AFC Gamma Shareholders Approve REIT to BDC Conversion

AFC Gamma ( (AFCG) ) just unveiled an announcement.

On November 6, 2025, Advanced Flower Capital Inc. announced that its shareholders approved proposals to convert the company from a real estate investment trust (REIT) to a business development company (BDC) regulated under the Investment Company Act of 1940. This strategic shift, marked by the approval of a new investment advisory agreement and reduced asset coverage requirements, is expected to broaden AFC’s investment scope beyond real estate-backed loans, enabling it to pursue a wider range of market opportunities and enhance its ability to generate consistent, risk-adjusted returns. The conversion, pending board approval, is anticipated to be completed in the first quarter of 2026, with AFC continuing to trade under its existing Nasdaq ticker symbol, AFCG.

The most recent analyst rating on (AFCG) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on AFC Gamma stock, see the AFCG Stock Forecast page.

Spark’s Take on AFCG Stock

According to Spark, TipRanks’ AI Analyst, AFCG is a Neutral.

AFC Gamma’s overall stock score reflects significant financial challenges, including declining revenue and increased leverage, which weigh heavily on its financial performance. The technical analysis indicates bearish momentum, and while the high dividend yield offers potential income, it is overshadowed by the company’s negative P/E ratio and financial instability. The strategic initiatives discussed in the earnings call provide some optimism, but the underlying risks remain substantial.

To see Spark’s full report on AFCG stock, click here.

More about AFC Gamma

Advanced Flower Capital Inc. (Nasdaq: AFCG) is a leading commercial mortgage real estate investment trust (REIT) that primarily focuses on originating, structuring, underwriting, investing in, and managing senior secured mortgage loans and other types of loans and debt securities. The company specializes in providing loans to cannabis industry operators in states where medical and/or adult-use cannabis is legalized. Based in West Palm Beach, Florida, AFC leverages its management team’s extensive network and expertise in credit and cannabis to manage loans typically secured by quality real estate assets, license value, and cash flows.

Average Trading Volume: 274,830

Technical Sentiment Signal: Sell

Current Market Cap: $71.85M

For a thorough assessment of AFCG stock, go to TipRanks’ Stock Analysis page.