Latest Ratios: P/E Ratio 7.7x · EV/EBITDA 18.1x · ROE 6.8%. (2009–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $820M | $1.3B | $1.2B | $1.7B | $1.8B | $2.2B | $1.7B | $3.2B | $2.6B | $1.9B | $1.2B |
| Enterprise Value | $8.6B | $9.1B | $7.3B | $8.4B | $8.5B | $7.9B | $5.9B | $6.9B | $4.9B | $3.7B | $2.4B |
| P/E Ratio → | 7.73 | 11.95 | — | 40.48 | 6.40 | 9.01 | 1175.79 | 13.06 | 11.26 | 12.22 | 9.72 |
| P/S Ratio | 1.15 | 1.89 | 1.72 | 2.13 | 2.78 | 5.26 | 4.82 | 6.57 | 6.20 | 6.48 | 4.11 |
| P/B Ratio | 0.47 | 0.72 | 0.65 | 0.75 | 0.76 | 0.97 | 0.73 | 1.22 | 1.02 | 0.89 | 0.63 |
| P/FCF | 19.37 | 31.77 | 39.33 | 8.24 | 7.59 | 11.12 | 10.08 | 11.76 | 9.64 | 12.17 | 10.39 |
| P/OCF | 5.75 | 9.43 | 6.04 | 6.06 | 6.65 | 11.12 | 10.08 | 11.76 | 9.64 | 12.06 | 10.25 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 12.84 | 10.38 | 10.80 | 13.30 | 18.71 | 17.16 | 14.09 | 11.91 | 12.86 | 8.19 |
| EV / EBITDA | 18.08 | 19.18 | 16.96 | 17.63 | 13.11 | 18.90 | 35.16 | 17.99 | 14.72 | 13.67 | 10.96 |
| EV / EBIT | 18.52 | 15.54 | 18.93 | 15.99 | 15.92 | 20.42 | 35.16 | 17.99 | 14.72 | 13.67 | 10.96 |
| EV / FCF | — | 215.60 | 236.82 | 41.68 | 36.34 | 39.56 | 35.85 | 25.20 | 18.52 | 24.14 | 20.72 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 80.1% | 80.1% | 79.9% | 83.6% | 85.6% | 85.0% | 88.4% | 91.7% | 91.2% | 89.0% | 92.1% |
| Operating Margin | 65.4% | 65.4% | 59.5% | 60.2% | 101.3% | 98.4% | 40.5% | 42.6% | 88.5% | 61.9% | 53.1% |
| Net Profit Margin | 17.8% | 17.8% | -17.1% | 7.5% | 41.4% | 53.1% | 5.4% | 47.1% | 53.2% | 67.0% | 53.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6.8% | 6.8% | -5.9% | 2.5% | 11.4% | 9.8% | 0.8% | 9.0% | 9.6% | 9.6% | 9.5% |
| ROA | 1.4% | 1.4% | -1.4% | 0.6% | 2.9% | 2.9% | 0.3% | 3.8% | 4.8% | 5.1% | 5.1% |
| ROIC | 4.0% | 4.0% | 3.7% | 3.9% | 5.7% | 4.3% | 1.6% | 2.8% | 6.2% | 3.8% | 4.1% |
| ROCE | 5.6% | 5.6% | 5.3% | 5.3% | 8.0% | 6.1% | 2.2% | 4.0% | 9.6% | 4.7% | 5.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 4.27 | 4.27 | 3.41 | 3.15 | 2.96 | 2.62 | 2.01 | 1.57 | 0.98 | 0.92 | 0.76 |
| Debt / EBITDA | 16.65 | 16.65 | 14.88 | 14.62 | 10.72 | 14.41 | 27.22 | 10.77 | 7.39 | 7.07 | 6.65 |
| Net Debt / Equity | — | 4.19 | 3.24 | 3.05 | 2.87 | 2.47 | 1.86 | 1.40 | 0.94 | 0.88 | 0.63 |
| Net Debt / EBITDA | 16.36 | 16.36 | 14.14 | 14.14 | 10.38 | 13.59 | 25.28 | 9.59 | 7.06 | 6.78 | 5.47 |
| Debt / FCF | — | 183.83 | 197.48 | 33.44 | 28.76 | 28.44 | 25.77 | 13.44 | 8.88 | 11.97 | 10.33 |
| Interest Coverage | 1.28 | 1.28 | 0.76 | 1.13 | 1.98 | 2.38 | 1.12 | 2.51 | 2.92 | 3.47 | 3.48 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.30 | 0.30 | 0.37 | 0.34 | 0.64 | 0.31 | 0.73 | 0.60 | 0.18 | — | — |
| Quick Ratio | 0.30 | 0.30 | 0.37 | 0.34 | 0.64 | 0.31 | 0.73 | 0.60 | 0.18 | — | — |
| Cash Ratio | 0.20 | 0.20 | 0.32 | 0.26 | 0.49 | 0.28 | 0.65 | 0.56 | 0.14 | — | — |
| Asset Turnover | — | 0.07 | 0.08 | 0.08 | 0.07 | 0.05 | 0.05 | 0.07 | 0.08 | 0.07 | 0.09 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 16.3% | 10.5% | 15.4% | 12.2% | 11.3% | 9.0% | 14.4% | 8.4% | 8.9% | 9.8% | 10.9% |
| Payout Ratio | 111.5% | 111.5% | — | 347.5% | 75.6% | 89.3% | 1293.7% | 117.0% | 103.3% | 95.3% | 83.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 12.9% | 8.4% | — | 2.5% | 15.6% | 11.1% | 0.1% | 7.7% | 8.9% | 8.2% | 10.3% |
| FCF Yield | 5.2% | 3.1% | 2.5% | 12.1% | 13.2% | 9.0% | 9.9% | 8.5% | 10.4% | 8.2% | 9.6% |
| Buyback Yield | 0.0% | 0.0% | 3.4% | 0.0% | 0.0% | 0.0% | 7.7% | 0.0% | 0.0% | 6.3% | 0.0% |
| Total Shareholder Yield | 16.3% | 10.5% | 18.7% | 12.2% | 11.3% | 9.0% | 22.1% | 8.4% | 8.9% | 16.1% | 10.9% |
| Shares Outstanding | — | $139M | $140M | $141M | $166M | $168M | $148M | $176M | $154M | $101M | $73M |
Includes 30+ ratios · 17 years · Updated daily
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Quick answers to the most common questions about buying ARI stock.
