NYSE:ANH

Stock Analysis Report

Executive Summary

Anworth Mortgage Asset Corporation operates as a real estate investment trust (REIT) in the United States.

Snowflake

Fundamentals

High growth potential with imperfect balance sheet.

Risks

  • Anworth Mortgage Asset is covered by less than 3 analysts.

Similar Companies

Share Price & News

How has Anworth Mortgage Asset's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-4.6%

NYSE:ANH

0.4%

US Mortgage REITs

0.2%

US Market


1 Year Return

-28.6%

NYSE:ANH

-9.8%

US Mortgage REITs

-0.7%

US Market

ANH underperformed the Mortgage REITs industry which returned -9.7% over the past year.

ANH underperformed the Market in United States of America which returned 0.3% over the past year.


Share holder returns

ANHIndustryMarket
7 Day-4.6%0.4%0.2%
30 Day-9.4%-2.8%-2.7%
90 Day-12.8%-2.4%1.6%
1 Year-19.3%-28.6%0.4%-9.8%1.6%-0.7%
3 Year-0.3%-29.4%32.2%-4.7%40.0%30.9%
5 Year21.0%-32.6%47.7%-15.3%53.8%36.8%

Price Volatility Vs. Market

How volatile is Anworth Mortgage Asset's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Anworth Mortgage Asset undervalued based on future cash flows and its price relative to the stock market?

15%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Anworth Mortgage Asset's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Anworth Mortgage Asset's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Anworth Mortgage Asset is loss making, we can't compare its value to the US Mortgage REITs industry average.

Anworth Mortgage Asset is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Anworth Mortgage Asset, we can't assess if its growth is good value.


Price Based on Value of Assets

Anworth Mortgage Asset is good value based on assets compared to the US Mortgage REITs industry average.


Next Steps

Future Growth

How is Anworth Mortgage Asset expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

83.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Anworth Mortgage Asset's revenue is expected to grow significantly at over 20% yearly.

Anworth Mortgage Asset's earnings are expected to grow significantly at over 20% yearly.

Anworth Mortgage Asset's revenue growth is expected to exceed the United States of America market average.

Anworth Mortgage Asset's earnings growth is expected to exceed the United States of America market average.

Anworth Mortgage Asset's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Anworth Mortgage Asset is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Anworth Mortgage Asset performed over the past 5 years?

-18.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Anworth Mortgage Asset does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare Anworth Mortgage Asset's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Anworth Mortgage Asset's 1-year growth to the US Mortgage REITs industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Anworth Mortgage Asset has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Anworth Mortgage Asset has efficiently used its assets last year compared to the US Mortgage REITs industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Anworth Mortgage Asset improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Anworth Mortgage Asset's financial position?


Financial Position Analysis

Anworth Mortgage Asset's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Anworth Mortgage Asset's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Anworth Mortgage Asset's level of debt (683.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (900.9% vs 683.1% today).

Debt is not well covered by operating cash flow (2%, less than 20% of total debt).

Unable to confirm if the interest payments on Anworth Mortgage Asset's debt are well covered by earnings due to lack of past financial data.


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.2x debt.


Next Steps

Dividend

What is Anworth Mortgage Asset's current dividend yield, its reliability and sustainability?

13.07%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Anworth Mortgage Asset's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.48%).

Anworth Mortgage Asset's dividend is above the markets top 25% of dividend payers in United States of America (3.83%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have fallen over the past 10 years.


Current Payout to Shareholders

The company is paying a dividend however it is incurring a loss.


Future Payout to Shareholders

Dividends after 3 years are not well covered by earnings (1x coverage).


Next Steps

Management

What is the CEO of Anworth Mortgage Asset's salary, the management and board of directors tenure and is there insider trading?

