Ares Commercial Real Estate Corporation (ACRE) vs Angel Oak Mortgage REIT Inc. (AOMR)

Ares Commercial Real Estate Corporation and Angel Oak Mortgage REIT Inc. are both Reit Mortgage companies. Ares Commercial Real Estate Corporation is the larger, with a market value of $241.4M against $173.2M — 1.4× the size. Ares Commercial Real Estate Corporation has negative trailing earnings, so its P/E is not meaningful; Angel Oak Mortgage REIT Inc. trades at 9.6×. Angel Oak Mortgage REIT Inc. grew revenue faster over the last twelve months: 24.0% against −10.6%. Angel Oak Mortgage REIT Inc. has the higher net margin (11.9% vs −8.04%) and the lower return on invested capital (0.54% vs 0.65%). Both pay a dividend; Ares Commercial Real Estate Corporation yields more (15.7% vs 12.3%). Across the 21 metrics below, Angel Oak Mortgage REIT Inc. leads on 12 and Ares Commercial Real Estate Corporation on 9.

Valuation

Metric ACRE AOMR Reit Mortgage median
P/E n/m 9.56 7.80
P/S 4.21 1.15 1.90
P/B 0.47 0.77 0.61
Price to free cash flow 12.89 n/m 5.90
EV/EBITDA 103.15 88.42 28.40
EV/Sales 42.55 13.86 16.02
Earnings yield (1.91%) 10.46% 7.68%
Free cash flow yield 7.76% (249.64%) 11.60%

Profitability

Metric ACRE AOMR Reit Mortgage median
Gross margin 100.00% 27.84% 100.00%
Operating margin 31.94% 12.19% 35.40%
Net margin (8.04%) 11.85% 11.85%
Free cash flow margin 32.64% (286.14%) 26.68%
Return on equity (0.88%) 7.77% 4.81%
Return on assets (0.27%) 0.67% 0.62%
Return on invested capital 0.65% 0.54% 1.22%

Growth

Metric ACRE AOMR Reit Mortgage median
Revenue growth (TTM) (10.60%) 23.97% 4.70%
EPS growth (last fiscal year) 96.88% 53.85% —
Revenue growth, 5-year CAGR (7.89%) 28.61% 14.60%
Net income growth, 5-year CAGR 0.00% 127.59% 0.00%

Health

Metric ACRE AOMR Reit Mortgage median
Debt to equity 2.58 8.76 3.30
Current ratio 0.00 7.16 1.00
Net debt to EBITDA 44.04 39.70 18.31

Dividend

Metric ACRE AOMR Reit Mortgage median
Dividend yield 15.70% 12.34% 13.05%
Payout ratio 1.48 0.48 1.24

Size

Metric ACRE AOMR Reit Mortgage median
Market cap 241.35m 173.18m 517.48m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack