ACRES Commercial Realty Corp. (ACR) vs Apollo Commercial Real Estate Finance (ARI)

ACRES Commercial Realty Corp. and Apollo Commercial Real Estate Finance are both Reit Mortgage companies. Apollo Commercial Real Estate Finance is the larger, with a market value of $309.8M against $176.4M — 1.8× the size. ACRES Commercial Realty Corp. has negative trailing earnings, so its P/E is not meaningful; Apollo Commercial Real Estate Finance trades at 3.0×. ACRES Commercial Realty Corp. grew revenue faster over the last twelve months: −3.37% against −14.7%. Apollo Commercial Real Estate Finance has the higher net margin (50.3% vs −8.40%) and the higher return on invested capital (339.7% vs 0.29%). Across the 21 metrics below, Apollo Commercial Real Estate Finance leads on 15 and ACRES Commercial Realty Corp. on 6.

Valuation

Metric ACR ARI Reit Mortgage median
P/E n/m 3.01 14.55
P/S 1.09 1.33 1.72
P/B 0.16 0.25 0.52
Price to free cash flow 20.57 14.75 4.35
EV/EBITDA 74.31 3.77 28.27
EV/Sales 22.89 1.26 15.73
Earnings yield (8.33%) 33.20% 0.23%
Free cash flow yield 4.86% 6.78% 13.86%

Profitability

Metric ACR ARI Reit Mortgage median
Gross margin 92.11% 87.84% 100.00%
Operating margin 13.40% 35.13% 31.94%
Net margin (8.40%) 50.33% (1.81%)
Free cash flow margin 4.11% 9.00% 27.05%
Return on equity (1.36%) 7.72% (0.49%)
Return on assets (0.32%) 2.00% (0.06%)
Return on invested capital 0.29% 339.65% 0.79%

Growth

Metric ACR ARI Reit Mortgage median
Revenue growth (TTM) (3.37%) (14.66%) 1.39%
EPS growth (last fiscal year) (97.39%) 183.51% 45.25%
Revenue growth, 5-year CAGR 9.71% (0.51%) 14.60%
Net income growth, 5-year CAGR 0.00% 88.28% 0.00%

Health

Metric ACR ARI Reit Mortgage median
Debt to equity 3.24 0.00 2.91
Current ratio 108.63 2.45 0.82
Net debt to EBITDA 50.61 9.96 18.31

Dividend

Metric ACR ARI Reit Mortgage median
Dividend yield — 176.35% 17.37%
Payout ratio — 5.31 1.87

Size

Metric ACR ARI Reit Mortgage median
Market cap 176.36m 309.80m 409.49m

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