Lument Finance Trust, Inc.
Lument Finance Trust, Inc. Fundamental Analysis
Lument Finance Trust, Inc. (LFT-PA) shows moderate financial fundamentals with a PE ratio of 6.97, profit margin of 14.09%, and ROE of 4.21%. The company generates $0.0B in annual revenue with moderate year-over-year growth of 8.68%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 33.9/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze LFT-PA's fundamental strength across five key dimensions:
Efficiency Score
WeakLFT-PA struggles to generate sufficient returns from assets.
Valuation Score
ExcellentLFT-PA trades at attractive valuation levels.
Growth Score
ExcellentLFT-PA delivers strong and consistent growth momentum.
Financial Health Score
ModerateLFT-PA shows balanced financial health with some risks.
Profitability Score
WeakLFT-PA struggles to sustain strong margins.
Key Financial Metrics
Is LFT-PA Expensive or Cheap?
P/E Ratio
LFT-PA trades at 6.97 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LFT-PA's PEG of -0.15 indicates potential undervaluation.
Price to Book
The market values Lument Finance Trust, Inc. at 0.30 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -12.55 times EBITDA. This is generally considered low.
How Well Does LFT-PA Make Money?
Net Profit Margin
For every $100 in sales, Lument Finance Trust, Inc. keeps $14.09 as profit after all expenses.
Operating Margin
Core operations generate 67.04 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.21 in profit for every $100 of shareholder equity.
ROA
Lument Finance Trust, Inc. generates $1.03 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Lument Finance Trust, Inc. produces operating cash flow of $1.56M, showing steady but balanced cash generation.
Free Cash Flow
Lument Finance Trust, Inc. generates strong free cash flow of $1.56M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.29 in free cash annually.
FCF Yield
LFT-PA converts 22.21% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
6.97
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.15
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.30
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.98
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.12
vs 25 benchmark
Current Ratio
Current assets to current liabilities
136.13
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How LFT-PA Stacks Against Its Sector Peers
| Metric | LFT-PA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 6.97 | 24.23 | Better (Cheaper) |
| ROE | 4.21% | 659.00% | Weak |
| Net Margin | 14.09% | 4497.00% | Weak |
| Debt/Equity | 3.12 | -22.14 (disorted) | Distorted |
| Current Ratio | 136.13 | 13.87 | Strong Liquidity |
| ROA | 1.03% | -1390.00% (disorted) | Weak |
LFT-PA outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Lument Finance Trust, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-2.93%
Industry Style: Income, Inflation Hedge, REIT
DecliningEPS CAGR
64.17%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
68.74%
Industry Style: Income, Inflation Hedge, REIT
High Growth