Logo image of ARR

ARMOUR RESIDENTIAL REIT INC (ARR) Stock Fundamental Analysis

NYSE:ARR - US0423157058 - REIT

15.03 USD
-0.16 (-1.05%)
Last: 8/25/2025, 8:04:57 PM
15.0301 USD
0 (0%)
After Hours: 8/25/2025, 8:04:57 PM
Fundamental Rating

3

ARR gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 67 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. ARR has a bad profitability rating. Also its financial health evaluation is rather negative. ARR has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

1

1. Profitability

1.1 Basic Checks

ARR had positive earnings in the past year.
In the past year ARR had a positive cash flow from operations.
In the past 5 years ARR reported 4 times negative net income.
ARR had a positive operating cash flow in 4 of the past 5 years.
ARR Yearly Net Income VS EBIT VS OCF VS FCFARR Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M -100M 200M -200M

1.2 Ratios

ARR's Return On Assets of -0.25% is on the low side compared to the rest of the industry. ARR is outperformed by 67.16% of its industry peers.
ARR has a Return On Equity of -2.46%. This is in the lower half of the industry: ARR underperforms 67.16% of its industry peers.
Industry RankSector Rank
ROA -0.25%
ROE -2.46%
ROIC N/A
ROA(3y)-1.14%
ROA(5y)-1.48%
ROE(3y)-9.99%
ROE(5y)-10.72%
ROIC(3y)N/A
ROIC(5y)N/A
ARR Yearly ROA, ROE, ROICARR Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 -20

1.3 Margins

The Profit Margin and Operating Margin and Gross Margin are not available for ARR so they could not be analyzed.
Industry RankSector 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
ARR Yearly Profit, Operating, Gross MarginsARR Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200 -200

1

2. Health

2.1 Basic Checks

The number of shares outstanding for ARR has been increased compared to 1 year ago.
ARR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ARR has a worse debt to assets ratio.
ARR Yearly Shares OutstandingARR Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M
ARR Yearly Total Debt VS Total AssetsARR Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.2 Solvency

Based on the Altman-Z score of -0.98, we must say that ARR is in the distress zone and has some risk of bankruptcy.
ARR has a Altman-Z score of -0.98. This is amonst the worse of the industry: ARR underperforms 91.04% of its industry peers.
ARR has a debt to FCF ratio of 48.52. This is a negative value and a sign of low solvency as ARR would need 48.52 years to pay back of all of its debts.
ARR has a better Debt to FCF ratio (48.52) than 70.15% of its industry peers.
A Debt/Equity ratio of 7.72 is on the high side and indicates that ARR has dependencies on debt financing.
The Debt to Equity ratio of ARR (7.72) is worse than 70.15% of its industry peers.
Industry RankSector Rank
Debt/Equity 7.72
Debt/FCF 48.52
Altman-Z -0.98
ROIC/WACCN/A
WACCN/A
ARR Yearly LT Debt VS Equity VS FCFARR Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B

2.3 Liquidity

A Current Ratio of 0.02 indicates that ARR may have some problems paying its short term obligations.
ARR has a worse Current ratio (0.02) than 89.55% of its industry peers.
A Quick Ratio of 0.02 indicates that ARR may have some problems paying its short term obligations.
With a Quick ratio value of 0.02, ARR is not doing good in the industry: 89.55% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 0.02
Quick Ratio 0.02
ARR Yearly Current Assets VS Current LiabilitesARR Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

6

3. Growth

3.1 Past

The earnings per share for ARR have decreased strongly by -15.80% in the last year.
The Earnings Per Share has been growing by 9.48% on average over the past years. This is quite good.
The Revenue has grown by 16.26% in the past year. This is quite good.
ARR shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 48.97% yearly.
EPS 1Y (TTM)-15.8%
EPS 3Y56.5%
EPS 5Y9.48%
EPS Q2Q%-28.7%
Revenue 1Y (TTM)16.26%
Revenue growth 3Y114.12%
Revenue growth 5Y48.97%
Sales Q2Q%372.86%

3.2 Future

Based on estimates for the next years, ARR will show a decrease in Earnings Per Share. The EPS will decrease by -5.54% on average per year.
Based on estimates for the next years, ARR will show a very strong growth in Revenue. The Revenue will grow by 122.81% on average per year.
EPS Next Y-12.04%
EPS Next 2Y-3.8%
EPS Next 3Y-5.54%
EPS Next 5YN/A
Revenue Next Year252.77%
Revenue Next 2Y122.81%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less 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.
ARR Yearly Revenue VS EstimatesARR Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 200M 400M
ARR Yearly EPS VS EstimatesARR Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 5 10 15 20

6

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 4.41, the valuation of ARR can be described as very cheap.
Based on the Price/Earnings ratio, ARR is valued cheaply inside the industry as 97.01% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.03, ARR is valued rather cheaply.
A Price/Forward Earnings ratio of 4.41 indicates a rather cheap valuation of ARR.
Based on the Price/Forward Earnings ratio, ARR is valued cheaper than 97.01% of the companies in the same industry.
ARR is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.63, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 4.41
Fwd PE 4.41
ARR Price Earnings VS Forward Price EarningsARR Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

