Head to Head Survey: Adamas Trust (ADAM) vs. Its Rivals

Adamas Trust (NASDAQ:ADAM) is one of 52 publicly-traded companies in the “Mortgage Real Estate Investment Trusts (REITs)” industry, but how does it contrast to its rivals? We will compare Adamas Trust to similar businesses based on the strength of its dividends, valuation, earnings, institutional ownership, risk, analyst recommendations and profitability.

Institutional and Insider Ownership

54.9% of Adamas Trust shares are held by institutional investors. Comparatively, 52.3% of shares of all “Mortgage Real Estate Investment Trusts (REITs)” companies are held by institutional investors. 2.0% of Adamas Trust shares are held by company insiders. Comparatively, 4.8% of shares of all “Mortgage Real Estate Investment Trusts (REITs)” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Dividends

Adamas Trust pays an annual dividend of $1.20 per share and has a dividend yield of 17.7%. Adamas Trust pays out 71.4% of its earnings in the form of a dividend. As a group, “Mortgage Real Estate Investment Trusts (REITs)” companies pay a dividend yield of 16.2% and pay out -358.1% of their earnings in the form of a dividend.

Valuation & Earnings

This table compares Adamas Trust and its rivals revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Adamas Trust	$601.95 million	$149.05 million	4.04
Adamas Trust Competitors	$554.61 million	$157.00 million	20.04

Adamas Trust has higher revenue, but lower earnings than its rivals. Adamas Trust is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

Adamas Trust has a beta of 1.22, meaning that its stock price is 22% more volatile than the S&P 500. Comparatively, Adamas Trust’s rivals have a beta of 1.18, meaning that their average stock price is 18% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for Adamas Trust and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Adamas Trust	0	5	1	0	2.17
Adamas Trust Competitors	671	1977	2126	136	2.35

Adamas Trust presently has a consensus price target of $9.25, indicating a potential upside of 36.13%. As a group, “Mortgage Real Estate Investment Trusts (REITs)” companies have a potential upside of 43.16%. Given Adamas Trust’s rivals stronger consensus rating and higher probable upside, analysts clearly believe Adamas Trust has less favorable growth aspects than its rivals.

Profitability

This table compares Adamas Trust and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Adamas Trust	-0.26%	15.00%	1.07%
Adamas Trust Competitors	-0.25%	7.63%	1.10%

Summary

Adamas Trust rivals beat Adamas Trust on 10 of the 15 factors compared.

About Adamas Trust

New York Mortgage Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. Its targeted investments include residential loans, second mortgages, and business purpose loans; structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties, as well as joint venture equity investments in multi-family properties; non-agency residential mortgage-backed securities (RMBS); agency RMBS; commercial mortgage-backed securities (CMBS); and other mortgage, residential housing, and credit-related assets. The company qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was incorporated in 2003 and is headquartered in New York, New York.