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Ares Commercial Real Estate Corporation (ACRE) 10-Year Financial Performance & Capital Metrics

ACRE • • REIT / Real Estate
Real EstateMortgage REITsCommercial Mortgage REITsDiversified Commercial Lenders
AboutAres Commercial Real Estate Corporation, a specialty finance company, originates and invests in commercial real estate (CRE) loans and related investments in the United States. The company provides a range of financing solutions for the owners, operators, and sponsors of CRE properties. It originates senior mortgage loans, subordinate debt products, mezzanine loans, real estate preferred equity investments, and other CRE investments, including commercial mortgage backed securities. The company has elected and qualified to be taxed as a real estate investment trust for the United States federal income tax purposes under the Internal Revenue Code of 1986. Ares Commercial Real Estate Management LLC operates as the manager of the company. The company was incorporated in 2011 and is based in New York, New York.Show more
  • Revenue $88M +7874.8%
  • FFO -$30M +23.9%
  • FFO/Share -0.54 +24.1%
  • FFO Payout -201.58% -7.8%
  • FFO per Share -0.54 +24.1%
  • NOI Margin 100%
  • FFO Margin -33.7% +99.0%
  • ROE -6% -6.0%
  • ROA -1.74% -7.3%
  • Debt/Assets 66.95% -5.6%
  • Net Debt/EBITDA 17.64
  • Book Value/Share 9.92 -14.0%
Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

  • ✓FFO growing 100.2% TTM
  • ✓High NOI margin of 100.0%
  • ✓Trading at only 0.5x book value

✗Weaknesses

  • ✗High debt to equity ratio of 2.2x

* These insights are generated automatically based on available financial data. Please conduct your own research before making investment decisions.

Price & Volume

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Growth Metrics

Revenue CAGR

10Y3.25%
5Y2.59%
3Y-4.89%
TTM1355.59%

Profit (Net Income) CAGR

10Y-
5Y-
3Y-
TTM87.92%

EPS CAGR

10Y-
5Y-
3Y-
TTM87.29%

ROCE

10Y Avg3.43%
5Y Avg1.7%
3Y Avg1.21%
Latest3.46%

Peer Comparison

Diversified Commercial Lenders
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Growth
Profitability
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Momentum & Returns
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Technical
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Sector-Specific
NameMarket CapCurrent PriceP/E RatioRevenue Growth 1YNet MarginROEFCF YieldDebt/Equity
ACRACRES Commercial Realty Corp.150.01M20.5917.90-8.39%29.62%7.27%12.92%3.13
NREFNexPoint Real Estate Finance, Inc.263.17M14.8514.56162.1%57.58%12.44%11.13%8.44
FBRTFranklin BSP Realty Trust, Inc.836.47M10.2512.50-3.62%14.83%5.54%6.84%2.84
TRTXTPG RE Finance Trust, Inc.716.09M9.1511.88302.62%31.56%6.15%14.92%2.31
ABRArbor Realty Trust, Inc.1.61B8.216.96-12.72%49.85%5.9%28.72%3.19
RPTRithm Property Trust Inc.123.34M16.30-7.12380.09%-17.24%-2.24%0.24%2.93
ACREAres Commercial Real Estate Corporation280.08M5.09-7.9578.75%-29.15%-1.48%12.69%2.17
ARIApollo Commercial Real Estate Finance, Inc.1.4B10.09-10.40146.01%23.05%7.42%2.19%3.41

Profit & Loss

Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Revenue+84.31M45.11M46.35M55.28M77.26M78.69M102.07M109.05M1.1M87.8M
Revenue Growth %0.32%-0.47%0.03%0.19%0.4%0.02%0.3%0.07%-0.99%78.75%
Property Operating Expenses20.45M6.12M6.57M7.42M0018.56M000
Net Operating Income (NOI)+----------
NOI Margin %----------
Operating Expenses+31.12M6.24M6.73M6.88M77.26M78.69M-40.89M109.05M26M24.97M
G&A Expenses31.12M6.24M6.73M6.88M7.21M7.38M7.76M10.17M26M24.97M
EBITDA+55.29M81.73M96.59M181.29M00100.4M0-24.89M62.84M
EBITDA Margin %----------
Depreciation & Amortization+219K51.28M66.16M79.24M667K892K39.22M000
D&A / Revenue %----------
Operating Income+55.07M30.45M30.43M102.04M0061.18M0-24.89M62.84M
Operating Margin %----------
Interest Expense+36.34M36.86M51.19M63M62.58M51.95M50.08M65.99M117.2M105.98M
Interest Coverage1.52x0.83x0.59x1.62x--1.22x--0.21x0.59x
Non-Operating Income00-946K-446K667K892K-34.93M0-24.89M62.84M
Pretax Income+45.25M30.68M30.61M39.04M37.51M22.19M61.18M30.26M38.91M35.01M
Pretax Margin %----------
Income Tax+1.93M230K178K446K515K352K722K472K39K18K
Effective Tax Rate %----------
Net Income+34.28M40.34M30.41M38.6M36.99M21.84M60.46M29.79M-38.87M-34.99M
Net Margin %----------
Net Income Growth %0.41%0.18%-0.25%0.27%-0.04%-0.41%1.77%-0.51%-2.3%0.1%
Funds From Operations (FFO)+----------
FFO Margin %----------
FFO Growth %0.41%1.66%0.05%0.22%-0.68%-0.4%3.39%---
FFO per Share+----------
FFO Payout Ratio %----------
EPS (Diluted)+1.201.411.071.351.280.661.420.57-0.72-0.64
EPS Growth %0.41%0.17%-0.24%0.26%-0.05%-0.48%1.15%-0.6%-2.26%0.11%
EPS (Basic)1.201.421.071.351.290.661.430.58-0.72-0.64
Diluted Shares Outstanding28.6M28.52M28.55M28.66M28.85M33.2M42.68M52.13M54.28M54.45M

