Latest news with #ApolloCommercialRealEstateFinance
Yahoo
28-07-2025
- Business
- Yahoo
Apollo Commercial Real Estate Finance (ARI) To Report Earnings Tomorrow: Here Is What To Expect
Commercial real estate REIT Apollo Commercial Real Estate Finance (NYSE:ARI) will be reporting earnings this Tuesday after market hours. Here's what to look for. Apollo Commercial Real Estate Finance beat analysts' revenue expectations by 5% last quarter, reporting revenues of $65.82 million, down 18.3% year on year. It was a very strong quarter for the company, with a decent beat of analysts' EPS estimates. Is Apollo Commercial Real Estate Finance a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Apollo Commercial Real Estate Finance's revenue to decline 9.9% year on year to $73.11 million, improving from the 12% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.25 per share. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Apollo Commercial Real Estate Finance has only missed Wall Street's revenue estimates once over the last two years, exceeding top-line expectations by 5.7% on average. Looking at Apollo Commercial Real Estate Finance's peers in the thrifts & mortgage finance segment, some have already reported their Q2 results, giving us a hint as to what we can expect. PennyMac Financial Services's revenues decreased 7.1% year on year, missing analysts' expectations by 19.8%, and Ladder Capital reported a revenue decline of 21.4%, in line with consensus estimates. PennyMac Financial Services traded down 7.5% following the results while Ladder Capital's stock price was unchanged. Read our full analysis of PennyMac Financial Services's results here and Ladder Capital's results here. There has been positive sentiment among investors in the thrifts & mortgage finance segment, with share prices up 4.3% on average over the last month. Apollo Commercial Real Estate Finance is up 2.5% during the same time and is heading into earnings with an average analyst price target of $10.35 (compared to the current share price of $9.92). Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.
Yahoo
24-06-2025
- Business
- Yahoo
ARI Q1 Deep Dive: Loan Portfolio Expansion and Asset Resolution in Volatile Market
Commercial real estate REIT Apollo Commercial Real Estate Finance (NYSE:ARI) reported Q1 CY2025 results exceeding the market's revenue expectations , but sales fell by 18.3% year on year to $65.82 million. Its non-GAAP profit of $0.24 per share was 8.8% above analysts' consensus estimates. Is now the time to buy ARI? Find out in our full research report (it's free). Revenue: $65.82 million vs analyst estimates of $62.68 million (18.3% year-on-year decline, 5% beat) Adjusted EPS: $0.24 vs analyst estimates of $0.22 (8.8% beat) Market Capitalization: $1.37 billion Apollo Commercial Real Estate Finance's first quarter reflected a year of transition for the commercial real estate market. Despite an 18.3% decline in sales compared to the prior year, the company surpassed Wall Street's revenue and non-GAAP profit expectations. Management attributed the quarter's performance to robust loan origination activity, with $650 million in new loans primarily focused on U.S. residential properties and data centers, while emphasizing the importance of proactive asset management and asset resolutions to drive portfolio returns. CEO Stuart Rothstein noted, 'the recent volatility has led to modest spread widening and a more cautious tone in the market.' Looking ahead, management framed the outlook as dependent on both market recovery and successful redeployment of capital from resolved assets. The company expects distributable earnings to improve as capital is recycled into higher-yielding loans, and highlighted strong secular demand for residential and data center properties. CFO Anastasia Mironova stated that 'Q1 results represent a trough,' with expectations that future earnings will meet or exceed the current quarterly dividend run rate. Management emphasized continued caution around macroeconomic headwinds, particularly the risk of a recession and construction cost inflation due to tariffs. Management pointed to new loan originations, asset sales progress, and a balanced U.S.-Europe portfolio as central to first quarter results and ongoing strategy. Loan origination momentum: The company closed $650 million in new loans during the quarter, mostly secured by residential properties and a data center, reflecting continued demand in these segments despite market caution. Active asset management: ARI reported progress on resolving focus assets, including notable sales at 111 West 57th Street, which helped reduce exposure and is expected to further free up capital for reinvestment as more units close. Portfolio growth and mix: The loan portfolio grew to $7.7 billion, with a stable risk profile. Management highlighted a diverse mix across U.S. and European markets, allowing flexibility to shift capital in response to regional market dynamics. Secured borrowing expansion: The company increased its secured borrowing capacity, extending and upsizing facilities with key lenders and adding new counterparties, which management views