MFA FINANCIAL INC (MFA) Stock Fundamental Analysis
USA - NYSE:MFA - US55272X6076 - REIT
9.04 USD
+0.05 (+0.56%)
9.03 USD
-0.01 (-0.11%)
MFA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. Both the profitability and the financial health of MFA get a neutral evaluation. Nothing too spectacular is happening here. MFA has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year MFA was profitable.
In the past year MFA had a positive cash flow from operations.
In multiple years MFA reported negative net income over the last 5 years.
Each year in the past 5 years MFA had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 0.79%, MFA belongs to the best of the industry, outperforming 82.35% of the companies in the same industry.
Looking at the Return On Equity, with a value of 5.08%, MFA belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
MFA has a better Return On Invested Capital (0.91%) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.79% | ||
| ROE | 5.08% | ||
| ROIC | 0.91% |
ROA(3y)-0.57%
ROA(5y)-1.74%
ROE(3y)-2.06%
ROE(5y)-4.53%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MFA has a better Profit Margin (11.53%) than 75.00% of its industry peers.
In the last couple of years the Profit Margin of MFA has declined.
The Operating Margin of MFA (16.31%) is better than 76.47% of its industry peers.
In the last couple of years the Operating Margin of MFA has declined.
With a decent Gross Margin value of 36.64%, MFA is doing good in the industry, outperforming 77.94% of the companies in the same industry.
In the last couple of years the Gross Margin of MFA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.31% | ||
| PM (TTM) | 11.53% | ||
| GM | 36.64% |
OM growth 3Y-36.21%
OM growth 5Y-20.95%
PM growth 3Y-45.5%
PM growth 5Y-24.97%
GM growth 3Y-21.52%
GM growth 5Y-9.69%
2. Health
2.1 Basic Checks
The number of shares outstanding for MFA remains at a similar level compared to 1 year ago.
MFA has less shares outstanding than it did 5 years ago.
The debt/assets ratio for MFA is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.06, we must say that MFA is in the distress zone and has some risk of bankruptcy.
MFA has a Altman-Z score of -0.06. This is comparable to the rest of the industry: MFA outperforms 58.82% of its industry peers.
The Debt to FCF ratio of MFA is 76.65, which is on the high side as it means it would take MFA, 76.65 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 76.65, MFA is in the better half of the industry, outperforming 70.59% of the companies in the same industry.
MFA has a Debt/Equity ratio of 5.22. This is a high value indicating a heavy dependency on external financing.
MFA has a Debt to Equity ratio (5.22) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.22 | ||
| Debt/FCF | 76.65 | ||
| Altman-Z | -0.06 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
MFA has a Current Ratio of 1.10. This is a normal value and indicates that MFA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.10, MFA is in the better half of the industry, outperforming 79.41% of the companies in the same industry.
MFA has a Quick Ratio of 1.10. This is a normal value and indicates that MFA is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of MFA (1.10) is better than 79.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
MFA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -23.21%.
The earnings per share for MFA have been decreasing by -13.50% on average. This is quite bad
Looking at the last year, MFA shows a very negative growth in Revenue. The Revenue has decreased by -13.38% in the last year.
MFA shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.04% yearly.
EPS 1Y (TTM)-23.21%
EPS 3Y-11.02%
EPS 5Y-13.5%
EPS Q2Q%-45.45%
Revenue 1Y (TTM)-13.38%
Revenue growth 3Y21.64%
Revenue growth 5Y-0.04%
Sales Q2Q%14.56%
3.2 Future
MFA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.65% yearly.
MFA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.28% yearly.
EPS Next Y-28.58%
EPS Next 2Y-3.81%
EPS Next 3Y0.65%
EPS Next 5YN/A
Revenue Next Year4.4%
Revenue Next 2Y9.5%
Revenue Next 3Y12.28%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.01 indicates a rather cheap valuation of MFA.
Compared to the rest of the industry, the Price/Earnings ratio of MFA indicates a rather cheap valuation: MFA is cheaper than 88.24% of the companies listed in the same industry.
MFA is valuated cheaply when we compare the Price/Earnings ratio to 26.51, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 6.30, the valuation of MFA can be described as very cheap.
MFA's Price/Forward Earnings ratio is rather cheap when compared to the industry. MFA is cheaper than 88.24% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.53, MFA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.01 | ||
| Fwd PE | 6.3 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MFA indicates a rather cheap valuation: MFA is cheaper than 85.29% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.48 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-3.81%
EPS Next 3Y0.65%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 16.14%, MFA is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 12.83, MFA pays a better dividend. On top of this MFA pays more dividend than 85.29% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, MFA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 16.14% |
5.2 History
The dividend of MFA decreases each year by -12.34%.
MFA has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of MFA decreased recently.
Dividend Growth(5Y)-12.34%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
195.15% of the earnings are spent on dividend by MFA. This is not a sustainable payout ratio.
