LUMENT FINANCE TRUST INC (LFT) Stock Fundamental Analysis
USA - NYSE:LFT - US55025L1089 - REIT
1.54 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to LFT. LFT was compared to 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. LFT has an excellent profitability rating, but there are concerns on its financial health. LFT is cheap, but on the other hand it scores bad on growth.
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's Return On Assets of 0.95% is amongst the best of the industry. LFT outperforms 83.82% of its industry peers.
The Return On Equity of LFT (4.11%) is better than 70.59% of its industry peers.
LFT has a better Return On Invested Capital (1.13%) than 80.88% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LFT is in line with the industry average of 1.18%.
The last Return On Invested Capital (1.13%) for LFT is above the 3 year average (1.11%), which is a sign of increasing profitability.
| 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 of 9.60%. This is in the better half of the industry: LFT outperforms 69.12% of its industry peers.
LFT's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 14.34%, LFT is doing good in the industry, outperforming 70.59% of the companies in the same industry.
LFT's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 29.18%, LFT is in line with its industry, outperforming 55.88% of the companies in the same industry.
LFT's Gross Margin has declined in the last couple of years.
| 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.
The number of shares outstanding for LFT has been increased compared to 5 years ago.
The debt/assets ratio for LFT has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.77, we must say that LFT is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of -0.77, LFT is not doing good in the industry: 76.47% of the companies in the same industry are doing better.
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.
LFT has a Debt to FCF ratio of 37.38. This is in the better half of the industry: LFT outperforms 76.47% of its industry peers.
LFT has a Debt/Equity ratio of 3.27. This is a high value indicating a heavy dependency on external financing.
LFT has a better Debt to Equity ratio (3.27) than 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.27 | ||
| Debt/FCF | 37.38 | ||
| Altman-Z | -0.77 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
LFT has a Current 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 has a Current ratio (0.09) which is in line with its industry peers.
A Quick Ratio of 0.09 indicates that LFT may have some problems paying its short term obligations.
LFT has a Quick ratio (0.09) which is in line with 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 -26.67%.
Measured over the past 5 years, LFT shows a small growth in Earnings Per Share. The EPS has been growing by 6.58% on average per year.
Looking at the last year, LFT shows a very negative growth in Revenue. The Revenue has decreased by -24.14% in the last year.
LFT shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 26.10% yearly.
EPS 1Y (TTM)-26.67%
EPS 3Y2.38%
EPS 5Y6.58%
EPS Q2Q%-44.44%
Revenue 1Y (TTM)-24.14%
Revenue growth 3Y49.98%
Revenue growth 5Y26.1%
Sales Q2Q%-32.83%
3.2 Future
Based on estimates for the next years, LFT will show a very negative growth in Earnings Per Share. The EPS will decrease by -14.97% on average per year.
Based on estimates for the next years, LFT will show a very negative growth in Revenue. The Revenue will decrease by -23.56% on average per year.
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
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 4.67, the valuation of LFT can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of LFT indicates a rather cheap valuation: LFT is cheaper than 97.06% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.13, LFT is valued rather cheaply.
A Price/Forward Earnings ratio of 4.84 indicates a rather cheap valuation of LFT.
LFT's Price/Forward Earnings ratio is rather cheap when compared to the industry. LFT is cheaper than 95.59% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.35. LFT is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.67 | ||
| Fwd PE | 4.84 |
4.2 Price Multiples
LFT's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LFT is cheaper than 95.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.98 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
LFT has a very decent profitability rating, which 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)0.71
EPS Next 2Y-14.97%
EPS Next 3YN/A
5. Dividend
5.1 Amount
LFT has a Yearly Dividend Yield of 10.32%, which is a nice return.
In the last 3 months the price of LFT has falen by -33.33%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 13.16, LFT is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.39, LFT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.32% |
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.
LFT has decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.24%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
275.65% of the earnings are spent on dividend by LFT. 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 (11/6/2025, 10:55:06 AM)
1.54
0 (0%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners50.78%
Inst Owner Change-0.33%
Ins Owners2.99%
Ins Owner Change0.55%
Market Cap80.60M
Revenue(TTM)98.94M
Net Income(TTM)9.50M
Analysts76.67
Price Target2.68 (74.03%)
Short Float %1.39%
Short Ratio4.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.32% |
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)-8.7%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.25%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.22%
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 | 4.67 | ||
| Fwd PE | 4.84 | ||
| P/S | 0.81 | ||
| P/FCF | 3.98 | ||
| P/OCF | 3.98 | ||
| P/B | 0.35 | ||
| P/tB | 0.35 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.33
EY21.43%
EPS(NY)0.32
Fwd EY20.66%
FCF(TTM)0.39
FCFY25.14%
OCF(TTM)0.39
OCFY25.14%
SpS1.89
BVpS4.42
TBVpS4.42
PEG (NY)N/A
PEG (5Y)0.71
Graham Number5.73
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)-26.67%
EPS 3Y2.38%
EPS 5Y6.58%
EPS Q2Q%-44.44%
EPS Next Y-31.14%
EPS Next 2Y-14.97%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-24.14%
Revenue growth 3Y49.98%
Revenue growth 5Y26.1%
Sales Q2Q%-32.83%
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%.