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ACRE vs ILPT

ACRE
Ares Commercial Real Estate Corporation
BEARISH
Price
$4.85
Market Cap
$266.9M
Sector
Real Estate
AI Confidence
85%
ILPT
Industrial Logistics Properties Trust
BEARISH
Price
$5.54
Market Cap
$369.3M
Sector
Real Estate
AI Confidence
85%

Valuation

P/E Ratio
ACRE
--
ILPT
--
Forward P/E
ACRE
33.21
ILPT
-6.3
P/B Ratio
ACRE
0.51
ILPT
0.75
P/S Ratio
ACRE
3.04
ILPT
0.82
EV/EBITDA
ACRE
--
ILPT
15.88

Profitability

Gross Margin
ACRE
100.0%
ILPT
86.26%
Operating Margin
ACRE
38.63%
ILPT
33.71%
Profit Margin
ACRE
-8.77%
ILPT
-14.75%
ROE
ACRE
-1.42%
ILPT
-10.74%
ROA
ACRE
-0.46%
ILPT
1.75%

Growth

Revenue Growth
ACRE
77.3%
ILPT
3.1%
Earnings Growth
ACRE
--
ILPT
--

Financial Health

Debt/Equity
ACRE
1.55
ILPT
4.66
Current Ratio
ACRE
22.97
ILPT
0.22
Quick Ratio
ACRE
22.25
ILPT
0.16

Dividends

Dividend Yield
ACRE
12.35%
ILPT
3.61%
Payout Ratio
ACRE
2266.67%
ILPT
92.31%

AI Verdict

ACRE BEARISH

ACRE exhibits severe financial distress with a Piotroski F-Score of 2/9, indicating weak fundamental health. Despite a low Price/Book of 0.51 and a high dividend yield of 12.35%, the company reports negative profit margins (-8.77%) and ROE (-1.42%), with an unsustainable payout ratio of 2,266.67%. Revenue growth is strong at 77.30% YoY, but earnings volatility is extreme, including massive negative surprises, while insider selling and a bearish technical trend reinforce caution. Analysts concur with a 'hold' rating and a target price below current levels, suggesting limited upside.

Strengths
High year-over-year revenue growth (77.30%) indicating strong top-line expansion
Attractive dividend yield of 12.35% offering high income potential
Low Price/Book ratio of 0.51 suggesting possible undervaluation relative to book value
Risks
Critically low Piotroski F-Score of 2/9 signaling severe financial weakness
Extremely high payout ratio (2,266.67%) indicating dividend is not sustainable from earnings
Negative net income and profit margin (-8.77%) despite revenue growth
ILPT BEARISH

ILPT exhibits severe fundamental weakness, highlighted by a Piotroski F-Score of 2/9, indicating poor financial health. The company is facing a critical liquidity crisis with a current ratio of 0.22 and an alarmingly high Debt/Equity ratio of 4.66. While the stock trades at a discount to book value (P/B 0.75) and has seen a recent 1-year price surge, the negative profit margins and unsustainable dividend payout ratio (92.31%) suggest a value trap. The disconnect between the technical recovery and the deteriorating balance sheet poses a significant risk to investors.

Strengths
Trading below book value (P/B 0.75)
Strong gross margin (86.26%) and operating margin (33.71%)
Significant 1-year price appreciation (+109.3%)
Risks
Severe liquidity risk (Current Ratio 0.22, Quick Ratio 0.16)
Excessive leverage (Debt/Equity 4.66)
Negative net profit margins (-14.75%) and negative ROE

Compare Another Pair

ACRE vs ILPT: Head-to-Head Comparison

This page compares Ares Commercial Real Estate Corporation (ACRE) and Industrial Logistics Properties Trust (ILPT) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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