Chicago Atlantic Real Estate ate Finance Inc (REFI) AI Stock Analysis

• Market Cap: $268.92M
• Dividend Yield: 16.14%
• Average Volume (3M): 105.64K
• Price to Earnings (P/E): 7.5
• Beta (1Y): 0.52
• Revenue Growth: -1.57%
• EPS Growth: -15.32%
• Country: US
• Employees: N/A
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Mortgage
• EPS (TTM): 0.49
• Shares Outstanding: 21,075,298
• 10 Day Avg. Volume: 105,580
• 30 Day Avg. Volume: 105,638
• PEG Ratio: -0.78
• Price to Book (P/B): 0.96
• Price to Sales (P/S): 5.43
• P/FCF Ratio: 12.84
• Enterprise Value/Market Cap: 1.29
• Enterprise Value/Revenue: 6.29
• Enterprise Value/Gross Profit: 6.29
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $13.88
• Price Target Upside: 8.78% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): 1.87
• Revenue Forecast (FY): $56.39M

• Rating: 75 Outperform
• Price Target: $14.50 ▲(13.64% Upside)

Chicago Atlantic Real Estate Finance Inc's strong financial performance and attractive valuation are the primary drivers of its score. The company's robust profitability and cash flow generation, coupled with a high dividend yield, make it appealing. However, technical indicators suggest bearish momentum, and market concerns impact its valuation. The earnings call provided a positive outlook, particularly in the cannabis sector, but highlighted some challenges.

Positive Factors

Strong Loan Portfolio Growth

The company's focus on the cannabis sector with substantial loan originations indicates a strong growth trajectory and market confidence.

Interest Rate Protection

Interest rate protection ensures stability in cash flows, safeguarding against market volatility and enhancing financial predictability.

Shareholder Confidence

Increased insider ownership reflects strong confidence in the company's future prospects, aligning management interests with shareholders.

Negative Factors

Decrease in Net Interest Income

A decrease in net interest income can impact profitability, suggesting challenges in maintaining revenue levels amidst market changes.

Challenges in the Private Credit Market

Market concerns about private credit can affect the company's valuation and investor perception, posing long-term strategic challenges.

New York Social Equity Fund Pause

Pausing of fund deployments in New York limits growth opportunities in that region, affecting potential revenue expansion.

Chicago Atlantic Real Estate ate Finance Inc Business Overview & Revenue Model

Company Description

Chicago Atlantic Real Estate Finance, Inc. operates as a commercial real estate finance company in the United States. It originates, structures, and invests in first mortgage loans and alternative structured financings secured by commercial real estate properties. The company offers senior loans to state-licensed operators and property owners in the cannabis industry. It has elected to be taxed as a real estate investment trust (REIT) and would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was incorporated in 2021 and is based in Chicago, Illinois.

How the Company Makes Money

Chicago Atlantic Real Estate Finance Inc. generates revenue primarily through long-term leases with cannabis operators, which provide a steady stream of rental income. The company's revenue model is anchored in its strategy of acquiring properties that are leased to licensed cannabis businesses under triple-net lease agreements. In these arrangements, tenants are responsible for property expenses such as taxes, insurance, and maintenance, allowing REFI to maintain a predictable cash flow. Additionally, REFI may benefit from property appreciation and potential refinancing opportunities. The company may also engage in strategic partnerships with cannabis operators to enhance its portfolio, thereby contributing to its overall earnings.

Chicago Atlantic Real Estate ate Finance Inc Financial Statement Overview

Summary

Chicago Atlantic Real Estate Finance Inc demonstrates strong profitability and cash flow generation, supported by a stable balance sheet. While revenue growth is steady, the exceptionally high net profit margin in TTM suggests potential non-recurring items. Overall, the company is financially sound with a solid foundation for future growth.

Income Statement

The company shows strong gross and net profit margins, indicating robust profitability. Revenue growth is positive, albeit modest, suggesting steady expansion. However, the high net profit margin in TTM is likely due to extraordinary items, which may not be sustainable.

Balance Sheet

The balance sheet reflects a healthy debt-to-equity ratio, indicating prudent leverage management. Return on equity is moderate, showing efficient use of equity to generate profits. The equity ratio is stable, suggesting a solid capital structure.

