MFA FINANCIAL INC (MFA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MFA - US55272X6076 - REIT
9.68 USD
-0.01 (-0.1%)
9.72 USD
+0.04 (+0.41%)
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. While MFA is still in line with the averages on profitability rating, there are concerns on its financial health. MFA is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year MFA was profitable.
- MFA had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: MFA reported negative net income in multiple 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 0.74%, MFA belongs to the best of the industry, outperforming 80.88% of the companies in the same industry.
- MFA's Return On Equity of 4.93% is fine compared to the rest of the industry. MFA outperforms 63.24% of its industry peers.
- The Return On Invested Capital of MFA (0.88%) is better than 79.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.74% | ||
| ROE | 4.93% | ||
| ROIC | 0.88% |
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
- The Profit Margin of MFA (11.27%) is better than 63.24% of its industry peers.
- In the last couple of years the Profit Margin of MFA has declined.
- MFA has a better Operating Margin (16.20%) than 61.76% of its industry peers.
- In the last couple of years the Operating Margin of MFA has declined.
- MFA has a Gross Margin of 36.50%. This is in the better half of the industry: MFA outperforms 75.00% of its industry peers.
- In the last couple of years the Gross Margin of MFA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.2% | ||
| PM (TTM) | 11.27% | ||
| GM | 36.5% |
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
- MFA has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for MFA has been reduced compared to 5 years ago.
- MFA has a worse debt/assets ratio than last year.
2.2 Solvency
- MFA has an Altman-Z score of -0.06. This is a bad value and indicates that MFA is not financially healthy and even has some risk of bankruptcy.
- With a Altman-Z score value of -0.06, MFA perfoms like the industry average, outperforming 54.41% of the companies in the same industry.
- MFA has a debt to FCF ratio of 65.58. This is a negative value and a sign of low solvency as MFA would need 65.58 years to pay back of all of its debts.
- The Debt to FCF ratio of MFA (65.58) is better than 76.47% of its industry peers.
- A Debt/Equity ratio of 5.40 is on the high side and indicates that MFA has dependencies on debt financing.
- MFA has a Debt to Equity ratio (5.40) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.4 | ||
| Debt/FCF | 65.58 | ||
| Altman-Z | -0.06 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- MFA has a Current Ratio of 0.95. This is a bad value and indicates that MFA is not financially healthy enough and could expect problems in meeting its short term obligations.
- MFA has a better Current ratio (0.95) than 70.59% of its industry peers.
- A Quick Ratio of 0.95 indicates that MFA may have some problems paying its short term obligations.
- MFA has a better Quick ratio (0.95) than 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
- MFA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -32.12%.
- MFA shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -13.50% yearly.
- MFA shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.03%.
- The Revenue has been decreasing by -0.04% on average over the past years.
EPS 1Y (TTM)-32.12%
EPS 3Y-11.02%
EPS 5Y-13.5%
EPS Q2Q%-45.95%
Revenue 1Y (TTM)-24.03%
Revenue growth 3Y21.64%
Revenue growth 5Y-0.04%
Sales Q2Q%12.18%
3.2 Future
- MFA is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.32% yearly.
- The Revenue is expected to grow by 12.28% on average over the next years. This is quite good.
EPS Next Y-32.02%
EPS Next 2Y-5.92%
EPS Next 3Y-0.32%
EPS Next 5YN/A
Revenue Next Year16.21%
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
- Based on the Price/Earnings ratio of 8.64, the valuation of MFA can be described as reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of MFA indicates a somewhat cheap valuation: MFA is cheaper than 76.47% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of MFA to the average of the S&P500 Index (27.30), we can say MFA is valued rather cheaply.
- MFA is valuated cheaply with a Price/Forward Earnings ratio of 7.06.
- Based on the Price/Forward Earnings ratio, MFA is valued cheaply inside the industry as 80.88% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of MFA to the average of the S&P500 Index (24.04), we can say MFA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.64 | ||
| Fwd PE | 7.06 |
4.2 Price Multiples
- MFA's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MFA is cheaper than 89.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.59 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.92%
EPS Next 3Y-0.32%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 15.05%, MFA is a good candidate for dividend investing.
- MFA's Dividend Yield is rather good when compared to the industry average which is at 10.90. MFA pays more dividend than 86.76% of the companies in the same industry.
- MFA's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.05% |
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
- MFA pays out 205.55% of its income as dividend. This is not a sustainable payout ratio.