Apollo Commercial Real Estate Finance, Inc.'s current P/E ratio is 7.7x. The historical average is 13.3x. This places it at the 7th percentile of its historical range.
Apollo Commercial Real Estate Finance, Inc.'s current EV/EBITDA is 18.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 17.6x.
Apollo Commercial Real Estate Finance, Inc.'s return on equity (ROE) is 6.8%. The historical average is 6.6%.
Based on historical data, Apollo Commercial Real Estate Finance, Inc. is trading at a P/E of 7.7x. This is at the 7th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Apollo Commercial Real Estate Finance, Inc.'s current dividend yield is 16.25% with a payout ratio of 111.5%.
Apollo Commercial Real Estate Finance, Inc. has 80.1% gross margin and 65.4% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Apollo Commercial Real Estate Finance, Inc.'s Debt/EBITDA ratio is 16.7x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Dividend unsustainable on an AFFO basis
Metrics are mathematically derived from official filings.
Deep Discount Reflects Credit and Dividend Risk
ARI trades at a steep 0.52x price-to-book discount, yet its trailing 14.7% dividend yield appears unsupported by adjusted earnings, suggesting the market is pricing in further capital impairment or a dividend cut.
The P/B of 0.52x represents a substantial discount to both its own historical range and peers like BXMT (0.67x) and TRTX (0.58x), a discount that likely reflects skepticism about asset quality and dividend sustainability. This is underscored by the FFO payout ratio of 124.4% in the latest quarter, which implies the dividend is consuming more than the company generates on a funds-from-operations basis. While the P/E of 8.52x appears low, it is heavily distorted by large non-cash provisions, making the traditional P/B and the implied yield the more telling valuation signals for this mortgage REIT.
Dividend Exceeds Adjusted Cash Generation
The FFO payout ratio reached 124.4% in Q2 2026, as reported, indicating the dividend is consuming more than the company's core earnings and raising serious questions about long-term sustainability without external capital.
The persistent gap between FFO and AFFO is the critical warning sign; with AFFO per share of just $0.13 versus a likely quarterly dividend above $0.25, the payout is not covered by sustainable cash flow. This pattern has persisted for six of the last eight quarters, including a negative AFFO payout in 2025Q2, which forces reliance on asset sales, equity raises, or debt to bridge the shortfall. The 14.7% advertised yield is therefore a potential value trap, as it is being funded in part by a drawdown of capital rather than operating cash flow.
Volatile Leverage Amidst Radical Deleveraging
The reported debt-to-equity ratio collapsed from 4.50x in Q1 2026 to 0.30x in Q2, a dramatic shift that likely reflects massive asset sales or securitizations, fundamentally altering the risk profile.
This extreme volatility in the leverage ratio, moving from a highly leveraged position to an almost unlevered one in a single quarter, suggests a major restructuring event rather than gradual organic deleveraging. While the resulting low D/E of 0.30x and interest coverage of 1.77x appear healthy, they must be viewed in the context of the corresponding asset base contraction from $10.1B to $2.1B. The new, lower-leverage profile improves near-term solvency metrics but comes at the cost of a drastically reduced income-generating asset base, which will pressure future earnings capacity.
NOI Margin Volatility Highlights Provision Impact
NOI margin swung from 82.8% to 56.5% between Q4 2023 and Q3 2024 before recovering, a pattern that underscores how non-cash credit provisions are the primary driver of reported profitability.
The NOI margin is highly volatile, collapsing to 23.4% in Q1 2026 from 81.5% the prior quarter, indicating that periods of significant loan impairments or write-downs directly crush operating profitability. This volatility is inconsistent with a stable, spread-based lending business and instead reflects the lumpy nature of credit loss recognition under CECL. The current margin of 17.8% (net margin) against an 80.1% gross margin highlights that after funding costs, the remaining spread is being significantly consumed by provisions, leaving thin profitability for shareholders.
The P/E Ratio's Dangerous Irrelevance
The most commonly misapplied ratio for ARI is its P/E of 8.52x, which is dangerously misleading due to massive non-cash provisions that distort the underlying earnings power and payout capacity.
GAAP net income, the denominator in the P/E calculation, is highly volatile, swinging from a loss of $104.5M in 2024Q1 to a profit of $25.8M recently, driven primarily by changes in credit loss reserves. This makes the P/E ratio a poor indicator of recurring earnings or valuation; the market correctly focuses instead on the P/B ratio and FFO/AFFO payout ratios. For a mortgage REIT like ARI, where the business model is asset-based and leveraged, the price-to-book ratio and the dividend yield (analyzed in conjunction with payout sustainability) are far more relevant metrics for assessing value and risk.