ACRE vs. IVR, MITT, NYMT, DX, RWT, ARR, AHH, CIM, MFA, and PMT
Should you be buying Ares Commercial Real Estate stock or one of its competitors? The main competitors of Ares Commercial Real Estate include Invesco Mortgage Capital (IVR), AG Mortgage Investment Trust (MITT), New York Mortgage Trust (NYMT), Dynex Capital (DX), Redwood Trust (RWT), ARMOUR Residential REIT (ARR), Armada Hoffler Properties (AHH), Chimera Investment (CIM), MFA Financial (MFA), and PennyMac Mortgage Investment Trust (PMT). These companies are all part of the "finance" sector.
Invesco Mortgage Capital (NYSE:IVR) and Ares Commercial Real Estate (NYSE:ACRE) are both small-cap finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their community ranking, analyst recommendations, valuation, media sentiment, profitability, institutional ownership, risk, dividends and earnings.
Invesco Mortgage Capital has a beta of 1.87, suggesting that its share price is 87% more volatile than the S&P 500. Comparatively, Ares Commercial Real Estate has a beta of 1.42, suggesting that its share price is 42% more volatile than the S&P 500.
In the previous week, Ares Commercial Real Estate had 1 more articles in the media than Invesco Mortgage Capital. MarketBeat recorded 4 mentions for Ares Commercial Real Estate and 3 mentions for Invesco Mortgage Capital. Ares Commercial Real Estate's average media sentiment score of 0.85 beat Invesco Mortgage Capital's score of -0.05 indicating that Invesco Mortgage Capital is being referred to more favorably in the media.
Invesco Mortgage Capital has a net margin of -2.96% compared to Invesco Mortgage Capital's net margin of -54.60%. Ares Commercial Real Estate's return on equity of 62.02% beat Invesco Mortgage Capital's return on equity.
40.5% of Invesco Mortgage Capital shares are held by institutional investors. Comparatively, 41.3% of Ares Commercial Real Estate shares are held by institutional investors. 0.2% of Invesco Mortgage Capital shares are held by insiders. Comparatively, 2.8% of Ares Commercial Real Estate shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.
Invesco Mortgage Capital has higher revenue and earnings than Ares Commercial Real Estate. Invesco Mortgage Capital is trading at a lower price-to-earnings ratio than Ares Commercial Real Estate, indicating that it is currently the more affordable of the two stocks.
Invesco Mortgage Capital pays an annual dividend of $1.60 per share and has a dividend yield of 17.3%. Ares Commercial Real Estate pays an annual dividend of $1.00 per share and has a dividend yield of 15.3%. Invesco Mortgage Capital pays out -228.6% of its earnings in the form of a dividend. Ares Commercial Real Estate pays out -120.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Invesco Mortgage Capital is clearly the better dividend stock, given its higher yield and lower payout ratio.
Invesco Mortgage Capital presently has a consensus target price of $9.25, indicating a potential upside of 0.11%. Ares Commercial Real Estate has a consensus target price of $8.42, indicating a potential upside of 28.99%. Given Invesco Mortgage Capital's stronger consensus rating and higher probable upside, analysts plainly believe Ares Commercial Real Estate is more favorable than Invesco Mortgage Capital.
Invesco Mortgage Capital received 103 more outperform votes than Ares Commercial Real Estate when rated by MarketBeat users. However, 59.89% of users gave Ares Commercial Real Estate an outperform vote while only 55.73% of users gave Invesco Mortgage Capital an outperform vote.
Summary
Invesco Mortgage Capital beats Ares Commercial Real Estate on 11 of the 19 factors compared between the two stocks.
Get Ares Commercial Real Estate News Delivered to You Automatically
Sign up to receive the latest news and ratings for ACRE and its competitors with MarketBeat's FREE daily newsletter.
This chart shows the number of new MarketBeat users adding ACRE and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Ares Commercial Real Estate Competitors List
Related Companies and Tools
