Adamas Trust (ADAM) AI Stock Analysis

• Market Cap: $653.87M
• Dividend Yield: 0%
• Average Volume (3M): 659.85K
• Price to Earnings (P/E): 38.1
• Beta (1Y): 0.88
• Revenue Growth: 35.74%
• EPS Growth: N/A
• Country: US
• Employees: 70
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Mortgage
• EPS (TTM): -0.04
• Shares Outstanding: 90,313,576
• 10 Day Avg. Volume: 892,432
• 30 Day Avg. Volume: 659,852
• PEG Ratio: -0.64
• Price to Book (P/B): 0.43
• Price to Sales (P/S): 1.07
• P/FCF Ratio: 130.27
• Enterprise Value/Market Cap: 15.01
• Enterprise Value/Revenue: 14.98
• Enterprise Value/Gross Profit: 35.74
• Enterprise Value/Ebitda: 98.17
• 1Y Price Target: $7.94
• Price Target Upside: 8.77% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 63 Neutral
• Price Target: $7.50 ▲(2.74% Upside)

The overall stock score of 63 reflects a combination of strong technical indicators and positive earnings call sentiment, offset by financial performance challenges and a high P/E ratio. The company's strategic growth initiatives and high dividend yield provide additional support to the score.

Positive Factors

Strong Balance Sheet

A strong equity base and no debt indicate financial stability and flexibility, allowing the company to withstand market fluctuations and invest in growth opportunities.

Strategic Acquisitions

The acquisition of Constructive Loans enhances NYMT's diversification and scale in residential credit markets, supporting long-term revenue growth and market position.

Liquidity Position

Strong liquidity and increased leverage capacity enable NYMT to capitalize on investment opportunities, enhancing its ability to generate returns and manage risks.

Negative Factors

Declining Revenue

Significant revenue decline raises concerns about the company's ability to maintain growth and profitability, potentially impacting its long-term financial health.

Profitability Challenges

Negative profit margins and ongoing losses suggest difficulties in achieving sustainable profitability, which could hinder future investment and growth initiatives.

Unrealized Derivative Losses

Unrealized losses on derivatives indicate potential risk management issues, which could affect financial performance and investor confidence if not addressed.

Adamas Trust Business Overview & Revenue Model

Company Description

Adamas Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. The company's targeted residential loans, including business purpose loans; agency RMBS; non-agency residential mortgage-backed securities (RMBS); structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties; and other mortgage-, residential housing- and credit-related assets and strategic investments; and commercial mortgage-backed securities (CMBS). It also owns and manages single-family rental properties. The company qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. Adamas Trust, Inc. was formerly known as New York Mortgage Trust, Inc. and changed its name to Adamas Trust, Inc. in September 2025. Adamas Trust, Inc. was incorporated in 2003 and is headquartered in New York, New York.

How the Company Makes Money

New York Mortgage Trust generates revenue primarily through the interest income earned on its mortgage loans and mortgage-backed securities. The company invests in a range of mortgage-related assets, including agency and non-agency securities, which provide varying yields based on market conditions. Additionally, NYMT may earn income from servicing fees associated with mortgage loans and potentially through the resale of mortgage-backed securities. The company's revenue model is supported by leveraging its equity capital to finance its investments, allowing it to enhance returns. Significant partnerships with financial institutions and access to capital markets also contribute to its earnings by facilitating the acquisition of mortgage assets at competitive rates.

Adamas Trust Financial Statement Overview

Summary

New York Mortgage's financial performance is mixed. The income statement shows declining revenues and ongoing losses, impacting profitability. However, the balance sheet is strong with no debt and robust equity, and cash reserves are healthy despite reduced operating cash flow.

Income Statement

New York Mortgage has experienced significant volatility in revenue and profit margins over the years. Recent data shows a decline in Total Revenue from $210 million in 2023 to $83.855 million in 2024, a significant drop. Gross Profit Margin remains stable at 100% for 2024, but Net Profit Margin is negative due to a net loss, indicating profitability challenges. EBIT and EBITDA margins are strong, but net losses raise concerns about overall profitability and growth trajectory.

Balance Sheet

The company's balance sheet shows a strong equity base, with Stockholders' Equity at $1.398 billion in 2024. With Total Debt at $0, the Debt-to-Equity Ratio indicates no leverage risk, which is positive. However, the Return on Equity is negative due to net losses, which impacts shareholder returns. The Equity Ratio is robust at approximately 15.2%, reflecting stable financial structure despite profitability challenges.

