Angel Oak Mortgage, Inc. (AOMR)
NYSE:AOMR
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Angel Oak Mortgage
(NYSE:AOMR)
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Rating:65Neutral
Price Target:
$9.50
â–²(13.10% Upside)
Action:ReiteratedDate:03/04/26
The score is primarily held back by weak and volatile cash flow despite improved profitability and leverage. Valuation is a key support (low P/E and high dividend yield), while technicals are neutral and the earnings call was moderately positive on growth, efficiency, and liquidity but flagged meaningful market and earnings-quality headwinds.
Positive Factors
Revenue & NII Growth
Sizable year-over-year growth in interest income and NII reflects durable ability to earn spread on originated and purchased mortgage assets. That recurring spread income supports margin sustainability and reduces sole reliance on gain-on-sale timing, strengthening earnings resilience over the medium term.
Negative Factors
Weak Cash Generation
Large, recurring negative operating and free cash flows show earnings do not consistently convert to cash, increasing reliance on short-term financing and securitization markets. This structural cash volatility heightens funding and liquidity risk if market access tightens or spreads widen.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue & NII Growth
Sizable year-over-year growth in interest income and NII reflects durable ability to earn spread on originated and purchased mortgage assets. That recurring spread income supports margin sustainability and reduces sole reliance on gain-on-sale timing, strengthening earnings resilience over the medium term.
Read all positive factors
Angel Oak Mortgage (AOMR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$207.04M
Dividend Yield14.83%
Average Volume (3M)107.51K
Price to Earnings (P/E)4.6
Beta (1Y)0.52
Revenue Growth65.86%
EPS Growth-74.61%
CountryUS
Employees300
SectorReal Estate
Sector Strength53
IndustryREIT - Mortgage
Share Statistics
EPS (TTM)0.29
Shares Outstanding24,914,646
10 Day Avg. Volume130,278
30 Day Avg. Volume107,514
Financial Highlights & Ratios
PEG Ratio0.08
Price to Book (P/B)0.76
Price to Sales (P/S)1.54
P/FCF Ratio10.97
Enterprise Value/Market Cap2.29
Enterprise Value/Revenue4.40
Enterprise Value/Gross Profit4.83
Enterprise Value/Ebitda5.70
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusHold
Number of Analyst Covering1
EPS Forecast (FY)1.33
Revenue Forecast (FY)$46.81M
Angel Oak Mortgage Business Overview & Revenue Model
Company Description
Angel Oak Mortgage, Inc., a real estate finance company, focuses on acquiring and investing in first lien non- qualified mortgage loans and other mortgage-related assets in the United States mortgage market. The company qualifies as a real estate ...
How the Company Makes Money
Angel Oak Mortgage generates revenue primarily through the origination and servicing of mortgage loans. The company earns income from interest on loans issued, as well as from origination fees charged to borrowers at the time of loan closing. Addi...
Angel Oak Mortgage Earnings Call Summary
Earnings Call Date:Feb 25, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 13, 2026
Earnings Call Sentiment Positive
The call conveyed a positive operational and financial trajectory highlighted by strong interest income and GAAP net income growth, repeated expense reductions, active securitization execution, attractive loan purchase economics, and solid credit metrics. The main concerns were the gap between GAAP and distributable earnings driven by unrealized valuation adjustments, rising prepayment speeds, intermittent securitization spread volatility, and increasing competition in the non‑QM origination market. Overall, the positives around earnings growth, funding execution, and portfolio credit performance outweigh the manageable headwinds discussed.Positive Updates
Strong Interest Income and Net Interest Income Growth
Full-year interest income increased 30% to $143.7M and net interest income increased 11% to $41.1M versus 2024; Q4 interest income was $39.0M (up 22% YoY) and Q4 net interest income was $10.9M (up 10% YoY).
Negative Updates
Distributable Earnings vs GAAP Discrepancy from Unrealized Gains
Full-year distributable earnings were $14.6M versus GAAP net income of $44.0M; difference driven primarily by removal of $28.6M of unrealized net gains on securitized loan portfolio. Q4 distributable earnings were $7.3M versus GAAP Q4 net income of $11.3M after removing $8.4M of unrealized gains and adding $4.0M of unrealized losses.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Interest Income and Net Interest Income Growth
Full-year interest income increased 30% to $143.7M and net interest income increased 11% to $41.1M versus 2024; Q4 interest income was $39.0M (up 22% YoY) and Q4 net interest income was $10.9M (up 10% YoY).
