KKR Real Estate Finance Trust (KREF) vs Chicago Atlantic Real Estate Finance, Inc. (REFI)

KKR Real Estate Finance Trust and Chicago Atlantic Real Estate Finance, Inc. are both Reit Mortgage companies. KKR Real Estate Finance Trust is the larger, with a market value of $369.4M against $272.4M — 1.4× the size. KKR Real Estate Finance Trust has negative trailing earnings, so its P/E is not meaningful; Chicago Atlantic Real Estate Finance, Inc. trades at 7.7×. Chicago Atlantic Real Estate Finance, Inc. grew revenue faster over the last twelve months: −3.77% against −24.3%. Chicago Atlantic Real Estate Finance, Inc. has the higher net margin (54.6% vs −173.6%) and the higher return on invested capital (6.47% vs −2.26%). Both pay a dividend; Chicago Atlantic Real Estate Finance, Inc. yields more (13.0% vs 11.8%). Across the 18 metrics below, Chicago Atlantic Real Estate Finance, Inc. leads on 15 and KKR Real Estate Finance Trust on 3.

Valuation

Metric KREF REFI Reit Mortgage median
P/E n/m 7.66 7.80
P/S 3.32 4.20 1.90
P/B 0.40 0.75 0.61
Price to free cash flow 16.18 8.40 5.90
EV/EBITDA n/m 7.72 28.40
EV/Sales 38.70 3.95 16.02
Earnings yield (51.65%) 13.05% 7.68%
Free cash flow yield 6.18% 11.90% 11.60%

Profitability

Metric KREF REFI Reit Mortgage median
Gross margin 100.00% 100.00% 100.00%
Operating margin (157.87%) 55.37% 35.40%
Net margin (173.57%) 54.57% 11.85%
Free cash flow margin 20.50% 49.97% 26.68%
Return on equity (18.18%) 9.61% 4.81%
Return on assets (3.12%) 6.41% 0.62%
Return on invested capital (2.26%) 6.47% 1.22%

Growth

Metric KREF REFI Reit Mortgage median
Revenue growth (TTM) (24.25%) (3.77%) 4.70%
EPS growth (last fiscal year) (652.63%) (10.64%) —
Revenue growth, 5-year CAGR (1.15%) — 14.60%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric KREF REFI Reit Mortgage median
Debt to equity 4.36 0.00 3.30
Current ratio 0.00 0.09 1.00
Net debt to EBITDA (90.61) (0.44) 18.31

Dividend

Metric KREF REFI Reit Mortgage median
Dividend yield 11.79% 13.02% 13.05%
Payout ratio 2.87 0.93 1.24

Size

Metric KREF REFI Reit Mortgage median
Market cap 369.41m 272.35m 517.48m

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