LUMENT FINANCE TRUST INC (LFT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:LFT - US55025L1089 - REIT
1.595 USD
+0 (+0.31%)
Overall LFT gets a fundamental rating of 5 out of 10. We evaluated LFT against 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. While LFT belongs to the best of the industry regarding profitability, there are concerns on its financial health. LFT is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year LFT was profitable.
In the past year LFT had a positive cash flow from operations.
Each year in the past 5 years LFT has been profitable.
In the past 5 years LFT always reported a positive cash flow from operatings.
1.2 Ratios
LFT has a better Return On Assets (0.95%) than 80.88% of its industry peers.
The Return On Equity of LFT (4.11%) is comparable to the rest of the industry.
With an excellent Return On Invested Capital value of 1.13%, LFT belongs to the best of the industry, outperforming 83.82% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for LFT is in line with the industry average of 1.22%.
The 3 year average ROIC (1.11%) for LFT is below the current ROIC(1.13%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.95% | ||
| ROE | 4.11% | ||
| ROIC | 1.13% |
ROA(3y)1.02%
ROA(5y)1.03%
ROE(3y)5.28%
ROE(5y)5.52%
ROIC(3y)1.11%
ROIC(5y)1.09%
1.3 Margins
LFT has a Profit Margin (9.60%) which is in line with its industry peers.
In the last couple of years the Profit Margin of LFT has grown nicely.
LFT's Operating Margin of 14.34% is in line compared to the rest of the industry. LFT outperforms 54.41% of its industry peers.
In the last couple of years the Operating Margin of LFT has grown nicely.
LFT has a Gross Margin (29.18%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of LFT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.34% | ||
| PM (TTM) | 9.6% | ||
| GM | 29.18% |
OM growth 3Y-18.37%
OM growth 5Y3.71%
PM growth 3Y-10.48%
PM growth 5Y15.78%
GM growth 3Y-20.78%
GM growth 5Y-5.82%
2. Health
2.1 Basic Checks
LFT has about the same amout of shares outstanding than it did 1 year ago.
LFT has more shares outstanding than it did 5 years ago.
LFT has a better debt/assets ratio than last year.
2.2 Solvency
LFT has an Altman-Z score of -0.77. This is a bad value and indicates that LFT is not financially healthy and even has some risk of bankruptcy.
LFT has a worse Altman-Z score (-0.77) than 76.47% of its industry peers.
The Debt to FCF ratio of LFT is 37.38, which is on the high side as it means it would take LFT, 37.38 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 37.38, LFT is in the better half of the industry, outperforming 79.41% of the companies in the same industry.
LFT has a Debt/Equity ratio of 3.27. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 3.27, LFT is in the better half of the industry, outperforming 72.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.27 | ||
| Debt/FCF | 37.38 | ||
| Altman-Z | -0.77 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.09 indicates that LFT may have some problems paying its short term obligations.
The Current ratio of LFT (0.09) is worse than 64.71% of its industry peers.
LFT has a Quick Ratio of 0.09. This is a bad value and indicates that LFT is not financially healthy enough and could expect problems in meeting its short term obligations.
LFT's Quick ratio of 0.09 is on the low side compared to the rest of the industry. LFT is outperformed by 64.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.09 | ||
| Quick Ratio | 0.09 |
3. Growth
3.1 Past
LFT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -43.18%.
The Earnings Per Share has been growing slightly by 6.58% on average over the past years.
The Revenue has grown by 11.85% in the past year. This is quite good.
Measured over the past years, LFT shows a very strong growth in Revenue. The Revenue has been growing by 26.10% on average per year.
EPS 1Y (TTM)-43.18%
EPS 3Y2.38%
EPS 5Y6.58%
EPS Q2Q%-80%
Revenue 1Y (TTM)11.85%
Revenue growth 3Y49.98%
Revenue growth 5Y26.1%
Sales Q2Q%-38.36%
3.2 Future
The Earnings Per Share is expected to decrease by -14.97% on average over the next years. This is quite bad
The Revenue is expected to decrease by -23.56% on average over the next years. This is quite bad
EPS Next Y-31.14%
EPS Next 2Y-14.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-34.75%
Revenue Next 2Y-23.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.38 indicates a rather cheap valuation of LFT.
Based on the Price/Earnings ratio, LFT is valued cheaper than 92.65% of the companies in the same industry.
When comparing the Price/Earnings ratio of LFT to the average of the S&P500 Index (25.98), we can say LFT is valued rather cheaply.
A Price/Forward Earnings ratio of 5.01 indicates a rather cheap valuation of LFT.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LFT indicates a rather cheap valuation: LFT is cheaper than 95.59% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of LFT to the average of the S&P500 Index (35.79), we can say LFT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.38 | ||
| Fwd PE | 5.01 |
4.2 Price Multiples
LFT's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LFT is cheaper than 97.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.12 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The decent profitability rating of LFT may justify a higher PE ratio.
A cheap valuation may be justified as LFT's earnings are expected to decrease with -14.97% in the coming years.
PEG (NY)N/A
PEG (5Y)0.97
EPS Next 2Y-14.97%
EPS Next 3YN/A
5. Dividend
5.1 Amount
LFT has a Yearly Dividend Yield of 11.19%, which is a nice return.
The stock price of LFT dropped by -29.02% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
LFT's Dividend Yield is slightly below the industry average, which is at 12.91.
LFT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.19% |
5.2 History
The dividend of LFT has a limited annual growth rate of 5.24%.
