APOLLO COMMERCIAL REAL ESTAT (ARI) Stock Fundamental Analysis

NYSE:ARI • US03762U1051

10.63 USD
+0.09 (+0.85%)
At close: Feb 20, 2026
10.63 USD
0 (0%)
After Hours: 2/20/2026, 8:17:19 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to ARI. ARI was compared to 70 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. There are concerns on the financial health of ARI while its profitability can be described as average. ARI has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • In the past year ARI was profitable.
  • In the past year ARI had a positive cash flow from operations.
  • Of the past 5 years ARI 4 years were profitable.
  • Each year in the past 5 years ARI had a positive operating cash flow.
ARI Yearly Net Income VS EBIT VS OCF VS FCFARI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M -100M 200M

1.2 Ratios

  • ARI has a Return On Assets of 1.13%. This is amongst the best in the industry. ARI outperforms 87.14% of its industry peers.
  • Looking at the Return On Equity, with a value of 6.03%, ARI belongs to the top of the industry, outperforming 87.14% of the companies in the same industry.
  • The Return On Invested Capital of ARI (0.99%) is better than 82.86% of its industry peers.
  • ARI had an Average Return On Invested Capital over the past 3 years of 1.47%. This is in line with the industry average of 1.26%.
Industry RankSector Rank
ROA 1.13%
ROE 6.03%
ROIC 0.99%
ROA(3y)-0.01%
ROA(5y)1.01%
ROE(3y)0.23%
ROE(5y)4.05%
ROIC(3y)1.47%
ROIC(5y)1.71%
ARI Yearly ROA, ROE, ROICARI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5 -5 10

1.3 Margins

  • With a decent Profit Margin value of 15.30%, ARI is doing good in the industry, outperforming 71.43% of the companies in the same industry.
  • In the last couple of years the Profit Margin of ARI has grown nicely.
  • ARI has a Operating Margin of 15.53%. This is comparable to the rest of the industry: ARI outperforms 58.57% of its industry peers.
  • ARI's Operating Margin has declined in the last couple of years.
  • ARI has a better Gross Margin (37.12%) than 77.14% of its industry peers.
  • In the last couple of years the Gross Margin of ARI has declined.
Industry RankSector Rank
OM 15.53%
PM (TTM) 15.3%
GM 37.12%
OM growth 3Y-21.24%
OM growth 5Y-20.73%
PM growth 3Y-29.33%
PM growth 5Y115.72%
GM growth 3Y-11.13%
GM growth 5Y-10.65%
ARI Yearly Profit, Operating, Gross MarginsARI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ARI is destroying value.
  • The number of shares outstanding for ARI has been increased compared to 1 year ago.
  • Compared to 5 years ago, ARI has less shares outstanding
  • The debt/assets ratio for ARI is higher compared to a year ago.
ARI Yearly Shares OutstandingARI Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M
ARI Yearly Total Debt VS Total AssetsARI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

2.2 Solvency

  • ARI has an Altman-Z score of 0.03. This is a bad value and indicates that ARI is not financially healthy and even has some risk of bankruptcy.
  • The Altman-Z score of ARI (0.03) is better than 67.14% of its industry peers.
  • The Debt to FCF ratio of ARI is 187.14, which is on the high side as it means it would take ARI, 187.14 years of fcf income to pay off all of its debts.
  • ARI's Debt to FCF ratio of 187.14 is on the low side compared to the rest of the industry. ARI is outperformed by 67.14% of its industry peers.
  • A Debt/Equity ratio of 3.89 is on the high side and indicates that ARI has dependencies on debt financing.
  • The Debt to Equity ratio of ARI (3.89) is better than 61.43% of its industry peers.
Industry RankSector Rank
Debt/Equity 3.89
Debt/FCF 187.14
Altman-Z 0.03
ROIC/WACC0.16
WACC6.19%
ARI Yearly LT Debt VS Equity VS FCFARI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.3 Liquidity

  • ARI has a Current Ratio of 0.26. This is a bad value and indicates that ARI is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Current ratio of ARI (0.26) is better than 61.43% of its industry peers.
  • ARI has a Quick Ratio of 0.26. This is a bad value and indicates that ARI is not financially healthy enough and could expect problems in meeting its short term obligations.
  • The Quick ratio of ARI (0.26) is better than 61.43% of its industry peers.
Industry RankSector Rank
Current Ratio 0.26
Quick Ratio 0.26
ARI Yearly Current Assets VS Current LiabilitesARI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. Growth

