Adamas Trust (ADAM) AI Stock Analysis

• Market Cap: $680.02M
• Dividend Yield: 10.91%
• Average Volume (3M): 584.22K
• Price to Earnings (P/E): 39.8
• Beta (1Y): 0.74
• 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: 630,716
• 30 Day Avg. Volume: 584,216
• 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: 17.24
• Enterprise Value/Revenue: 18.10
• Enterprise Value/Gross Profit: 35.87
• Enterprise Value/Ebitda: 132.03
• 1Y Price Target: $8.13
• Price Target Upside: 6.83% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: $8.00 ▲(5.12% Upside)

Adamas Trust's overall stock score reflects a balance of strong earnings growth and strategic investments against high leverage and valuation concerns. The positive earnings call sentiment and technical indicators support the stock, while financial risks and high P/E ratio weigh on the score.

Positive Factors

Earnings and Dividend Growth

Consistent earnings and dividend growth reflect strong financial health and the ability to return value to shareholders, indicating robust operational performance.

Record Investment Activity

Record investment activity suggests effective capital deployment and growth potential, enhancing the company's asset base and future revenue streams.

Agency RMBS Portfolio Expansion

Expanding the RMBS portfolio enhances liquidity and earnings potential, positioning the company favorably in the mortgage-backed securities market.

Negative Factors

High Leverage

High leverage increases financial risk and can limit flexibility, potentially impacting the company's ability to withstand economic downturns.

Rising G&A Expenses

Rising G&A expenses can erode profitability, indicating potential inefficiencies or challenges in managing operational costs.

Integration Costs Impact

Integration costs from acquisitions can strain short-term profitability, highlighting challenges in merging operations and achieving expected synergies.

Adamas Trust Business Overview & Revenue Model

Company Description

Adamas Trust (ADAM) is a financial services company specializing in asset management and investment strategies. The company operates primarily in the financial sector, focusing on providing tailored investment solutions for individual and institutional clients. Adamas Trust offers a range of services, including portfolio management, financial advisory, and investment research, aiming to optimize asset performance while aligning with clients' financial goals.

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: 7.61
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

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 7.61 is above the 20-day moving average (MA) of 7.21, above the 50-day MA of 7.02, and above the 200-day MA of 6.48, indicating a bullish trend. The MACD of 0.18 indicates Negative momentum. The RSI at 67.16 is Neutral, neither overbought nor oversold. The STOCH value of 80.27 is Negative, 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	$706.70M	13.86	5.87%	10.49%	-10.86%	-5.90%
ADAM	57 Neutral	$680.02M	39.84	4.52%	10.91%	36.78%	―
KREF	54 Neutral	$549.49M	―	-0.16%	11.96%	-24.37%	-19.19%
RWT	45 Neutral	$701.82M	―	-9.19%	12.72%	34.68%	-251.91%
CMTG	44 Neutral	$466.93M	―	-19.24%	―	-65.32%	-325.73%
RC	41 Neutral	$415.04M	―	-14.78%	22.48%	-43.56%	-166.72%

Adamas Trust Corporate Events

Adamas Trust Reports Strong Q3 2025 Earnings

Adamas Trust, Inc., an internally managed real estate investment trust (REIT), focuses on strategically deploying capital across complementary businesses to generate durable earnings and long-term value for stockholders through disciplined portfolio management and an operating platform designed to capture opportunities across real estate and capital markets.

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.

The most recent analyst rating on (ADAM) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Adamas Trust stock, see the ADAM Stock Forecast page.

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.

The most recent analyst rating on (ADAM) stock is a Hold with a $7.25 price target. To see the full list of analyst forecasts on Adamas Trust stock, see the ADAM Stock Forecast page.