ARMOUR Residential REIT (NYSE:ARR) & Alpine Income Property Trust (NYSE:PINE) Financial Survey

ARMOUR Residential REIT (NYSE:ARR) and Alpine Income Property Trust (NYSE:PINE) are both small-cap finance companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, earnings, analyst recommendations, institutional ownership, dividends, valuation and risk.

Profitability

This table compares ARMOUR Residential REIT and Alpine Income Property Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ARMOUR Residential REIT	-19.85%	16.64%	1.69%
Alpine Income Property Trust	-1.16%	-0.20%	-0.10%

Risk and Volatility

ARMOUR Residential REIT has a beta of 1.51, indicating that its stock price is 51% more volatile than the S&P 500. Comparatively, Alpine Income Property Trust has a beta of 0.79, indicating that its stock price is 21% less volatile than the S&P 500.

Valuation & Earnings

This table compares ARMOUR Residential REIT and Alpine Income Property Trust’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ARMOUR Residential REIT	-$98.51 million	-10.03	-$67.92 million	($0.72)	-28.15
Alpine Income Property Trust	$45.64 million	5.67	$2.92 million	($0.04)	-474.25

Alpine Income Property Trust has higher revenue and earnings than ARMOUR Residential REIT. Alpine Income Property Trust is trading at a lower price-to-earnings ratio than ARMOUR Residential REIT, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

54.2% of ARMOUR Residential REIT shares are owned by institutional investors. Comparatively, 60.5% of Alpine Income Property Trust shares are owned by institutional investors. 0.4% of ARMOUR Residential REIT shares are owned by company insiders. Comparatively, 0.7% of Alpine Income Property Trust shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Dividends

ARMOUR Residential REIT pays an annual dividend of $2.88 per share and has a dividend yield of 14.2%. Alpine Income Property Trust pays an annual dividend of $1.10 per share and has a dividend yield of 5.8%. ARMOUR Residential REIT pays out -400.0% of its earnings in the form of a dividend. Alpine Income Property Trust pays out -2,750.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Analyst Recommendations

This is a summary of current ratings and target prices for ARMOUR Residential REIT and Alpine Income Property Trust, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ARMOUR Residential REIT	0	4	0	0	2.00
Alpine Income Property Trust	0	1	6	0	2.86

ARMOUR Residential REIT currently has a consensus target price of $19.83, suggesting a potential downside of 2.15%. Alpine Income Property Trust has a consensus target price of $18.89, suggesting a potential downside of 0.41%. Given Alpine Income Property Trust’s stronger consensus rating and higher probable upside, analysts plainly believe Alpine Income Property Trust is more favorable than ARMOUR Residential REIT.

Summary

Alpine Income Property Trust beats ARMOUR Residential REIT on 11 of the 16 factors compared between the two stocks.

About ARMOUR Residential REIT

ARMOUR Residential REIT, Inc. invests in residential mortgage-backed securities (MBS) in the United States. Its securities portfolio primarily consists of the United States Government-sponsored entity's (GSE) and the Government National Mortgage Administration's issued or guaranteed securities backed by fixed rate, hybrid adjustable rate, and adjustable-rate home loans; and unsecured notes and bonds issued by the GSE and the United States treasuries, as well as money market instruments. The company has elected to be taxed as a real estate investment trust. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to shareholders. ARMOUR Residential REIT, Inc. was incorporated in 2008 and is based in Vero Beach, Florida.

About Alpine Income Property Trust

Alpine Income Property Trust, Inc. (NYSE: PINE) is a publicly traded real estate investment trust that seeks to deliver attractive risk-adjusted returns and dependable cash dividends by investing in, owning and operating a portfolio of single tenant net leased properties that are predominately leased to high-quality publicly traded and credit-rated tenants.