3.1 Past

  • The earnings per share for ARI have decreased strongly by -20.30% in the last year.
  • Measured over the past years, ARI shows a very strong growth in Earnings Per Share. The EPS has been growing by 28.72% on average per year.
  • The Revenue has decreased by -9.40% in the past year.
  • Measured over the past years, ARI shows a quite strong growth in Revenue. The Revenue has been growing by 11.34% on average per year.
EPS 1Y (TTM)-20.3%
EPS 3Y-8.42%
EPS 5Y28.72%
EPS Q2Q%-18.75%
Revenue 1Y (TTM)-9.4%
Revenue growth 3Y8.42%
Revenue growth 5Y11.34%
Sales Q2Q%1.38%

3.2 Future

  • Based on estimates for the next years, ARI will show a small growth in Earnings Per Share. The EPS will grow by 6.03% on average per year.
  • Based on estimates for the next years, ARI will show a quite strong growth in Revenue. The Revenue will grow by 12.55% on average per year.
EPS Next Y-7.58%
EPS Next 2Y6.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year16.31%
Revenue Next 2Y12.55%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
ARI Yearly Revenue VS EstimatesARI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 200M 400M 600M 800M
ARI Yearly EPS VS EstimatesARI Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0.5 1 1.5

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 10.03, the valuation of ARI can be described as very reasonable.
  • Compared to the rest of the industry, the Price/Earnings ratio of ARI indicates a somewhat cheap valuation: ARI is cheaper than 68.57% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of ARI to the average of the S&P500 Index (26.99), we can say ARI is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 10.85, the valuation of ARI can be described as reasonable.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of ARI is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, ARI is valued rather cheaply.
Industry RankSector Rank
PE 10.03
Fwd PE 10.85
ARI Price Earnings VS Forward Price EarningsARI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, ARI is valued cheaper than 84.29% of the companies in the same industry.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as ARI.
Industry RankSector Rank
P/FCF 34.91
EV/EBITDA 74.06
ARI Per share dataARI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

4.3 Compensation for Growth

  • The decent profitability rating of ARI may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.35
EPS Next 2Y6.03%
EPS Next 3YN/A

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • ARI has a Yearly Dividend Yield of 9.49%, which is a nice return.
  • ARI's Dividend Yield is comparable with the industry average which is at 11.13.
  • ARI's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
Industry RankSector Rank
Dividend Yield 9.49%

5.2 History

  • The dividend of ARI decreases each year by -8.38%.
  • ARI has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-8.38%
Div Incr Years0
Div Non Decr Years0
ARI Yearly Dividends per shareARI Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5

5.3 Sustainability

  • ARI pays out 137.20% of its income as dividend. This is not a sustainable payout ratio.
DP137.2%
EPS Next 2Y6.03%
EPS Next 3YN/A
ARI Yearly Income VS Free CF VS DividendARI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 100M -100M 200M
ARI Dividend Payout.ARI Dividend Payout, showing the Payout Ratio.ARI Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

APOLLO COMMERCIAL REAL ESTAT

NYSE:ARI (2/20/2026, 8:17:19 PM)

After market: 10.63 0 (0%)

