Contrasting Lument Finance Trust (NYSE:LFT) & New York Mortgage Trust (NASDAQ:NYMTN)

New York Mortgage Trust (NASDAQ:NYMTN) and Lument Finance Trust (NYSE:LFT) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, dividends, profitability, analyst recommendations, valuation, risk and institutional ownership.

Profitability

This table compares New York Mortgage Trust and Lument Finance 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
Lument Finance Trust	-18.00%	0.84%	0.12%

Valuation & Earnings

This table compares New York Mortgage Trust and Lument Finance Trust”s gross revenue, earnings per share 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
Lument Finance Trust	$79.00 million	0.43	-$2.74 million	($0.36)	-1.82

New York Mortgage Trust has higher revenue and earnings than Lument Finance Trust.

Dividends

New York Mortgage Trust pays an annual dividend of $2.00 per share and has a dividend yield of 8.1%. Lument Finance Trust pays an annual dividend of $0.16 per share and has a dividend yield of 24.4%. Lument Finance Trust pays out -44.4% of its earnings in the form of a dividend. Lument Finance Trust has increased its dividend for 2 consecutive years. Lument Finance Trust is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Insider & Institutional Ownership

19.5% of Lument Finance Trust shares are owned by institutional investors. 3.3% of Lument Finance Trust shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent recommendations and price targets for New York Mortgage Trust and Lument Finance Trust, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
New York Mortgage Trust	0	0	0	0	0.00
Lument Finance Trust	1	0	0	0	1.00

Summary

Lument Finance Trust beats New York Mortgage Trust on 8 of the 10 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 Lument Finance Trust

Lument Finance Trust, Inc., a real estate investment trust, focuses on investing in, financing, and managing a portfolio of commercial real estate (CRE) debt investments in the United States. The company primarily invests in transitional floating rate CRE mortgage loans on middle market multi-family assets; and other CRE -related investments, including mezzanine loans, preferred equity, commercial mortgage-backed securities, fixed rate loans, construction loans, and other CRE debt instruments. Lument Finance Trust, Inc. is qualified as a real estate investment trust (REIT) under the Internal Revenue Code of 1986. As a REIT, it would not be subject to federal income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was formerly known as Hunt Companies Finance Trust, Inc. and changed its name to Lument Finance Trust, Inc. in December 2020. Lument Finance Trust, Inc. was incorporated in 2012 and is headquartered in New York, New York.