LFT has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of LFT decreased in the last 3 years.
Dividend Growth(5Y)5.24%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
LFT pays out 275.65% of its income as dividend. This is not a sustainable payout ratio.
LFT's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP275.65%
EPS Next 2Y-14.97%
EPS Next 3YN/A
NYSE:LFT (11/26/2025, 2:38:53 PM)
1.595
+0 (+0.31%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners50.78%
Inst Owner Change0.49%
Ins Owners2.99%
Ins Owner Change0.32%
Market Cap83.48M
Revenue(TTM)122.13M
Net Income(TTM)9.50M
Analysts76.67
Price Target2.68 (68.03%)
Short Float %1.27%
Short Ratio3.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.19% |
Yearly Dividend0.39
Dividend Growth(5Y)5.24%
DP275.65%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-22.99%
Min EPS beat(2)-33.99%
Max EPS beat(2)-11.99%
EPS beat(4)2
Avg EPS beat(4)-5.12%
Min EPS beat(4)-33.99%
Max EPS beat(4)17.87%
EPS beat(8)4
Avg EPS beat(8)1.4%
EPS beat(12)5
Avg EPS beat(12)-13.8%
EPS beat(16)6
Avg EPS beat(16)-13.96%
Revenue beat(2)0
Avg Revenue beat(2)-9.49%
Min Revenue beat(2)-12.75%
Max Revenue beat(2)-6.23%
Revenue beat(4)1
Avg Revenue beat(4)-4.76%
Min Revenue beat(4)-12.75%
Max Revenue beat(4)5.92%
Revenue beat(8)3
Avg Revenue beat(8)-1.15%
Revenue beat(12)7
Avg Revenue beat(12)1.86%
Revenue beat(16)10
Avg Revenue beat(16)12.38%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-9.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-6.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.38 | ||
| Fwd PE | 5.01 | ||
| P/S | 0.84 | ||
| P/FCF | 4.12 | ||
| P/OCF | 4.12 | ||
| P/B | 0.36 | ||
| P/tB | 0.36 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.25
EY15.67%
EPS(NY)0.32
Fwd EY19.95%
FCF(TTM)0.39
FCFY24.27%
OCF(TTM)0.39
OCFY24.27%
SpS1.89
BVpS4.42
TBVpS4.42
PEG (NY)N/A
PEG (5Y)0.97
Graham Number4.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.95% | ||
| ROE | 4.11% | ||
| ROCE | 5.06% | ||
| ROIC | 1.13% | ||
| ROICexc | 1.2% | ||
| ROICexgc | 1.21% | ||
| OM | 14.34% | ||
| PM (TTM) | 9.6% | ||
| GM | 29.18% | ||
| FCFM | 20.48% |
ROA(3y)1.02%
ROA(5y)1.03%
ROE(3y)5.28%
ROE(5y)5.52%
ROIC(3y)1.11%
ROIC(5y)1.09%
ROICexc(3y)1.17%
ROICexc(5y)1.13%
ROICexgc(3y)1.17%
ROICexgc(5y)1.13%
ROCE(3y)5.96%
ROCE(5y)5.9%
ROICexgc growth 3Y21.78%
ROICexgc growth 5Y18.68%
ROICexc growth 3Y21.77%
ROICexc growth 5Y18.69%
OM growth 3Y-18.37%
OM growth 5Y3.71%
PM growth 3Y-10.48%
PM growth 5Y15.78%
GM growth 3Y-20.78%
GM growth 5Y-5.82%
F-Score4
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.27 | ||
| Debt/FCF | 37.38 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.22 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 213.33% | ||
| Current Ratio | 0.09 | ||
| Quick Ratio | 0.09 | ||
| Altman-Z | -0.77 |
F-Score4
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)212.03%
Profit Quality(5y)193.75%
High Growth Momentum
Growth
EPS 1Y (TTM)-43.18%
EPS 3Y2.38%
EPS 5Y6.58%
EPS Q2Q%-80%
EPS Next Y-31.14%
EPS Next 2Y-14.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)11.85%
Revenue growth 3Y49.98%
Revenue growth 5Y26.1%
Sales Q2Q%-38.36%
Revenue Next Year-34.75%
Revenue Next 2Y-23.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-37.96%
EBIT growth 3Y22.43%
EBIT growth 5Y30.78%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y12.08%
FCF growth 3Y25.12%
FCF growth 5Y30.1%
OCF growth 1Y12.08%
OCF growth 3Y25.12%
OCF growth 5Y30.1%
LUMENT FINANCE TRUST INC / LFT FAQ
Can you provide the ChartMill fundamental rating for LUMENT FINANCE TRUST INC?
ChartMill assigns a fundamental rating of 5 / 10 to LFT.
Can you provide the valuation status for LUMENT FINANCE TRUST INC?
ChartMill assigns a valuation rating of 7 / 10 to LUMENT FINANCE TRUST INC (LFT). This can be considered as Undervalued.
How profitable is LUMENT FINANCE TRUST INC (LFT) stock?
LUMENT FINANCE TRUST INC (LFT) has a profitability rating of 7 / 10.
What is the earnings growth outlook for LUMENT FINANCE TRUST INC?
The Earnings per Share (EPS) of LUMENT FINANCE TRUST INC (LFT) is expected to decline by -31.14% in the next year.
Is the dividend of LUMENT FINANCE TRUST INC sustainable?
The dividend rating of LUMENT FINANCE TRUST INC (LFT) is 4 / 10 and the dividend payout ratio is 275.65%.