10.63

+0.09 (+0.85%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)02-10
Earnings (Next)04-22
Inst Owners69.07%
Inst Owner Change0.02%
Ins Owners0.56%
Ins Owner Change-2.3%
Market Cap1.48B
Revenue(TTM)731.68M
Net Income(TTM)111.91M
Analysts82.22
Price Target11.17 (5.08%)
Short Float %2.53%
Short Ratio2.81
Dividend
Industry RankSector Rank
Dividend Yield 9.49%
Yearly Dividend1.11
Dividend Growth(5Y)-8.38%
DP137.2%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)22.59%
Min EPS beat(2)6.37%
Max EPS beat(2)38.8%
EPS beat(4)4
Avg EPS beat(4)15.48%
Min EPS beat(4)4.64%
Max EPS beat(4)38.8%
EPS beat(8)8
Avg EPS beat(8)18.61%
EPS beat(12)11
Avg EPS beat(12)3.76%
EPS beat(16)14
Avg EPS beat(16)3.22%
Revenue beat(2)0
Avg Revenue beat(2)-12.54%
Min Revenue beat(2)-16.96%
Max Revenue beat(2)-8.12%
Revenue beat(4)0
Avg Revenue beat(4)-13.75%
Min Revenue beat(4)-20.78%
Max Revenue beat(4)-8.12%
Revenue beat(8)0
Avg Revenue beat(8)-10.85%
Revenue beat(12)0
Avg Revenue beat(12)-10.22%
Revenue beat(16)4
Avg Revenue beat(16)17.84%
PT rev (1m)3.79%
PT rev (3m)4.29%
EPS NQ rev (1m)2.25%
EPS NQ rev (3m)27.37%
EPS NY rev (1m)8.78%
EPS NY rev (3m)8.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.95%
Valuation
Industry RankSector Rank
PE 10.03
Fwd PE 10.85
P/S 2.02
P/FCF 34.91
P/OCF 10.36
P/B 0.8
P/tB 0.8
EV/EBITDA 74.06
EPS(TTM)1.06
EY9.97%
EPS(NY)0.98
Fwd EY9.22%
FCF(TTM)0.3
FCFY2.86%
OCF(TTM)1.03
OCFY9.65%
SpS5.27
BVpS13.36
TBVpS13.36
PEG (NY)N/A
PEG (5Y)0.35
Graham Number17.85
Profitability
Industry RankSector Rank
ROA 1.13%
ROE 6.03%
ROCE 1.25%
ROIC 0.99%
ROICexc 1%
ROICexgc 1.01%
OM 15.53%
PM (TTM) 15.3%
GM 37.12%
FCFM 5.78%
ROA(3y)-0.01%
ROA(5y)1.01%
ROE(3y)0.23%
ROE(5y)4.05%
ROIC(3y)1.47%
ROIC(5y)1.71%
ROICexc(3y)1.51%
ROICexc(5y)1.78%
ROICexgc(3y)1.53%
ROICexgc(5y)1.79%
ROCE(3y)1.86%
ROCE(5y)2.17%
ROICexgc growth 3Y-15.88%
ROICexgc growth 5Y-25.18%
ROICexc growth 3Y-15.6%
ROICexc growth 5Y-25.13%
OM growth 3Y-21.24%
OM growth 5Y-20.73%
PM growth 3Y-29.33%
PM growth 5Y115.72%
GM growth 3Y-11.13%
GM growth 5Y-10.65%
F-Score4
Asset Turnover0.07
Health
Industry RankSector Rank
Debt/Equity 3.89
Debt/FCF 187.14
Debt/EBITDA 57.83
Cap/Depr 896.89%
Cap/Sales 13.7%
Interest Coverage 0.25
Cash Conversion 114.2%
Profit Quality 37.81%
Current Ratio 0.26
Quick Ratio 0.26
Altman-Z 0.03
F-Score4
WACC6.19%
ROIC/WACC0.16
Cap/Depr(3y)1076.74%
Cap/Depr(5y)1585.55%
Cap/Sales(3y)14.55%
Cap/Sales(5y)9.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-20.3%
EPS 3Y-8.42%
EPS 5Y28.72%
EPS Q2Q%-18.75%
EPS Next Y-7.58%
EPS Next 2Y6.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-9.4%
Revenue growth 3Y8.42%
Revenue growth 5Y11.34%
Sales Q2Q%1.38%
Revenue Next Year16.31%
Revenue Next 2Y12.55%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-21.39%
EBIT growth 3Y-14.61%
EBIT growth 5Y-11.73%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y35.06%
FCF growth 3Y-43.04%
FCF growth 5Y-23.74%
OCF growth 1Y-29.04%
OCF growth 3Y-18.37%
OCF growth 5Y-2.78%

APOLLO COMMERCIAL REAL ESTAT / ARI FAQ

What is the fundamental rating for ARI stock?

ChartMill assigns a fundamental rating of 4 / 10 to ARI.


What is the valuation status for ARI stock?

ChartMill assigns a valuation rating of 5 / 10 to APOLLO COMMERCIAL REAL ESTAT (ARI). This can be considered as Fairly Valued.


How profitable is APOLLO COMMERCIAL REAL ESTAT (ARI) stock?

APOLLO COMMERCIAL REAL ESTAT (ARI) has a profitability rating of 6 / 10.


What are the PE and PB ratios of APOLLO COMMERCIAL REAL ESTAT (ARI) stock?

The Price/Earnings (PE) ratio for APOLLO COMMERCIAL REAL ESTAT (ARI) is 10.03 and the Price/Book (PB) ratio is 0.8.


Is the dividend of APOLLO COMMERCIAL REAL ESTAT sustainable?

The dividend rating of APOLLO COMMERCIAL REAL ESTAT (ARI) is 4 / 10 and the dividend payout ratio is 137.2%.