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Atrium Mortgage Investment TSX:AI Stock Report

Last Price

CA$12.06

Market Cap

CA$519.7m

7D

1.9%

1Y

-17.3%

Updated

16 Aug, 2022

Data

Company Financials +
AI fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance3/6
Financial Health1/6
Dividends3/6

AI Stock Overview

Atrium Mortgage Investment Corporation, a non-bank lender, provides financing solutions to the real estate communities in Ontario, Alberta, and British Columbia.

Atrium Mortgage Investment Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Atrium Mortgage Investment
Historical stock prices
Current Share PriceCA$12.06
52 Week HighCA$15.49
52 Week LowCA$11.04
Beta1.2
1 Month Change7.30%
3 Month Change-6.00%
1 Year Change-17.28%
3 Year Change-11.65%
5 Year Change-2.27%
Change since IPO9.64%

Recent News & Updates

Jul 14
Atrium Mortgage Investment (TSE:AI) Is Paying Out A Dividend Of CA$0.075

Atrium Mortgage Investment (TSE:AI) Is Paying Out A Dividend Of CA$0.075

Atrium Mortgage Investment Corporation ( TSE:AI ) has announced that it will pay a dividend of CA$0.075 per share on...

Shareholder Returns

AICA MortgageCA Market
7D1.9%3.5%2.5%
1Y-17.3%-20.9%1.0%

Return vs Industry: AI exceeded the Canadian Mortgage industry which returned -20.9% over the past year.

Return vs Market: AI underperformed the Canadian Market which returned 1% over the past year.

Price Volatility

Is AI's price volatile compared to industry and market?
AI volatility
AI Average Weekly Movement3.5%
Mortgage Industry Average Movement3.2%
Market Average Movement10.6%
10% most volatile stocks in CA Market18.9%
10% least volatile stocks in CA Market4.3%

Stable Share Price: AI is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: AI's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2001n/aRob Goodallhttps://www.atriummic.com/Default.aspx

Atrium Mortgage Investment Corporation, a non-bank lender, provides financing solutions to the real estate communities in Ontario, Alberta, and British Columbia. It offers various types of mortgage loans for residential, multi-residential, and commercial real properties, which includes first and second mortgages; infill construction and financing; land and land assembly financing for stacked and traditional townhomes, single detached homes, and low-rise and midrise condominiums; and bridge and term financing. The company was incorporated in 2001 and is headquartered in Toronto, Canada.

Atrium Mortgage Investment Fundamentals Summary

How do Atrium Mortgage Investment's earnings and revenue compare to its market cap?
AI fundamental statistics
Market CapCA$519.66m
Earnings (TTM)CA$42.57m
Revenue (TTM)CA$53.77m

12.2x

P/E Ratio

1.1x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AI income statement (TTM)
RevenueCA$53.77m
Cost of RevenueCA$7.91m
Gross ProfitCA$45.86m
Other ExpensesCA$3.29m
EarningsCA$42.57m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Aug 17, 2022

Earnings per share (EPS)0.99
Gross Margin85.29%
Net Profit Margin79.17%
Debt/Equity Ratio72.3%

How did AI perform over the long term?

See historical performance and comparison

Dividends

8.0%

Current Dividend Yield

91%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is AI undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AI?

Other financial metrics that can be useful for relative valuation.

AI key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ratio4.2x

Price to Earnings Ratio vs Peers

How does AI's PE Ratio compare to its peers?

AI PE Ratio vs Peers
The above table shows the PE ratio for AI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.3x
FC Firm Capital Mortgage Investment
13.9xn/aCA$435.9m
MKP MCAN Mortgage
10.7x16.8%CA$520.5m
TF Timbercreek Financial
18x17.3%CA$725.8m
HCG Home Capital Group
6.5x13.3%CA$1.3b
AI Atrium Mortgage Investment
12.2x2.9%CA$519.7m

Price-To-Earnings vs Peers: AI is good value based on its Price-To-Earnings Ratio (12.2x) compared to the peer average (12.3x).


Price to Earnings Ratio vs Industry

How does AI's PE Ratio compare vs other companies in the North American Mortgage Industry?

