MFA Financial, Inc. (MFA) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Uniti Group, Inc.

MFA Financial, Inc.

Easterly Government Properties, Inc.

Franklin BSP Realty Trust, Inc.

Apartment Investment & Management Co.

NetSTREIT Corp.

The GEO Group, Inc.

PennyMac Mortgage Investment Trust

Global Net Lease, Inc.

American Assets Trust, Inc.

Paramount Group, Inc.

Why is MFA Financial, Inc. ?

Flat results in Jun 25

NET PROFIT(9M) At USD 79.78 MM has Grown at -48.51%
OPERATING CASH FLOW(Y) Lowest at USD 124.08 MM
DEBT-EQUITY RATIO (HY) Highest at 494.64 %

With ROE of 7.44%, it has a very attractive valuation with a 0.53 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 -11.73%, its profits have risen by 348.1% ; the PEG ratio of the company is 0
At the current price, the company has a high dividend yield of 1468.9

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -11.73% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to MFA Financial, Inc. should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

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

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

Is MFA Financial, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

MFA Financial, Inc.

-7.42%

-0.28

29.28%

S&P 500

17.78%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

25.30%

EBIT Growth (5y)

53.42%

EBIT to Interest (avg)

1.41

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

110.77%

Pledged Shares

Institutional Holding

63.91%

ROCE (avg)

27.66%

ROE (avg)

6.00%

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

0.52

EV to EBIT

0.62

EV to EBITDA

0.62

EV to Capital Employed

0.31

EV to Sales

0.55

PEG Ratio

0.25

Dividend Yield

1546.31%

ROCE (Latest)

50.06%

ROE (Latest)

7.02%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

OBV

No Trend

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

12What is working for the Company

ROCE(HY)

Highest at 9.59%

INTEREST COVERAGE RATIO(Q)

Highest at 142.23

RAW MATERIAL COST(Y)

Fallen by -0.73% (YoY

PRE-TAX PROFIT(Q)

Highest at USD 54.32 MM

NET PROFIT(Q)

Highest at USD 54.13 MM

EPS(Q)

Highest at USD 0.42

-7What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 76.25 MM

DEBT-EQUITY RATIO (HY)

Highest at 580.34 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 0.23 times

CASH AND EQV(HY)

Lowest at USD 923.64 MM

Here's what is working for MFA Financial, Inc.

Interest Coverage Ratio

Highest at 142.23

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Pre-Tax Profit

Highest at USD 54.32 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Pre-Tax Profit

At USD 54.32 MM has Grown at 73.59%

over average net sales of the previous four periods of USD 31.29 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 54.13 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Net Profit

At USD 54.13 MM has Grown at 69.57%

over average net sales of the previous four periods of USD 31.92 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 0.42

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by -0.73% (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 MFA Financial, Inc.

Debt-Equity Ratio

Highest at 580.34 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 0.23 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Operating Cash Flow

Lowest at USD 76.25 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Cash and Eqv

Lowest at USD 923.64 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents