Latest Ratios: P/E Ratio -35.0x · EV/EBITDA 31.6x · ROE 17.8%. (2007–2025 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 | $1.5B | $1.7B | $984M | $832M | $664M | $788M | $681M | $1.0B | $864M | $1.0B | $796M |
| Enterprise Value | $19.3B | $19.5B | $916M | $610M | $577M | $450M | $5.0B | $12.1B | $7.7B | $8.3B | $7.3B |
| P/E Ratio → | -34.98 | 5.36 | — | — | — | 204.38 | — | — | — | 6.17 | — |
| P/S Ratio | 1.65 | 1.28 | 4.10 | 1.85 | — | 160.99 | — | 4.85 | 24.01 | 3.74 | — |
| P/B Ratio | 0.53 | 0.74 | 0.72 | 0.65 | 0.60 | 0.69 | 0.73 | 0.72 | 0.11 | 0.12 | 0.11 |
| P/FCF | 3.21 | 13.43 | 3.76 | 6.26 | 5.35 | 67.12 | — | — | 11.48 | 9.26 | 0.11 |
| P/OCF | 11.80 | 13.43 | 3.76 | 6.26 | 5.35 | 67.12 | — | — | 11.48 | 9.26 | — |
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 | — | 14.97 | 3.82 | 1.36 | — | 92.00 | — | 56.90 | 213.48 | 30.52 | — |
| EV / EBITDA | 31.56 | 20.22 | 1.80 | 1.33 | — | 6.38 | — | 316.12 | 89.95 | 35.99 | 183.21 |
| EV / EBIT | 20.05 | 20.26 | 1.80 | 1.33 | — | 20.03 | — | 316.12 | 159.12 | 30.14 | 266.14 |
| EV / FCF | — | 157.37 | 3.50 | 4.59 | 4.65 | 38.36 | — | — | 102.09 | 75.49 | 0.98 |
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 | 97.0% | 97.0% | 86.2% | 93.0% | 103.0% | -359.9% | 109.7% | 86.1% | 24.3% | 90.2% | 118.5% |
| Operating Margin | 73.9% | 73.9% | 212.5% | 101.8% | 12.0% | 459.2% | 70.9% | 18.0% | 134.2% | 66.5% | 32.3% |
| Net Profit Margin | 24.7% | 24.7% | -6.0% | -15.1% | 26.2% | 313.9% | 100.9% | -117.4% | -294.6% | 66.5% | 32.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.8% | 17.8% | -1.1% | -5.7% | -20.4% | 1.5% | -18.1% | -5.3% | -1.3% | 2.2% | -1.0% |
| ROA | 1.9% | 1.9% | -0.1% | -0.6% | -3.1% | 0.3% | -2.3% | -2.3% | -1.2% | 2.1% | -0.4% |
| ROIC | 6.8% | 6.8% | 32.6% | 33.1% | -8.6% | 0.6% | -1.3% | 0.2% | 0.2% | 0.9% | -0.3% |
| ROCE | 31.5% | 31.5% | 3.9% | 4.2% | -1.4% | 0.4% | -12.1% | 0.8% | 0.6% | 2.1% | -0.4% |
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 | 7.94 | 7.94 | — | — | — | — | 4.83 | 7.90 | 0.89 | 0.88 | 0.90 |
| Debt / EBITDA | 18.56 | 18.56 | — | — | — | — | — | 296.28 | 82.43 | 32.72 | 170.13 |
| Net Debt / Equity | — | 7.91 | -0.05 | -0.17 | -0.08 | -0.30 | 4.65 | 7.71 | 0.86 | 0.85 | 0.87 |
| Net Debt / EBITDA | 18.49 | 18.49 | -0.13 | -0.48 | — | -4.78 | — | 289.15 | 79.84 | 31.58 | 163.34 |
| Debt / FCF | — | 143.95 | -0.26 | -1.67 | -0.70 | -28.77 | — | — | 90.61 | 66.23 | 0.88 |
| Interest Coverage | 1.50 | 1.50 | 0.97 | 0.87 | -0.90 | 3.16 | -2.42 | 0.13 | 0.31 | 2.92 | 0.38 |
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 | 0.01 | 0.01 | — | — | — | — | — | — | 525.81 | 825.51 | 478.50 |
| Quick Ratio | 0.01 | 0.01 | — | — | — | — | — | — | 549.74 | 832.35 | 452.49 |
| Cash Ratio | 0.00 | 0.00 | — | — | — | — | 0.04 | 0.02 | 524.19 | 823.15 | 477.20 |
| Asset Turnover | — | 0.06 | 0.02 | 0.04 | -0.09 | 0.00 | -0.04 | 0.02 | 0.00 | 0.03 | -0.02 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | 0.07 |
| 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 | 22.9% | 16.3% | 15.3% | 26.0% | 21.4% | 12.3% | 11.1% | 12.0% | 11.2% | 8.8% | 13.9% |
| Payout Ratio | 84.1% | 84.1% | — | — | — | 629.0% | — | — | — | 49.4% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | 18.7% | — | — | — | 0.5% | — | — | — | 16.2% | — |
| FCF Yield | 31.1% | 7.4% | 26.6% | 16.0% | 18.7% | 1.5% | — | — | 8.7% | 10.8% | 938.9% |
| Buyback Yield | 1.4% | 1.2% | 0.1% | 1.2% | 1.2% | 0.0% | 0.1% | 6.9% | 0.0% | 0.0% | 1.8% |
| Total Shareholder Yield | 24.2% | 17.5% | 15.5% | 27.2% | 22.6% | 12.3% | 11.2% | 19.0% | 11.2% | 8.8% | 15.8% |
| Shares Outstanding | — | $94M | $52M | $43M | $24M | $16M | $13M | $12M | $8M | $8M | $7M |
Includes 30+ ratios · 19 years · Updated daily
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Quick answers to the most common questions about buying ARR stock.