Read all positive updates
Company Guidance
Management guided that they expect net interest income to continue growing from 2025 levels (full-year interest income $143.7M, NII $41.1M, +30% and +11% YoY) while maintaining similar operating expense levels (FY operating expenses $16.4M, down ~15.5% YoY; Q4 operating expenses $5.2M, ex non-cash/securitization $3.0M), prudently managing recourse leverage (recourse debt-to-equity ~1.4x) and liquidity (undrawn loan financing capacity ≈ $1.0B) and sustaining disciplined securitization activity (targeting ~4 securitizations/year; $704M securitized in 2025, contributed $274.3M in Q4; participated in a $281.4M HELOC deal contributing $58.6M and expects roughly two HELOC participations/year), while noting book value is modestly higher quarter-to-date from $10.74 GAAP BV/share (economic BV $12.70) and reaffirming capital recycling and purchase capacity (2025 purchases $861.8M at a 7.79% weighted average coupon, 65.4% WACLT, avg FICO 756) as they model prepayment speeds long-term at 20–30% despite current 3‑month speeds of 11.2% and declared a $0.32/share dividend.Angel Oak Mortgage Financial Statement Overview
Summary
Income Statement
67
Positive
Balance Sheet
61
Positive
Cash Flow
34
Negative
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 132.79M | 51.46M | 54.86M | -157.95M | 41.76M |
| Gross Profit | 119.61M | 51.46M | 54.86M | -157.95M | 41.76M |
| EBITDA | 147.11M | 0.00 | 0.00 | 0.00 | 0.00 |
| Net Income | 44.02M | 28.75M | 33.71M | -187.83M | 21.11M |
Balance Sheet | |||||
| Total Assets | 2.75B | 2.27B | 2.31B | 2.95B | 2.58B |
| Cash, Cash Equivalents and Short-Term Investments | 41.62M | 40.76M | 41.63M | 29.27M | 40.80M |
| Total Debt | 307.78M | 1.77B | 1.46B | 1.64B | 1.47B |
| Total Liabilities | 2.48B | 2.03B | 2.05B | 2.71B | 2.09B |
| Stockholders Equity | 267.52M | 238.97M | 256.11M | 236.48M | 491.39M |
Cash Flow | |||||
| Free Cash Flow | 18.59M | -221.43M | 306.40M | -331.13M | -1.57B |
| Operating Cash Flow | 18.59M | -221.43M | 306.40M | -331.13M | -1.57B |
| Investing Cash Flow | -411.88M | 120.84M | -194.11M | 664.33M | -460.48M |
| Financing Cash Flow | 395.68M | 98.99M | -107.66M | -345.65M | 2.03B |
Angel Oak Mortgage Technical Analysis
Negative
8.40
Price Trends
8.57
Negative
8.47
Negative
8.56
Negative
Market Momentum
-0.08
Positive
44.89
Neutral
55.13
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AOMR, the sentiment is Negative. The current price of 8.4 is below the 20-day moving average (MA) of 8.44, below the 50-day MA of 8.57, and below the 200-day MA of 8.56, indicating a bearish trend. The MACD of -0.08 indicates Positive momentum. The RSI at 44.89 is Neutral, neither overbought nor oversold. The STOCH value of 55.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AOMR.
Angel Oak Mortgage Risk Analysis
Angel Oak Mortgage disclosed 112 risk factors in its most recent earnings report. Angel Oak Mortgage reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Angel Oak Mortgage Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | $236.94M | 2.70 | 19.02% | 14.36% | 15.51% | 210.91% | |
65 Neutral | $2.17B | 12.19 | 3.79% | 4.94% | 3.15% | 1.96% | |
65 Neutral | $207.04M | 4.63 | 17.10% | 14.83% | 65.86% | -74.61% | |
65 Neutral | $187.78M | 8.79 | 5.46% | 13.82% | -18.06% | -18.94% | |
60 Neutral | $254.02M | 7.15 | 0.05% | 15.86% | -1.57% | -15.32% | |
57 Neutral | $240.55M | 4.98 | 8.85% | 9.61% | 20.44% | -59.21% | |
51 Neutral | $267.98M | -16.99 | -0.17% | 13.75% | -30.60% | 87.95% |
* Real Estate Sector Average
AOMR
Angel Oak Mortgage
8.31
-0.07
-0.81%
ACRE
Ares Commercial
4.84
0.50
11.65%
SEVN
Seven Hills Realty Trust
8.31
-3.03
-26.71%
MITT
AG Mortgage
7.58
0.58
8.27%
NREF
NexPoint Real Estate ate Finance
13.37
-0.26
-1.88%
REFI
Chicago Atlantic Real Estate ate Finance Inc
12.05
-1.85
-13.31%
Angel Oak Mortgage Corporate Events
Financial Disclosures
Angel Oak Mortgage Schedules Q4 and Full-Year Results
Neutral
Feb 11, 2026
Angel Oak Mortgage REIT, Inc., a U.S.-focused real estate finance company specializing in first lien non-QM loans and other mortgage-related assets, operates under external management from an affiliate of Angel Oak Capital Advisors, a prominent al...
Business Operations and StrategyDividends
Angel Oak Mortgage Declares Quarterly Cash Dividend
Positive
Feb 5, 2026
On February 5, 2026, Angel Oak Mortgage REIT, Inc. announced that its board of directors declared a quarterly cash dividend of $0.32 per share on its common stock, to be paid on February 27, 2026, to shareholders of record as of February 20, 2026....
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
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This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.