Adamas Trust (ADAM) AI Stock Analysis

• Market Cap: $647.51M
• Dividend Yield: 11.99%
• Average Volume (3M): 708.95K
• Price to Earnings (P/E): 37.9
• Beta (1Y): 0.77
• Revenue Growth: 36.78%
• EPS Growth: N/A
• Country: US
• Employees: 70
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Mortgage
• EPS (TTM): 0.36
• Shares Outstanding: 90,307,780
• 10 Day Avg. Volume: 986,692
• 30 Day Avg. Volume: 708,952
• PEG Ratio: -0.59
• Price to Book (P/B): 0.39
• Price to Sales (P/S): 0.98
• P/FCF Ratio: 119.61
• Enterprise Value/Market Cap: 18.11
• Enterprise Value/Revenue: 18.10
• Enterprise Value/Gross Profit: 35.87
• Enterprise Value/Ebitda: 132.03
• 1Y Price Target: $8.13
• Price Target Upside: 13.39% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: $7.50 ▲(4.60% Upside)

Adamas Trust's overall stock score is driven by strong earnings growth and strategic investments, as highlighted in the earnings call. However, high leverage and modest financial performance weigh down the score. The attractive dividend yield provides a positive offset to valuation concerns.

Positive Factors

Earnings and Dividend Growth

Consistent earnings and dividend growth indicate robust financial health and a commitment to shareholder returns, enhancing investor confidence.

Record Investment Activity

Record investment activity suggests strong market positioning and strategic growth, potentially leading to increased future revenue streams.

Agency RMBS Portfolio Expansion

Expanding the Agency RMBS portfolio enhances liquidity and earnings potential, positioning the company for sustained growth in the mortgage market.

Negative Factors

High Leverage

High leverage increases financial risk and may limit flexibility in capital allocation, potentially impacting long-term financial stability.

Integration Costs Impact

Integration costs from acquisitions can strain short-term profitability and may pose challenges in achieving expected synergies and efficiencies.

G&A Expenses Rise

Rising G&A expenses can erode profit margins and indicate potential inefficiencies, impacting overall financial performance and cost management.

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

Adamas Trust generates revenue through various streams, including management fees from assets under management (AUM), performance fees based on investment returns, and advisory fees for financial consulting services. The company typically charges a percentage of AUM as a management fee, which provides a steady income as it grows its client base and manages more assets. Additionally, performance fees incentivize the firm to achieve superior returns, allowing it to capture a portion of the profits generated for clients. Significant partnerships with institutional investors and financial institutions enhance Adamas Trust's credibility and reach, further contributing to its earnings through increased asset inflows and collaborative investment opportunities.

Adamas Trust Financial Statement Overview

Summary

New York Mortgage's financial health presents a mixed picture. While the company has a strong balance sheet with no debt and good cash reserves, its income statement reveals challenges with declining revenues and ongoing losses. The cash flow statement shows reduced operating cash flow, though it remains positive. The company needs to address its profitability issues to improve investor confidence and long-term growth prospects.

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	647.60M	558.92M	500.80M	138.11M	380.19M	147.98M
Gross Profit	326.86M	238.28M	308.67M	8.69M	300.91M	135.64M
EBITDA	88.79M	-32.88M	-25.60M	-187.15M	242.32M	-66.75M
Net Income	64.13M	-62.03M	-48.66M	-298.61M	193.20M	-288.51M
Balance Sheet
Total Assets	12.40B	9.22B	7.40B	6.24B	5.66B	4.66B
Cash, Cash Equivalents and Short-Term Investments	185.28M	4.00B	2.20B	344.28M	490.45M	304.49M
Total Debt	10.82B	3.56B	2.81B	2.65B	2.52B	2.22B
Total Liabilities	11.00B	7.81B	5.77B	4.38B	3.23B	2.35B
Stockholders Equity	1.39B	1.39B	1.58B	1.77B	2.34B	2.30B
Cash Flow
Free Cash Flow	97.62M	4.60M	29.95M	91.78M	138.91M	110.88M
Operating Cash Flow	101.08M	14.07M	29.95M	91.78M	138.91M	111.08M
Investing Cash Flow	-3.33B	-2.24B	-1.22B	-508.77M	-132.95M	2.12B
Financing Cash Flow	3.20B	2.23B	1.14B	460.07M	27.41M	-2.05B

Adamas Trust Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.17
• 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 7.17 is below the 20-day moving average (MA) of 7.18, above the 50-day MA of 6.91, and above the 200-day MA of 6.36, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 54.57 is Neutral, neither overbought nor oversold. The STOCH value of 28.88 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
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
TRTX	64 Neutral	$709.05M	13.90	5.87%	10.48%	-10.86%	-5.90%
ADAM	60 Neutral	$647.51M	37.94	4.52%	11.99%	36.78%	―
KREF	54 Neutral	$556.06M	-24.32	-0.16%	11.33%	-24.37%	-19.19%
CMTG	47 Neutral	$431.87M	-1.16	-19.24%	―	-65.32%	-325.73%
RWT	45 Neutral	$695.49M	-6.67	-9.19%	13.13%	34.68%	-251.91%
RC	41 Neutral	$361.54M	-1.14	-14.78%	26.82%	-43.56%	-166.72%

Adamas Trust Corporate Events

Adamas Trust Declares Quarterly Cash Dividend

On December 11, 2025, Adamas Trust, Inc. announced that its Board of Directors declared a regular quarterly cash dividend of $0.23 per share on its common stock for the quarter ending December 31, 2025. Additionally, the Board declared cash dividends on several series of its preferred stock for the dividend period from October 15, 2025, to January 14, 2026. These dividends reflect the company’s ongoing commitment to providing returns to its shareholders and may enhance its attractiveness to investors seeking income-generating investments.

Adamas Trust Reports Strong Q3 2025 Financial Results

Adamas Trust, Inc. reported its third-quarter 2025 financial results, highlighting a net income of $32.7 million and earnings available for distribution of $22 million. The company achieved significant investment activity, acquiring $1.8 billion in agency investments and $525.7 million in residential loans, while also increasing its quarterly dividend to $0.23 per share. The strategic moves, including the acquisition of the remaining interest in Constructive Loans, LLC, reflect Adamas Trust’s focus on long-term value creation and strengthening its position in the investment ecosystem.

Adamas Trust Declares Quarterly Dividend Announcement

On September 15, 2025, Adamas Trust, Inc. announced that its Board of Directors declared a regular quarterly cash dividend of $0.23 per share for its common stock, payable on October 30, 2025, to stockholders of record as of September 25, 2025. Additionally, the Board declared cash dividends for various series of preferred stock for the period from July 15, 2025, to October 14, 2025, with payment dates set for October 15, 2025. This announcement reflects the company’s ongoing commitment to providing returns to its investors, reinforcing its position in the REIT industry.