Cash Flow

The company exhibits impressive free cash flow growth, enhancing financial flexibility. The operating cash flow to net income ratio is strong, indicating good cash generation relative to reported earnings. This positions the company well for future investments or debt reduction.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	55.22M	54.78M	57.33M	48.86M	14.47M
Gross Profit	55.22M	54.78M	57.33M	48.86M	14.24M
EBITDA	0.00	0.00	0.00	0.00	0.00
Net Income	35.77M	37.05M	38.71M	32.29M	12.66M
Balance Sheet
Total Assets	427.08M	435.15M	359.23M	343.27M	278.17M
Cash, Cash Equivalents and Short-Term Investments	28.92M	26.40M	7.90M	5.72M	80.25M
Total Debt	101.67M	104.10M	66.00M	58.00M	0.00
Total Liabilities	117.16M	126.19M	87.37M	79.24M	14.09M
Stockholders Equity	309.91M	308.96M	271.85M	264.03M	264.08M
Cash Flow
Free Cash Flow	24.10M	23.16M	28.42M	17.01M	6.67M
Operating Cash Flow	24.10M	23.16M	28.42M	17.01M	6.67M
Investing Cash Flow	-25.25M	-39.30M	-1.93M	-125.24M	-145.22M
Financing Cash Flow	23.31M	34.64M	-24.31M	33.71M	218.80M

Chicago Atlantic Real Estate ate Finance Inc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 12.76
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For REFI, the sentiment is Neutral. The current price of 12.76 is above the 20-day moving average (MA) of 12.66, above the 50-day MA of 12.75, and below the 200-day MA of 13.34, indicating a neutral trend. The MACD of -0.10 indicates Negative momentum. The RSI at 52.47 is Neutral, neither overbought nor oversold. The STOCH value of 72.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for REFI.

Chicago Atlantic Real Estate ate Finance Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
REFI	75 Outperform	$268.92M	7.54	11.82%	16.14%	-1.57%	-15.32%
NREF	74 Outperform	$256.08M	5.06	27.37%	15.05%	15.51%	210.91%
SEVN	66 Neutral	$141.62M	9.06	5.72%	14.16%	-18.06%	-18.94%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
MITT	60 Neutral	$258.72M	8.76	9.03%	9.94%	20.44%	-59.21%
AOMR	55 Neutral	$217.00M	12.19	6.67%	14.70%	65.86%	-74.61%
ACRE	48 Neutral	$288.34M	―	-1.42%	15.59%	-30.60%	87.95%

Chicago Atlantic Real Estate ate Finance Inc Corporate Events

Chicago Atlantic Reports Steady Q3 2025 Performance

Chicago Atlantic Real Estate Finance, Inc. is a commercial mortgage real estate investment trust specializing in originating senior secured loans primarily to state-licensed cannabis operators in limited-license states across the United States. The company leverages its expertise in real estate, credit, and cannabis to provide financial solutions to its clients.

Chicago Atlantic’s Earnings Call Highlights Cannabis Growth

The recent earnings call for Chicago Atlantic Real Estate Finance, Inc. reflected a generally positive sentiment, highlighting the company’s strong performance and strategic growth in the cannabis sector. Despite facing challenges such as a decrease in net interest income and broader market concerns affecting its valuation, the company remains well-protected against interest rate volatility, showcasing a resilient portfolio.

Chicago Atlantic Reports Strong Q3 2025 Financial Results

On November 4, 2025, Chicago Atlantic Real Estate Finance, Inc. announced its financial results for the third quarter ended September 30, 2025. The company highlighted its robust loan portfolio performance, with 86% of loans structured with interest rate floors above the Prime rate, and a pipeline of over $415 million in new opportunities. The company also reported a net income of $8.9 million for the quarter and emphasized its commitment to stockholder returns through recent stock purchases. Additionally, Chicago Atlantic extended the maturity of its revolving credit facility to June 30, 2028, maintaining a strong liquidity position with $69.1 million available on the facility.

The most recent analyst rating on (REFI) stock is a Hold with a $14.00 price target. To see the full list of analyst forecasts on Chicago Atlantic Real Estate ate Finance Inc stock, see the REFI Stock Forecast page.