Balance Sheet

Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Total Assets+1.38B1.37B1.77B1.6B1.78B1.93B2.63B2.52B2.28B1.75B
Asset Growth %-0.26%-0%0.29%-0.09%0.11%0.08%0.36%-0.04%-0.1%-0.23%
Real Estate & Other Assets+-61.8M00015.69M8.21M0-27.94M-28.06M8.63M
PP&E (Net)000037.9M37.28M000115.32M
Investment Securities00000001000K1000K1000K
Total Current Assets+00001.73B1.88B0001.59B
Cash & Equivalents8.99M47.27M28.34M11.09M5.26M74.78M50.62M141.28M110.46M63.8M
Receivables1000K203K945K1000K1000K1000K1000K1000K1000K1000K
Other Current Assets-38.3M-203K-945K-52.42M42.79M17.61M-181.8M-301.69M-174.21M10.6M
Intangible Assets61.8M0000000023.71M
Total Liabilities922.49M944.03M1.35B1.18B1.36B1.46B1.95B1.78B1.65B1.21B
Total Debt+629.41M149.88M378.81M379.08M1.34B1.43B1.9B1.74B1.62B1.17B
Net Debt620.42M102.61M350.46M367.99M1.33B1.36B1.85B1.6B1.51B1.11B
Long-Term Debt324.11M930.59M1.34B415.36M624.49M1.15B1.08B1.03B1.62B812.63M
Short-Term Borrowings1000K01000K1000K1000K1000K1000K1000K01000K
Capital Lease Obligations0000000000
Total Current Liabilities+305.61M578.54M744.92M541K724.16M292.17M0024.62M378.76M
Accounts Payable299K0414K541K00570K1.91M2.26M0
Deferred Revenue-61.41M0-10.76M-48.9M000000
Other Liabilities-324.11M-930.59M-1.34B-415.36M9.15M10.77M-1.08B-1.03B12.32M19.68M
Total Equity+456.49M429.67M1.73B1.57B426.34M473.01M678.63M747.54M625.85M540.13M
Equity Growth %-0.05%-0.06%3.02%-0.09%-0.73%0.11%0.43%0.1%-0.16%-0.14%
Shareholders Equity409.47M419.03M419.17M425.59M426.34M473.01M678.63M747.54M625.85M540.13M
Minority Interest47.02M10.64M1.31B1.15B000000
Common Stock284K283K283K283K283K329K465K537K532K532K
Additional Paid-in Capital421.18M420.06M420.64M421.74M423.62M497.8M703.95M812.79M812.18M816.92M
Retained Earnings-11.99M-1.31M-1.75M3.56M2.44M-25.12M-28.63M-73.33M-187.02M-277.36M
Preferred Stock0003.56M000000
Return on Assets (ROA)0.02%0.03%0.02%0.02%0.02%0.01%0.03%0.01%-0.02%-0.02%
Return on Equity (ROE)0.07%0.09%0.03%0.02%0.04%0.05%0.1%0.04%-0.06%-0.06%
Debt / Assets0.46%0.11%0.21%0.24%0.75%0.74%0.72%0.69%0.71%0.67%
Debt / Equity1.38x0.35x0.22x0.24x3.13x3.03x2.80x2.32x2.58x2.17x
Net Debt / EBITDA11.22x1.26x3.63x2.03x--18.44x--17.64x
Book Value per Share15.9615.0660.5054.8314.7814.2515.9014.3411.539.92

