Federal Agricultural Mortgage Corp. (AGM) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Enova International, Inc.

Nelnet, Inc.

Federal Agricultural Mortgage Corp.

Upbound Group, Inc.

McGrath RentCorp

Walker & Dunlop, Inc.

Custom Truck One Source, Inc.

Textainer Group Holdings Ltd.

PROG Holdings, Inc.

Navient Corp.

H&E Equipment Services, Inc.

Why is Federal Agricultural Mortgage Corp. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 13.06%

Poor long term growth as Net Sales has grown by an annual rate of 11.94% and Operating profit at 11.60%

Flat results in Jun 25

OPERATING CASH FLOW(Y) Lowest at USD 225.64 MM
ROCE(HY) Lowest at 13.85%
INTEREST(Q) Highest at USD 172.68 MM

With ROE of 13.31%, it has a attractive valuation with a 1.34 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -16.74%, its profits have fallen by -1.8%

Below par performance in long term as well as near term

Along with generating -16.74% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Federal Agricultural Mortgage Corp. should be less than 10%
Overall Portfolio exposure to Finance should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Finance)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Federal Agricultural Mortgage Corp. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Federal Agricultural Mortgage Corp.

-18.62%

0.11

29.52%

S&P 500

13.22%

0.64

20.20%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.94%

EBIT Growth (5y)

11.60%

EBIT to Interest (avg)

1.72

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

19.72%

Dividend Payout Ratio

34.06%

Pledged Shares

Institutional Holding

83.85%

ROCE (avg)

224.97%

ROE (avg)

13.06%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.34

EV to EBIT

1.18

EV to EBITDA

1.18

EV to Capital Employed

2.09

EV to Sales

1.06

PEG Ratio

Dividend Yield

2.59%

ROCE (Latest)

177.52%

ROE (Latest)

13.31%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 2.88

NET SALES(Q)

Highest at USD 273.35 MM

RAW MATERIAL COST(Y)

Fallen by 0% (YoY

CASH AND EQV(HY)

Highest at USD 2,078.46 MM

DEBTORS TURNOVER RATIO(HY)

Highest at 2.88 times

-9What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 225.64 MM

ROCE(HY)

Lowest at 13.85%

INTEREST(Q)

Highest at USD 172.68 MM

Here's what is working for Federal Agricultural Mortgage Corp.

Net Sales

Highest at USD 273.35 MM and Grown

In each period in the last five periods

MOJO Watch

Near term sales trend is very positive

Net Sales (USD MM)

Dividend per share

Highest at USD 2.88 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Cash and Eqv

Highest at USD 2,078.46 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio

Highest at 2.88 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by 0% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Federal Agricultural Mortgage Corp.

Operating Cash Flow

Lowest at USD 225.64 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest

Highest at USD 172.68 MM

in the last five periods and Increased by 10.63% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)