23 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.23 | ||
| Quick Ratio | 0.23 | ||
| 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)-96%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y112.63%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-28.57%
Revenue growth 3Y-20.63%
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