as critical for maintaining liquidity and supporting future loan growth. Focus on yield and risk: The weighted average yield remained at 7.9%, with management reiterating disciplined underwriting and a cautious approach to new investments, especially as macroeconomic risks remain elevated. Looking forward, ARI's performance will hinge on successful asset resolutions, capital redeployment, and managing macroeconomic headwinds such as recession risk and construction cost inflation. Capital recycling and asset sales: Management expects repayment and resolution of focus assets, notably 111 West 57th Street and Liberty Center, to provide capital for new higher-yielding investments. Timely asset sales are key to supporting loan growth and earnings. Macro and market volatility: The outlook is tempered by uncertainty around potential recession impacts, particularly on hospitality and office assets, and higher construction costs due to tariffs. Management is monitoring these risks and adjusting asset allocation accordingly. Loan origination pipeline: The forward pipeline includes both U.S. and European deals, with management emphasizing flexibility to shift focus depending on where opportunities arise and credit conditions remain favorable. The company aims to sustain strong origination momentum while maintaining portfolio quality. In the quarters ahead, our analysts will focus on (1) progress in asset resolutions and repayments, especially at 111 West 57th Street and Liberty Center; (2) the pace and mix of new loan originations across the U.S. and Europe; and (3) the company's ability to maintain portfolio quality and yields amidst ongoing macro volatility. Managing construction cost inflation and securing favorable borrowing terms will also be important signposts for ARI's execution. Apollo Commercial Real Estate Finance currently trades at $9.92, up from $9.08 just before the earnings. Is there an opportunity in the stock?The answer lies in our full research report (it's free). The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. 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Yahoo
10-06-2025
- Business
- Yahoo
Apollo Commercial Real Estate Finance, Inc. Declares Quarterly Common Stock Dividend
NEW YORK, June 10, 2025 (GLOBE NEWSWIRE) -- Apollo Commercial Real Estate Finance, Inc. (the 'Company') (NYSE:ARI) today announced the Board of Directors declared a dividend of $0.25 per share of common stock, which is payable on July 15, 2025 to common stockholders of record on June 30, 2025. About Apollo Commercial Real Estate Finance, Inc. Apollo Commercial Real Estate Finance, Inc. (NYSE: ARI) is a real estate investment trust that primarily originates, acquires, invests in and manages performing commercial first mortgage loans, subordinate financings and other commercial real estate-related debt investments. The Company is externally managed and advised by ACREFI Management, LLC, a Delaware limited liability company and an indirect subsidiary of Apollo Global Management, Inc., a high-growth, global alternative asset manager with approximately $785 billion of assets under management as of March 31, 2025. Additional information can be found on the Company's website at Please note that our URL address has changed. Forward-Looking StatementsCertain statements contained in this press release constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. Forward-looking statements are subject to substantial risks and uncertainties, many of which are difficult to predict and are generally beyond the Company's control. These forward-looking statements include information about possible or assumed future results of the Company's business, financial condition, liquidity, results of operations, plans and objectives. When used in this release, the words believe, expect, anticipate, estimate, plan, continue, intend, should, may or similar expressions, are intended to identify forward-looking statements. Statements regarding the following subjects, among others, may be forward-looking: higher interest rates and inflation; market trends in the Company's industry, real estate values, the debt securities markets or the general economy; the timing and amounts of expected future fundings of unfunded commitments; the return on equity; the yield on investments; the ability to borrow to finance assets; the Company's ability to deploy the proceeds of its capital raises or acquire its target assets; and risks associated with investing in real estate assets, including changes in business conditions and the general economy. For a further list and description of such risks and uncertainties, see the reports filed by the Company with the Securities and Exchange Commission. The forward-looking statements, and other risks, uncertainties and factors are based on the Company's beliefs, assumptions and expectations of its future performance, taking into account all information currently available to the Company. Forward-looking statements are not predictions of future events. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. CONTACT: Hilary GinsbergInvestor Relations(212) 822-0767Sign in to access your portfolio