Price-To-Earnings vs Industry: AI is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the Canadian Mortgage industry average (9.1x)


Price to Earnings Ratio vs Fair Ratio

What is AI's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio12.2x
Fair PE Ratio10.5x

Price-To-Earnings vs Fair Ratio: AI is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the estimated Fair Price-To-Earnings Ratio (10.5x).


Share Price vs Fair Value

What is the Fair Price of AI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AI (CA$12.06) is trading below our estimate of fair value (CA$16.2)

Significantly Below Fair Value: AI is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Future Growth

How is Atrium Mortgage Investment forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


2.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AI's forecast earnings growth (2.9% per year) is above the savings rate (1.6%).

Earnings vs Market: AI's earnings (2.9% per year) are forecast to grow slower than the Canadian market (8% per year).

High Growth Earnings: AI's earnings are forecast to grow, but not significantly.

Revenue vs Market: AI's revenue (12% per year) is forecast to grow faster than the Canadian market (6.5% per year).

High Growth Revenue: AI's revenue (12% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if AI's Return on Equity is forecast to be high in 3 years time


Discover growth companies

Past Performance

How has Atrium Mortgage Investment performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


8.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AI has high quality earnings.

Growing Profit Margin: AI's current net profit margins (79.2%) are lower than last year (81.4%).


Past Earnings Growth Analysis

Earnings Trend: AI's earnings have grown by 8.3% per year over the past 5 years.

Accelerating Growth: AI's earnings growth over the past year (6.4%) is below its 5-year average (8.3% per year).

Earnings vs Industry: AI earnings growth over the past year (6.4%) exceeded the Mortgage industry 2.3%.


Return on Equity

High ROE: AI's Return on Equity (8.9%) is considered low.


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Financial Health

How is Atrium Mortgage Investment's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

1/6

Financial Health Score 1/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: AI's Assets to Equity ratio (1.7x) is low.

Allowance for Bad Loans: Insufficient data to determine if AI has a sufficient allowance for bad loans.

Low Risk Liabilities: AI reports no customer deposits, 100% of its liabilities are made up of higher risk sources of funding.

Loan Level: Insufficient data to determine if AI has an appropriate level of Loans to Assets ratio.

Low Risk Deposits: AI reports no customer deposits, loans are made up entirely of externally borrowed funds.

Level of Bad Loans: Insufficient data to determine if AI has an appropriate level of bad loans.


Discover healthy companies

Dividend

What is Atrium Mortgage Investment current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


8.04%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: AI's dividend (8.04%) is higher than the bottom 25% of dividend payers in the Canadian market (1.84%).

High Dividend: AI's dividend (8.04%) is in the top 25% of dividend payers in the Canadian market (5.26%)


Stability and Growth of Payments

Stable Dividend: AI's dividend payments have been volatile in the past 10 years.

Growing Dividend: AI's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Earnings Coverage: With its high payout ratio (90.5%), AI's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years or that it will be covered by earnings.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.8yrs

Average management tenure


CEO

Rob Goodall (64 yo)

28yrs

Tenure

CA$995,637

Compensation

Mr. Robert G. Goodall, also known as Rob, MBA, had been Independent Trustee of Dream Office Real Estate Investment Trust since June 30, 2003 until June 7, 2022. He serves as an Independent Trustee of Sun R...


CEO Compensation Analysis

Compensation vs Market: Rob's total compensation ($USD773.27K) is below average for companies of similar size in the Canadian market ($USD1.25M).

Compensation vs Earnings: Rob's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: AI's management team is seasoned and experienced (5.8 years average tenure).


Board Members

Experienced Board: AI's board of directors are seasoned and experienced ( 10.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Atrium Mortgage Investment Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Atrium Mortgage Investment Corporation
  • Ticker: AI
  • Exchange: TSX
  • Founded: 2001
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Implied Market Cap: CA$519.658m
  • Shares outstanding: 43.09m
  • Website: https://www.atriummic.com/Default.aspx

Number of Employees


Location

  • Atrium Mortgage Investment Corporation
  • 20 Adelaide Street East
  • Suite 900
  • Toronto
  • Ontario
  • M5C 2T6
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/16 00:00
End of Day Share Price2022/08/16 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.