NYMT Intrinsic Value Calculation – Review Findings: New York Mortgage Trust vs. MFA Financial
July 19, 2023
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This review takes a look at the critical review of New York Mortgage ($NASDAQ:NYMT) Trust versus MFA Financial from Defense World. New York Mortgage Trust, Inc. (NYMT) is a real estate investment trust (REIT) that invests in residential mortgage assets, including residential mortgage-backed securities (RMBS), multi-family commercial mortgage-backed securities (CMBS), and other mortgage-related investments. The company’s primary goal is to provide attractive risk-adjusted returns to its investors through a portfolio of highly diversified mortgage assets. NYMT also actively manages its own portfolio of RMBS to enhance its returns. MFA Financial, Inc. is a residential mortgage real estate investment trust (REIT) that invests in residential mortgage-backed securities (RMBS) and related investments. MFA seeks to generate income from its investments while also managing risk through diversification and careful asset selection. In comparing the two companies, it is important to consider their different strategies.
NYMT focuses on investing in residential mortgage assets, while MFA is more diversified and invests in a variety of asset classes. NYMT also actively manages its portfolio of RMBS to enhance its returns, whereas MFA focuses more on the income generated from its investments. NYMT has a higher dividend yield than MFA, which may be attractive for investors looking for income. On the other hand, MFA has been better able to manage risk, as evidenced by its lower volatility and lower portfolio drawdowns. Overall, both companies have their advantages and disadvantages, and investors should consider their individual needs when deciding which investment is best for them.
Market Price
On Monday, New York Mortgage Trust (NYMT) opened at $10.2 and closed at the same price, a 0.2% increase from its prior closing price. The contrast between the two stocks highlights NYMT’s consistent performance in the market, as its stock has managed to remain relatively flat despite changing market conditions. This stability is in stark contrast to MFA Financial, which has seen more extreme fluctuations in its stock price.
Overall, NYMT’s performance on Monday indicates that it is a relatively safe investment option, even in an unstable market. Investors can take comfort in the fact that it has shown an ability to remain steady amidst the volatility of the stock market. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for NYMT. More…
| Total Revenues | Net Income | Net Margin |
| 123.84 | -245.71 | – |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for NYMT. More…
| Operations | Investing | Financing |
| 91.78 | -508.77 | 460.07 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for NYMT. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 6.17k | 4.35k | 13.16 |
Key Ratios Snapshot
Some of the financial key ratios for NYMT are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| – | – | – |
| FCF Margin | ROE | ROA |
| – | – | – |
Analysis – NYMT Intrinsic Value Calculation
At GoodWhale, we believe that analyzing the financials of NEW YORK MORTGAGE TRUST is essential for investors before making an informed decision. With our proprietary Valuation Line, we have concluded that the intrinsic value of NEW YORK MORTGAGE TRUST share is around $12.8. Currently, NEW YORK MORTGAGE TRUST stock is traded at $10.2, which implies that it is undervalued by 20.2%. Therefore, investing in NEW YORK MORTGAGE TRUST at this stage could be a wise decision for investors. More…
Peers
The competition between New York Mortgage Trust Inc and its competitors, Ellington Residential Mortgage REIT, AGNC Investment Corp, and Cherry Hill Mortgage Investment Corp, is intense. Each company is vying to offer the best mortgage products and services to their customers, in a bid to remain competitive in the industry. With a commitment to quality, these companies are striving to set the standard for excellence in the mortgage industry.
– Ellington Residential Mortgage REIT ($NYSE:EARN)
Ellington Residential Mortgage REIT is a publicly traded mortgage real estate investment trust (REIT) based in Old Greenwich, Connecticut. As of 2022, the company has a market capitalization of $92.05 million. The company specializes in investing in residential mortgage-backed securities and mortgage-related assets, such as residential mortgage loans, mortgage servicing rights, and other financial instruments. The company’s objective is to generate attractive risk-adjusted returns for its shareholders by actively managing these investments. It also provides services to assist in the management of residential mortgage-backed securities and other mortgage-related assets.
– AGNC Investment Corp ($NASDAQ:AGNC)
AGNC Investment Corp is a real estate investment trust (REIT) specializing in residential mortgage loans and mortgage-backed securities. As of 2022, the company has a market cap of 5.99 billion dollars, making it one of the largest REITs in the United States. AGNC invests primarily in agency-issued mortgage-backed securities, which are secured by government-sponsored entities such as Fannie Mae and Freddie Mac. The company also invests in other debt instruments and equity securities, as well as non-agency mortgage-backed securities. AGNC has a long track record of providing investors with attractive dividend yields and capital gains potential through its portfolio of high-quality investments.
– Cherry Hill Mortgage Investment Corp ($NYSE:CHMI)
Cherry Hill Mortgage Investment Corp is a real estate investment trust (REIT) that invests in mortgage-backed securities. The company’s market capitalization is 121.95 million as of 2022. This market capitalization is based on the company’s outstanding shares and stock price. Cherry Hill Mortgage Investment Corp is focused on providing financing to residential real estate markets and is a leading provider of residential mortgage loans in the United States. The company’s portfolio consists of mortgage-backed securities, residential whole loans, and loan servicing rights. The company’s objective is to generate attractive risk-adjusted returns to its shareholders.
Summary
New York Mortgage Trust (NYMT) is a real estate investment trust (REIT) that primarily invests in residential mortgage-backed securities (RMBS). NYMT has been consistently investing in RMBS over the past several years and has achieved an attractive rate of return. The company has experienced strong growth in its portfolio, which has contributed to its profitability. NYMT offers investors access to a diversified portfolio of RMBS, as well as access to attractive yields.
Additionally, the company has strong liquidity and strong financial fundamentals. NYMT’s dividend yield is also competitive, providing investors with attractive returns. Overall, NYMT is well-positioned to continue to successfully invest in RMBS and generate attractive returns for its investors.
