Head to Head Survey: Adamas Trust (NASDAQ:ADAM) versus New York Mortgage Trust (NASDAQ:NYMTM)

New York Mortgage Trust (NASDAQ:NYMTM) and Adamas Trust (NASDAQ:ADAM) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, earnings, profitability, dividends and valuation.

Dividends

New York Mortgage Trust pays an annual dividend of $1.97 per share and has a dividend yield of 7.7%. Adamas Trust pays an annual dividend of $1.08 per share and has a dividend yield of 10.9%. Adamas Trust pays out 64.3% of its earnings in the form of a dividend.

Insider and Institutional Ownership

54.9% of Adamas Trust shares are owned by institutional investors. 2.0% of Adamas Trust shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares New York Mortgage Trust and Adamas Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
New York Mortgage Trust	N/A	N/A	N/A
Adamas Trust	29.82%	14.72%	1.04%

Earnings and Valuation

This table compares New York Mortgage Trust and Adamas Trust”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
New York Mortgage Trust	$273.96 million	N/A	N/A	N/A	N/A
Adamas Trust	$601.95 million	1.48	$149.05 million	$1.68	5.92

Adamas Trust has higher revenue and earnings than New York Mortgage Trust.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for New York Mortgage Trust and Adamas Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
New York Mortgage Trust	0	0	0	0	0.00
Adamas Trust	0	4	1	1	2.50

Adamas Trust has a consensus price target of $9.50, suggesting a potential downside of 4.43%. Given Adamas Trust’s stronger consensus rating and higher probable upside, analysts clearly believe Adamas Trust is more favorable than New York Mortgage Trust.

Summary

Adamas Trust beats New York Mortgage Trust on 11 of the 12 factors compared between the two stocks.

About New York Mortgage Trust

New York Mortgage Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. Its targeted investments include residential loans, including business purpose loans; structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties; non-agency residential mortgage-backed securities (RMBS); agency RMBS; commercial mortgage-backed securities (CMBS); single-family rental properties; and other mortgage, residential housing, and credit-related assets. The company also qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. New York Mortgage Trust, Inc. was incorporated in 2003 and is headquartered in New York, New York.

About Adamas Trust

New York Mortgage Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. Its targeted investments include residential loans, second mortgages, and business purpose loans; structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties, as well as joint venture equity investments in multi-family properties; non-agency residential mortgage-backed securities (RMBS); agency RMBS; commercial mortgage-backed securities (CMBS); and other mortgage, residential housing, and credit-related assets. The company qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was incorporated in 2003 and is headquartered in New York, New York.