14.6yrs

Average management tenure


CEO

Joe McAdams (50yo)

0.9yrs

Tenure

US$189,644

Compensation

Mr. Joseph E. McAdams, also known as Joe, CFA, serves as Chairman of the Board at Anworth Mortgage Asset Corporation since November 15, 2018. He has been the President of Anworth Management, LLC, Manager o ...


CEO Compensation Analysis

Joe's remuneration is lower than average for companies of similar size in United States of America.

Joe's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

14.6yrs

Average Tenure

59.5yo

Average Age

The average tenure for the Anworth Mortgage Asset management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

9.8yrs

Average Tenure

68yo

Average Age

The tenure for the Anworth Mortgage Asset board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUS$121,50029 Mar 19
Dominique Mielle
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares30,000
Max PriceUS$4.05

Ownership Breakdown


Management Team

  • Heather Baines (77yo)

    Executive Vice President of Anworth Management LLC

    • Tenure: 0.0yrs
    • Compensation: US$210.81k
  • Joe McAdams (50yo)

    Chairman & CEO

    • Tenure: 0.9yrs
    • Compensation: US$189.64k
  • Bistra Pashamova (48yo)

    Senior VP & Portfolio Manager of Anworth Management

    • Tenure: 17.2yrs
    • Compensation: US$1.11m
  • Charles Siegel (69yo)

    CFO, Treasurer & Secretary of Anworth Management

    • Tenure: 3.6yrs
    • Compensation: US$79.22k
  • Megan Davidson

    Director of Business Development -Belvedere Trust Mortgage Corporation

    • Tenure: 14.6yrs
  • John Hillman

    VP & Director of Investor Relations

    • Tenure: 17.6yrs
  • Brett Roth

    Senior VP & Portfolio Manager of Anworth Management

    • Tenure: 0.0yrs
  • Kathryn Pellman

    Office Manager

    • Tenure: 0.0yrs

Board Members

  • Joseph McAdams (73yo)

    Director

    • Tenure: 22.6yrs
    • Compensation: US$286.34k
  • Joe McAdams (50yo)

    Chairman & CEO

    • Tenure: 0.9yrs
    • Compensation: US$189.64k
  • Joe Davis (85yo)

    Independent Director of Anworth Management LLC

    • Tenure: 22.6yrs
    • Compensation: US$82.52k
  • Mark Maron (63yo)

    Independent Director of Anworth Management LLC

    • Tenure: 5.3yrs
    • Compensation: US$77.16k
  • Robert Davis (74yo)

    Independent Director of Anworth Management LLC

    • Tenure: 14.3yrs
    • Compensation: US$81.52k
  • Dominique Mielle (50yo)

    Independent Director

    • Tenure: 0.8yrs
    • Compensation: US$4.24k

Company Information

Anworth Mortgage Asset Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Anworth Mortgage Asset Corporation
  • Ticker: ANH
  • Exchange: NYSE
  • Founded: 1997
  • Industry: Mortgage REITs
  • Sector: Diversified Financials
  • Market Cap: US$344.674m
  • Shares outstanding: 98.76m
  • Website: https://www.anworth.com

Location

  • Anworth Mortgage Asset Corporation
  • 1299 Ocean Avenue
  • 2nd Floor
  • Santa Monica
  • California
  • 90401
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ANHNYSE (New York Stock Exchange)YesCommon StockUSUSDMar 1998
AOGDB (Deutsche Boerse AG)YesCommon StockDEEURMar 1998
ANH.PRANYSE (New York Stock Exchange)PFD A 8.625%USUSDNov 2004
ANH.PRBNYSE (New York Stock Exchange)PFD B 6.25%USUSDJan 2007
ANH.PRCNYSE (New York Stock Exchange)PFD SER C 7.625%USUSDJan 2015

Biography

Anworth Mortgage Asset Corporation operates as a real estate investment trust (REIT) in the United States. It primarily invests in, finances, and manages a leveraged portfolio of residential mortgage-backe ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 23:55
End of Day Share Price2019/08/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.