Angel Oak Mortgage REIT Inc. (AOMR) vs Ready Capital Corp (RC)

Angel Oak Mortgage REIT Inc. and Ready Capital Corp are both Reit Mortgage companies. Ready Capital Corp is the larger, with a market value of $229.6M against $173.2M — 1.3× the size. Ready Capital Corp 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 −43.0%. Angel Oak Mortgage REIT Inc. has the higher net margin (11.9% vs −134.1%) and the lower return on invested capital (0.54% vs 6.29%). Both pay a dividend; Ready Capital Corp yields more (16.7% vs 12.3%). Across the 21 metrics below, Ready Capital Corp leads on 12 and Angel Oak Mortgage REIT Inc. on 9.

Valuation

Metric AOMR RC Reit Mortgage median
P/E 9.56 n/m 7.80
P/S 1.15 0.53 1.90
P/B 0.77 0.18 0.61
Price to free cash flow n/m 0.18 5.90
EV/EBITDA 88.42 6.48 28.40
EV/Sales 13.86 7.42 16.02
Earnings yield 10.46% (257.04%) 7.68%
Free cash flow yield (249.64%) 560.11% 11.60%

Profitability

Metric AOMR RC Reit Mortgage median
Gross margin 27.84% 100.00% 100.00%
Operating margin 12.19% 101.42% 35.40%
Net margin 11.85% (134.14%) 11.85%
Free cash flow margin (286.14%) 297.03% 26.68%
Return on equity 7.77% (37.06%) 4.81%
Return on assets 0.67% (7.25%) 0.62%
Return on invested capital 0.54% 6.29% 1.22%

Growth

Metric AOMR RC Reit Mortgage median
Revenue growth (TTM) 23.97% (43.02%) 4.70%
EPS growth (last fiscal year) 53.85% 45.25% —
Revenue growth, 5-year CAGR 28.61% 17.09% 14.60%
Net income growth, 5-year CAGR 127.59% 0.00% 0.00%

Health

Metric AOMR RC Reit Mortgage median
Debt to equity 8.76 2.29 3.30
Current ratio 7.16 1.91 1.00
Net debt to EBITDA 39.70 6.30 18.31

Dividend

Metric AOMR RC Reit Mortgage median
Dividend yield 12.34% 16.73% 13.05%
Payout ratio 0.48 0.58 1.24

Size

Metric AOMR RC Reit Mortgage median
Market cap 173.18m 229.62m 517.48m

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