DP195.15%
EPS Next 2Y-3.81%
EPS Next 3Y0.65%
9.04
+0.05 (+0.56%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners59.12%
Inst Owner Change1.04%
Ins Owners0.88%
Ins Owner Change0.31%
Market Cap928.14M
Revenue(TTM)803.25M
Net Income(TTM)92.65M
Analysts72.73
Price Target11.32 (25.22%)
Short Float %2.28%
Short Ratio1.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 16.14% |
Yearly Dividend1.73
Dividend Growth(5Y)-12.34%
DP195.15%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.97%
Min EPS beat(2)-21.66%
Max EPS beat(2)-10.27%
EPS beat(4)0
Avg EPS beat(4)-11.28%
Min EPS beat(4)-21.66%
Max EPS beat(4)-2.24%
EPS beat(8)3
Avg EPS beat(8)0.01%
EPS beat(12)6
Avg EPS beat(12)1.95%
EPS beat(16)7
Avg EPS beat(16)-558.04%
Revenue beat(2)2
Avg Revenue beat(2)9.7%
Min Revenue beat(2)7.38%
Max Revenue beat(2)12.01%
Revenue beat(4)2
Avg Revenue beat(4)-4.04%
Min Revenue beat(4)-18.38%
Max Revenue beat(4)12.01%
Revenue beat(8)4
Avg Revenue beat(8)-4.4%
Revenue beat(12)5
Avg Revenue beat(12)7.36%
Revenue beat(16)7
Avg Revenue beat(16)12.05%
PT rev (1m)0%
PT rev (3m)-0.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.52%
EPS NY rev (1m)0%
EPS NY rev (3m)-13.59%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.76%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.01 | ||
| Fwd PE | 6.3 | ||
| P/S | 1.16 | ||
| P/FCF | 7.48 | ||
| P/OCF | 7.48 | ||
| P/B | 0.51 | ||
| P/tB | 0.53 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.29
EY14.27%
EPS(NY)1.43
Fwd EY15.87%
FCF(TTM)1.21
FCFY13.36%
OCF(TTM)1.21
OCFY13.36%
SpS7.82
BVpS17.75
TBVpS17.12
PEG (NY)N/A
PEG (5Y)N/A
Graham Number22.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.79% | ||
| ROE | 5.08% | ||
| ROCE | 1.16% | ||
| ROIC | 0.91% | ||
| ROICexc | 0.91% | ||
| ROICexgc | 0.94% | ||
| OM | 16.31% | ||
| PM (TTM) | 11.53% | ||
| GM | 36.64% | ||
| FCFM | 15.44% |
ROA(3y)-0.57%
ROA(5y)-1.74%
ROE(3y)-2.06%
ROE(5y)-4.53%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-28.3%
ROICexgc growth 5Y-17.73%
ROICexc growth 3Y-27.72%
ROICexc growth 5Y-17.35%
OM growth 3Y-36.21%
OM growth 5Y-20.95%
PM growth 3Y-45.5%
PM growth 5Y-24.97%
GM growth 3Y-21.52%
GM growth 5Y-9.69%
F-Score6
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.22 | ||
| Debt/FCF | 76.65 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.26 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 133.85% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | -0.06 |
F-Score6
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)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-23.21%
EPS 3Y-11.02%
EPS 5Y-13.5%
EPS Q2Q%-45.45%
EPS Next Y-28.58%
EPS Next 2Y-3.81%
EPS Next 3Y0.65%
EPS Next 5YN/A
Revenue 1Y (TTM)-13.38%
Revenue growth 3Y21.64%
Revenue growth 5Y-0.04%
Sales Q2Q%14.56%
Revenue Next Year4.4%
Revenue Next 2Y9.5%
Revenue Next 3Y12.28%
Revenue Next 5YN/A
EBIT growth 1Y93.99%
EBIT growth 3Y-22.41%
EBIT growth 5Y-20.98%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-43.24%
FCF growth 3Y22.71%
FCF growth 5Y-1.32%
OCF growth 1Y-43.32%
OCF growth 3Y18.49%
OCF growth 5Y-1.5%
MFA FINANCIAL INC / MFA FAQ
Can you provide the ChartMill fundamental rating for MFA FINANCIAL INC?
ChartMill assigns a fundamental rating of 4 / 10 to MFA.
Can you provide the valuation status for MFA FINANCIAL INC?
ChartMill assigns a valuation rating of 6 / 10 to MFA FINANCIAL INC (MFA). This can be considered as Fairly Valued.
Can you provide the profitability details for MFA FINANCIAL INC?
MFA FINANCIAL INC (MFA) has a profitability rating of 5 / 10.
How financially healthy is MFA FINANCIAL INC?
The financial health rating of MFA FINANCIAL INC (MFA) is 4 / 10.
How sustainable is the dividend of MFA FINANCIAL INC (MFA) stock?
The dividend rating of MFA FINANCIAL INC (MFA) is 5 / 10 and the dividend payout ratio is 195.15%.