Based on the Price/Free Cash Flow ratio, ARR is valued cheaply inside the industry as 86.57% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 6.41
EV/EBITDA N/A
ARR Per share dataARR EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10

4.3 Compensation for Growth

A cheap valuation may be justified as ARR's earnings are expected to decrease with -5.54% in the coming years.
PEG (NY)N/A
PEG (5Y)0.47
EPS Next 2Y-3.8%
EPS Next 3Y-5.54%

5

5. Dividend

5.1 Amount

With a Yearly Dividend Yield of 19.54%, ARR is a good candidate for dividend investing.
ARR's Dividend Yield is rather good when compared to the industry average which is at 12.25. ARR pays more dividend than 97.01% of the companies in the same industry.
ARR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
Industry RankSector Rank
Dividend Yield 19.54%

5.2 History

The dividend of ARR has a limited annual growth rate of 1.50%.
ARR has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)1.5%
Div Incr Years0
Div Non Decr Years0
ARR Yearly Dividends per shareARR Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100 200 300 400

5.3 Sustainability

ARR has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-506.69%
EPS Next 2Y-3.8%
EPS Next 3Y-5.54%
ARR Yearly Income VS Free CF VS DividendARR Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M -100M 200M -200M

ARMOUR RESIDENTIAL REIT INC

NYSE:ARR (8/25/2025, 8:04:57 PM)

After market: 15.0301 0 (0%)

15.03

-0.16 (-1.05%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)07-23 2025-07-23/amc
Earnings (Next)10-21 2025-10-21/amc
Inst Owners48.99%
Inst Owner Change0.64%
Ins Owners0.19%
Ins Owner Change5.7%
Market Cap1.69B
Analysts72
Price Target17.68 (17.63%)
Short Float %6.82%
Short Ratio1.75
Dividend
Industry RankSector Rank
Dividend Yield 19.54%
Yearly Dividend2.93
Dividend Growth(5Y)1.5%
DP-506.69%
Div Incr Years0
Div Non Decr Years0
Ex-Date08-15 2025-08-15 (0.24)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.36%
Min EPS beat(2)-7.48%
Max EPS beat(2)-3.24%
EPS beat(4)1
Avg EPS beat(4)-7.94%
Min EPS beat(4)-21.46%
Max EPS beat(4)0.42%
EPS beat(8)3
Avg EPS beat(8)-5.05%
EPS beat(12)4
Avg EPS beat(12)-3.72%
EPS beat(16)6
Avg EPS beat(16)-1.86%
Revenue beat(2)0
Avg Revenue beat(2)-32.02%
Min Revenue beat(2)-40.28%
Max Revenue beat(2)-23.76%
Revenue beat(4)0
Avg Revenue beat(4)-58.51%
Min Revenue beat(4)-96.41%
Max Revenue beat(4)-23.76%
Revenue beat(8)0
Avg Revenue beat(8)-73.04%
Revenue beat(12)1
Avg Revenue beat(12)-78.27%
Revenue beat(16)2
Avg Revenue beat(16)-94.15%
PT rev (1m)0%
PT rev (3m)4%
EPS NQ rev (1m)-14.49%
EPS NQ rev (3m)-25.91%
EPS NY rev (1m)-6.38%
EPS NY rev (3m)-9.41%
Revenue NQ rev (1m)-8.27%
Revenue NQ rev (3m)-0.08%
Revenue NY rev (1m)-13.1%
Revenue NY rev (3m)-24.4%
Valuation
Industry RankSector Rank
PE 4.41
Fwd PE 4.41
P/S 2.97
P/FCF 6.41
P/OCF 6.41
P/B 1.02
P/tB 1.02
EV/EBITDA N/A
EPS(TTM)3.41
EY22.69%
EPS(NY)3.41
Fwd EY22.66%
FCF(TTM)2.35
FCFY15.6%
OCF(TTM)2.35
OCFY15.6%
SpS5.06
BVpS14.75
TBVpS14.75
PEG (NY)N/A
PEG (5Y)0.47
Profitability
Industry RankSector Rank
ROA -0.25%
ROE -2.46%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM N/A
FCFM 46.32%
ROA(3y)-1.14%
ROA(5y)-1.48%
ROE(3y)-9.99%
ROE(5y)-10.72%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/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
F-Score5
Asset Turnover0.04
Health
Industry RankSector Rank
Debt/Equity 7.72
Debt/FCF 48.52
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 0.02
Quick Ratio 0.02
Altman-Z -0.98
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)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.8%
EPS 3Y56.5%
EPS 5Y9.48%
EPS Q2Q%-28.7%
EPS Next Y-12.04%
EPS Next 2Y-3.8%
EPS Next 3Y-5.54%
EPS Next 5YN/A
Revenue 1Y (TTM)16.26%
Revenue growth 3Y114.12%
Revenue growth 5Y48.97%
Sales Q2Q%372.86%
Revenue Next Year252.77%
Revenue Next 2Y122.81%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y74.56%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y8.58%
FCF growth 3Y181.37%
FCF growth 5YN/A
OCF growth 1Y8.58%
OCF growth 3Y181.37%
OCF growth 5YN/A