ARMOUR Residential REIT, Inc.'s current P/E ratio is -35.0x. The historical average is 6.3x.
ARMOUR Residential REIT, Inc.'s current EV/EBITDA is 31.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 25.1x.
ARMOUR Residential REIT, Inc.'s return on equity (ROE) is 17.8%. The historical average is -1.6%.
Based on historical data, ARMOUR Residential REIT, Inc. is trading at a P/E of -35.0x. Compare with industry peers and growth rates for a complete picture.
ARMOUR Residential REIT, Inc.'s current dividend yield is 22.85% with a payout ratio of 84.1%.
ARMOUR Residential REIT, Inc. has 97.0% gross margin and 73.9% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
ARMOUR Residential REIT, Inc.'s Debt/EBITDA ratio is 18.6x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Extreme leverage amplifies repo exposure
Metrics are mathematically derived from official filings.
Deep Discount Masks Dividend Fragility
Based on reported figures, ARR trades at 0.53x price-to-book and a 22.9% dividend yield, a discount that may reflect market doubts about book value durability rather than a clear mispricing.
The 0.53x P/B ratio implies the market values ARR's $2.4B equity at roughly half of reported book, which suggests investors expect further mark-to-market erosion or dilution. P/FFO and P/AFFO are unavailable because FFO has been negative in several recent quarters, so standard REIT multiples cannot anchor valuation. The yield of 22.9% appears more a symptom of a depressed share price than an income opportunity, and investors should monitor whether it is supported by distributable earnings.
Dividend Uncovered by Negative FFO
As reported in the financial statements, ARR's most recent FFO of -$51.5M sits against $89.4M of dividend payments, leaving the distribution uncovered on the latest cash-earnings measure.
A negative FFO payout is not meaningful as a ratio, but the gap between negative distributable earnings and positive dividend outflows indicates the dividend is being funded from balance sheet resources or capital raises. The FFO payout ratio was 37.7% in 2025Q4 and 35.9% in 2025Q3, which suggests coverage has deteriorated sharply over the last two quarters. Investors should monitor whether dividends are sustained without a return to positive distributable earnings.
Repo-Funded Balance Sheet at 8x
Based on reported figures, ARR's debt-to-equity ratio of 8.24 in 2026Q3 reflects $19.4B of borrowings against $2.4B of equity, with interest coverage of -0.70 in the latest quarter.
Leverage of this magnitude means a modest percentage decline in the $22.5B asset base could consume a material share of equity, which warrants further investigation given the volatility in book value. Negative interest coverage in 2026Q3 suggests that current earnings do not cover financing costs, a condition that appears inconsistent with sustainable repo funding. The reliance on short-term repurchase agreements may indicate refinancing exposure if funding markets tighten.
NOI Margins Overstate Earnings Power
According to reported income statements, ARR's NOI margin of 95.2% in 2026Q3 contrasts with a net loss of -$323.7M, indicating that financing and mark-to-market items dominate the earnings base.
The high NOI margin is a less useful profitability signal for an agency mortgage REIT than for an equity REIT because the income stream is interest-driven and largely offset by repo costs. Return on equity swung from 9.6% in 2025Q4 to -13.1% in 2026Q3, which suggests reported earnings are highly sensitive to hedge and valuation results. Investors should focus on core earnings measures rather than headline NOI margin when assessing profitability.
Price-to-Book Misapplied to Agency Mortgage Assets
The most misapplied ratio here is the standard REIT interpretation of book value, since ARR's book is driven by mark-to-market swings in $22.5B of mortgage securities rather than depreciating physical property.
Using P/B as a bargain signal can obscure that the 0.53x multiple may simply reflect a fair price for assets whose carrying value is subject to rapid revaluation. Investors should instead examine book value per share trends, hedge effectiveness, and earnings available for distribution, which better capture the economic result. Depreciation-based adjustments common to equity REITs add little insight for this portfolio.