Adamas Trust (NASDAQ:ADAM) and AGNC Investment (NASDAQ:AGNCM) Head-To-Head Comparison

AGNC Investment (NASDAQ:AGNCM) and Adamas Trust (NASDAQ:ADAM) are both finance companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, risk, profitability, institutional ownership and earnings.

Dividends

AGNC Investment pays an annual dividend of $1.72 per share and has a dividend yield of 6.8%. Adamas Trust pays an annual dividend of $1.08 per share and has a dividend yield of 10.7%. Adamas Trust pays out 64.3% of its earnings in the form of a dividend.

Insider and Institutional Ownership

54.9% of Adamas Trust shares are owned by institutional investors. 2.0% of Adamas Trust shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares AGNC Investment and Adamas Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AGNC Investment	N/A	N/A	N/A
Adamas Trust	29.82%	14.72%	1.04%

Analyst Ratings

This is a summary of recent recommendations and price targets for AGNC Investment and Adamas Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AGNC Investment	0	0	0	0	0.00
Adamas Trust	0	4	1	1	2.50

Adamas Trust has a consensus price target of $9.50, indicating a potential downside of 5.89%. Given Adamas Trust’s stronger consensus rating and higher possible upside, analysts clearly believe Adamas Trust is more favorable than AGNC Investment.

Earnings & Valuation

This table compares AGNC Investment and Adamas Trust”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AGNC Investment	$2.40 billion	N/A	N/A	N/A	N/A
Adamas Trust	$601.95 million	1.51	$149.05 million	$1.68	6.01

Adamas Trust has lower revenue, but higher earnings than AGNC Investment.

Summary

Adamas Trust beats AGNC Investment on 10 of the 12 factors compared between the two stocks.

About AGNC Investment

AGNC Investment Corp. provides private capital to housing market in the United States. It invests in residential mortgage pass-through securities and collateralized mortgage obligations for which the principal and interest payments are guaranteed by the United States government-sponsored enterprise or by the United States government agency. The company qualifies as a real estate investment trust for federal income tax purposes. It generally 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 formerly known as American Capital Agency Corp. and changed its name to AGNC Investment Corp. in September 2016. AGNC Investment Corp. was incorporated in 2008 and is headquartered in Bethesda, Maryland.

About Adamas Trust

New York Mortgage Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. Its targeted investments include residential loans, second mortgages, and business purpose loans; structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties, as well as joint venture equity investments in multi-family properties; non-agency residential mortgage-backed securities (RMBS); agency RMBS; commercial mortgage-backed securities (CMBS); and other mortgage, residential housing, and credit-related assets. The company qualifies as a real estate investment trust for federal income tax purposes. It generally 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 2003 and is headquartered in New York, New York.