Cash Flow

Dec 2015Dec 2016Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024
Cash from Operations+275.52M8.54M31.27M39.22M32.45M31.76M48.35M57.16M46.79M35.55M
Operating CF Growth %2.24%-0.97%2.66%0.25%-0.17%-0.02%0.52%0.18%-0.18%-0.24%
Operating CF / Revenue %----------
Net Income43.32M34.67M30.43M38.6M36.99M21.84M60.46M29.79M-38.87M-34.99M
Depreciation & Amortization219K167K7.61M5.72M667K892K9.89M005.41M
Stock-Based Compensation835K312K581K1.1M1.88M1.34M1.94M2.88M3.99M4.74M
Other Non-Cash Items166.31M-71.94M1.03M-1.23M223K-104K2.3M39.58M101.18M66.15M
Working Capital Changes62.74M43.28M-1.54M749K-6.64M-15.51M-16.35M-15.09M-19.51M-5.76M
Cash from Investing+258.34M-43.32M-405.77M157.92M-174.43M-81.87M-699.68M193.17M127.46M427.91M
Acquisitions (Net)089.98M00000000
Purchase of Investments0000-1.69M-274K-150K-27.87M00
Sale of Investments1000K11K12K00001000K00
Other Investing258.34M-133.3M-405.77M157.92M-171.05M-81.32M-699.39M218.96M127.46M427.91M
Cash from Financing+-541.41M73.06M355.57M-214.4M136.14M119.25M627.17M-159.67M-205.07M-507.63M
Dividends Paid-28.6M-29.4M-30.53M-32.09M-37.49M-42.77M-58.42M-71.81M-75.95M-59.64M
Common Dividends-28.6M-29.4M-30.53M-32.09M-37.49M-42.77M-58.42M-71.81M-72.65M-59.64M
Debt Issuance (Net)-1000K1000K1000K-1000K1000K1000K1000K-1000K-1000K-1000K
Share Repurchases0-1.44M000000-4.6M0
Other Financing-39.95M-46.47M-19.07M-2.32M-5.82M-5.37M-13.39M-4.63M-4.05M-3.74M
Net Change in Cash+-7.56M38.27M-18.93M-17.25M-5.83M69.14M-24.16M90.66M-30.82M-44.16M
Exchange Rate Effect0000000000
Cash at Beginning16.55M8.99M47.27M28.72M11.47M5.63M74.78M50.62M141.28M110.46M
Cash at End8.99M47.27M28.34M11.47M5.63M74.78M50.62M141.28M110.46M66.29M
Free Cash Flow+274.92M8.18M31.27M39.22M30.77M31.49M48.21M57.16M46.79M35.55M
FCF Growth %2.22%-0.97%2.82%0.25%-0.22%0.02%0.53%0.19%-0.18%-0.24%
FCF / Revenue %----------

Key Ratios

Metric2015201620172018201920202021202220232024
FFO per Share1.213.213.384.111.310.682.340.57-0.72-0.54
FFO Payout Ratio82.88%32.09%31.62%27.23%99.55%188.13%58.61%241.08%-186.91%-201.58%
NOI Margin75.75%86.43%85.83%86.58%100%100%81.82%100%100%100%
Net Debt / EBITDA11.22x1.26x3.63x2.03x--18.44x--17.64x
Debt / Assets45.64%10.91%21.4%23.64%74.86%74.17%72.29%68.83%70.93%66.95%
Interest Coverage1.52x0.83x0.59x1.62x--1.22x--0.21x0.59x
Book Value / Share15.9615.0660.554.8314.7814.2515.914.3411.539.92
Revenue Growth32.2%-46.5%2.75%19.28%39.75%1.85%29.71%6.84%-98.99%7874.75%

Revenue by Segment

2013201420152024
Reportable---69.65M
Reportable Growth----
Ares Commercial Real Estate Corporation Together With Consolidated Subsidiaries-37.54M49.99M-
Ares Commercial Real Estate Corporation Together With Consolidated Subsidiaries Growth--33.19%-
A C R E Capital L L C-27.61M35.41M-
A C R E Capital L L C Growth--28.28%-
Ares Commercial Real Estate Corporation Together with Consolidated Subsidiaries28.83M---
Ares Commercial Real Estate Corporation Together with Consolidated Subsidiaries Growth----
ACRE Capital LLC9.76M---
ACRE Capital LLC Growth----

Frequently Asked Questions

Growth & Financials

Ares Commercial Real Estate Corporation (ACRE) reported $26.4M in revenue for fiscal year 2024. This represents a 299% increase from $6.6M in 2012.

Ares Commercial Real Estate Corporation (ACRE) grew revenue by 7874.8% over the past year. This is strong growth.

Ares Commercial Real Estate Corporation (ACRE) reported a net loss of $7.7M for fiscal year 2024.

Dividend & Returns

Yes, Ares Commercial Real Estate Corporation (ACRE) pays a dividend with a yield of 21.52%. This makes it attractive for income-focused investors.

Ares Commercial Real Estate Corporation (ACRE) has a return on equity (ROE) of -6.0%. Negative ROE indicates the company is unprofitable.

Industry Metrics

Ares Commercial Real Estate Corporation (ACRE) generated Funds From Operations (FFO) of $0.1M in the trailing twelve months. FFO is the primary profitability metric for REITs.

Ares Commercial Real Estate Corporation (ACRE) offers a 21.52% dividend yield, which is attractive for income investors. REITs are required to distribute at least 90% of taxable income to shareholders.

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