Cash Flow

Operating Cash Flow decreased from $29.953 million in 2023 to $14.071 million in 2024, indicating reduced cash generation from operations. Free Cash Flow remains positive but has also decreased. The Operating Cash Flow to Net Income and Free Cash Flow to Net Income ratios are impacted by negative net income but show the company's ability to generate operational cash despite losses. Cash reserves remain strong, helping to mitigate risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	655.38M	558.92M	500.80M	138.11M	380.19M	-207.48M
Gross Profit	274.62M	238.28M	308.67M	8.69M	300.91M	-219.81M
EBITDA	99.98M	-32.88M	-25.60M	-187.15M	242.32M	0.00
Net Income	62.16M	-62.03M	-48.66M	-298.61M	193.20M	-288.24M
Balance Sheet
Total Assets	10.55B	9.22B	7.40B	6.24B	5.66B	4.66B
Cash, Cash Equivalents and Short-Term Investments	1.42B	4.00B	2.20B	344.28M	490.45M	1.02B
Total Debt	8.92B	7.57B	5.28B	3.39B	3.08B	1.80B
Total Liabilities	9.16B	7.81B	5.77B	4.38B	3.23B	2.35B
Stockholders Equity	1.38B	1.39B	1.58B	1.77B	2.34B	2.30B
Cash Flow
Free Cash Flow	83.76M	4.60M	29.95M	91.78M	138.91M	110.55M
Operating Cash Flow	93.23M	14.07M	29.95M	91.78M	138.91M	110.75M
Investing Cash Flow	-2.57B	-2.24B	-1.22B	-508.77M	-132.95M	2.12B
Financing Cash Flow	2.38B	2.23B	1.14B	460.07M	27.41M	-2.05B

Adamas Trust Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ADAM, the sentiment is Positive. The current price of 7.3 is above the 20-day moving average (MA) of 7.27, above the 50-day MA of 7.00, and above the 200-day MA of 6.31, indicating a bullish trend. The MACD of 0.09 indicates Positive momentum. The RSI at 54.97 is Neutral, neither overbought nor oversold. The STOCH value of 39.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ADAM.

Adamas Trust Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRTX	67 Neutral	712.03M	13.98	―	10.60%	-12.51%	―
ADAM	63 Neutral	$653.87M	38.15	4.42%	―	35.74%	―
ORC	61 Neutral	1.02B	35.86	―	20.69%	67.17%	―
KREF	54 Neutral	626.20M	-14.45	―	10.53%	-20.88%	-420.89%
IVR	50 Neutral	482.05M	18.56	―	20.36%	1.13%	―
RWT	46 Neutral	757.25M	-9.03	-7.04%	12.29%	31.71%	-499.14%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%

Adamas Trust Corporate Events

New York Mortgage Rebrands to Adamas Trust

On September 3, 2025, New York Mortgage Trust, Inc. will rebrand to Adamas Trust, Inc., reflecting its focus on strength and long-term vision. The rebranding includes a change in Nasdaq trading symbols and the launch of a new corporate website. The company also announced a significant acquisition of $2.1 billion in residential assets, marking a 164% increase from the previous quarter, indicating its strategic growth and expansion in the real estate sector.

New York Mortgage Issues $25M Senior Notes

On August 22, 2025, New York Mortgage Trust, Inc. completed the issuance and sale of $25 million of 9.875% Senior Notes due 2030 in a registered direct offering. The net proceeds of approximately $24.8 million are intended for general corporate purposes, including acquiring targeted assets and general working capital, potentially impacting the company’s operational capabilities and market positioning.

New York Mortgage Reports Q2 2025 Net Loss

In the second quarter of 2025, New York Mortgage Trust reported a net loss of $3.5 million attributable to common stockholders, while earnings available for distribution reached $20 million. The company made significant investments, including acquiring $503.7 million in Agency investments and $280.2 million in residential loans. Key developments included the acquisition of Constructive Loans, LLC, enhancing NYMT’s expansion into residential business purpose lending, and a securitization of residential loans yielding $345.9 million in net proceeds. These moves are part of NYMT’s strategy to diversify its balance sheet and enhance shareholder value.

New York Mortgage Acquires Remaining Stake in Constructive Loans

On July 15, 2025, New York Mortgage Trust, Inc. announced the acquisition of the remaining 50% ownership interest in Constructive Loans, LLC, a leading originator in business purpose loans for residential real estate investors. This all-cash transaction marks a significant step in diversifying and scaling NYMT’s recurring earnings, enhancing its presence in the residential credit markets. Constructive Loans, which has shown solid profitability and performance since 2017, will continue to operate as an independent subsidiary with its leadership team intact, further strengthening NYMT’s strategy of investing in business purpose loans.

New York Mortgage Completes $90M Senior Notes Issuance

On July 8, 2025, New York Mortgage Trust, Inc. completed the issuance and sale of $90 million in 9.875% Senior Notes due 2030, including a partial exercise of an over-allotment option by underwriters. The notes, issued at 100% of the principal amount, are senior unsecured obligations and bear interest payable quarterly. The company intends to use the approximately $86.6 million net proceeds for general corporate purposes, including acquiring targeted mortgage and credit-related assets.

New York Mortgage Announces $50 Million Stock Sale

On June 13, 2025, New York Mortgage Trust, Inc. entered into an equity distribution agreement with JonesTrading Institutional Services LLC to sell up to $50 million of its preferred stock in at-the-market offerings. The company plans to use the proceeds for general corporate purposes, including acquiring targeted assets. Additionally, on June 12, 2025, the company amended its indenture for 5.75% Senior Notes due 2026, revising the Net Debt to Equity Ratio to not exceed 8.00 to 1.00, following a successful consent solicitation.

New York Mortgage Declares Quarterly Cash Dividend

On June 12, 2025, New York Mortgage Trust held its Annual Meeting of Stockholders, where all director nominees were elected, executive compensation was approved, and Grant Thornton LLP was ratified as the independent auditor for 2025. The Board also declared a quarterly cash dividend of $0.20 per share for common stockholders and announced dividends for its preferred stock series, reflecting the company’s ongoing commitment to shareholder returns.