- MFA's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP205.55%
EPS Next 2Y-5.92%
EPS Next 3Y-0.32%
9.68
-0.01 (-0.1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)11-06 2025-11-06/bmo
Earnings (Next)02-17 2026-02-17/bmo
Inst Owners55.51%
Inst Owner Change0.19%
Ins Owners0.89%
Ins Owner Change-0.07%
Market Cap989.30M
Revenue(TTM)797.68M
Net Income(TTM)89.86M
Analysts72
Price Target10.52 (8.68%)
Short Float %2.49%
Short Ratio2.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.05% |
Yearly Dividend1.73
Dividend Growth(5Y)-12.34%
DP205.55%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-24.83%
Min EPS beat(2)-27.99%
Max EPS beat(2)-21.66%
EPS beat(4)0
Avg EPS beat(4)-15.54%
Min EPS beat(4)-27.99%
Max EPS beat(4)-2.24%
EPS beat(8)2
Avg EPS beat(8)-5.13%
EPS beat(12)5
Avg EPS beat(12)-2.45%
EPS beat(16)6
Avg EPS beat(16)-562.76%
Revenue beat(2)2
Avg Revenue beat(2)7.79%
Min Revenue beat(2)3.57%
Max Revenue beat(2)12.01%
Revenue beat(4)3
Avg Revenue beat(4)1.15%
Min Revenue beat(4)-18.38%
Max Revenue beat(4)12.01%
Revenue beat(8)4
Avg Revenue beat(8)-5.04%
Revenue beat(12)6
Avg Revenue beat(12)9.28%
Revenue beat(16)7
Avg Revenue beat(16)-5.44%
PT rev (1m)0%
PT rev (3m)-7.09%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-6.32%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.81%
Revenue NQ rev (1m)-4.19%
Revenue NQ rev (3m)-4.19%
Revenue NY rev (1m)11.31%
Revenue NY rev (3m)11.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.64 | ||
| Fwd PE | 7.06 | ||
| P/S | 1.24 | ||
| P/FCF | 6.59 | ||
| P/OCF | 6.59 | ||
| P/B | 0.54 | ||
| P/tB | 0.56 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.12
EY11.57%
EPS(NY)1.37
Fwd EY14.17%
FCF(TTM)1.47
FCFY15.17%
OCF(TTM)1.47
OCFY15.17%
SpS7.81
BVpS17.82
TBVpS17.2
PEG (NY)N/A
PEG (5Y)N/A
Graham Number21.19
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.74% | ||
| ROE | 4.93% | ||
| ROCE | 1.11% | ||
| ROIC | 0.88% | ||
| ROICexc | 0.9% | ||
| ROICexgc | 0.93% | ||
| OM | 16.2% | ||
| PM (TTM) | 11.27% | ||
| GM | 36.5% | ||
| FCFM | 18.81% |
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-Score4
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.4 | ||
| Debt/FCF | 65.58 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.26 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 167% | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | -0.06 |
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)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-32.12%
EPS 3Y-11.02%
EPS 5Y-13.5%
EPS Q2Q%-45.95%
EPS Next Y-32.02%
EPS Next 2Y-5.92%
EPS Next 3Y-0.32%
EPS Next 5YN/A
Revenue 1Y (TTM)-24.03%
Revenue growth 3Y21.64%
Revenue growth 5Y-0.04%
Sales Q2Q%12.18%
Revenue Next Year16.21%
Revenue Next 2Y9.5%
Revenue Next 3Y12.28%
Revenue Next 5YN/A
EBIT growth 1Y-25.62%
EBIT growth 3Y-22.41%
EBIT growth 5Y-20.98%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y22.9%
FCF growth 3Y22.71%
FCF growth 5Y-1.32%
OCF growth 1Y22.6%
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.
What is the valuation status of MFA FINANCIAL INC (MFA) stock?
ChartMill assigns a valuation rating of 6 / 10 to MFA FINANCIAL INC (MFA). This can be considered as Fairly Valued.
How profitable is MFA FINANCIAL INC (MFA) stock?
MFA FINANCIAL INC (MFA) has a profitability rating of 5 / 10.
What are the PE and PB ratios of MFA FINANCIAL INC (MFA) stock?
The Price/Earnings (PE) ratio for MFA FINANCIAL INC (MFA) is 8.64 and the Price/Book (PB) ratio is 0.54.
Can you provide the dividend sustainability for MFA stock?
The dividend rating of MFA FINANCIAL INC (MFA) is 5 / 10 and the dividend payout ratio is 205.55%.