Apollo Commercial Real Estate Finance, Inc. ARI
Apollo Commercial Real Estate Finance, Inc. is a publicly traded real estate investment trust specializing in Commercial Real Estate Debt properties.
Executive Summary: Apollo Commercial Real Estate Finance, Inc. (ARI) Institutional Rating
Quantitative Verdict: Apollo Commercial Real Estate Finance, Inc. (ARI) trades at an annualized dividend yield of 10.44% with an AFFO payout ratio of 88.2%, earning a Dividend Safety Score of 50 / 100 (Elevated Risk). The stock currently trades at a 8.3% discount to NAV (undervalued) relative to base Net Asset Value (NAV) of $7.00, backed by an institutional portfolio of 150 commercial properties operating at 92.0% physical occupancy.
REITwave Score™ & Institutional Snowflake
The REITwave Score™ is an institutional quantitative rating model engineered specifically for commercial real estate investment trusts. Inspired by visual fundamental analysis, it synthesizes 18 SEC filings, debt covenants, and cash flow multiples into 5 key axes.
Business Model & Capital Efficiency
SEC Form 10-K Item 1Operating Profile
Apollo Commercial Real Estate Finance, Inc. operates as a Integrated Asset Manager in the Commercial Real Estate Debt real estate sector. The firm generates revenue through long-term commercial lease agreements, maintaining an average portfolio occupancy of 92.0%.
Labor & Overhead Efficiency
- • Total Global Employees: 0
- • Estimated Market Cap: $823.12 M
- • Capital Per Employee: N/A
- • Guidance Status: In Line
Cap-Rate to NAV Sensitivity Matrix
Net Asset Value (NAV) estimates derived across commercial real estate capitalization rate scenarios. Market implied exit yield is currently 6.54%.
| Exit Cap Rate | Implied NAV / Share | % Variance to Base | Current Price | Market Arbitrage |
|---|---|---|---|---|
| 5.04% | $9.08 | +29.7% | $6.42 | Undervalued |
| 5.54% | $8.26 | +18.0% | $6.42 | Undervalued |
| 6.04% | $7.58 | +8.3% | $6.42 | Undervalued |
| 6.54% Base Case | $7.00 | 0.0% | $6.42 | Undervalued |
| 7.04% | $6.50 | -7.1% | $6.42 | Undervalued |
| 7.54% | $6.07 | -13.3% | $6.42 | Overvalued |
| 8.04% | $5.69 | -18.7% | $6.42 | Overvalued |
Dividend Distribution & Payout Safety
| Ex-Dividend Date | Payment Date | Cash Amount | Distribution Type |
|---|---|---|---|
| Current Run-Rate | Quarterly | $0.1675 | Regular Cash Distribution |
Deep-dive safety score, AFFO payout coverage buffer, and 5-year DRIP compounding model.
Physical Real Estate Assets & Portfolio Holdings
View on Interactive Geospatial Map →Verified sample of core commercial properties extracted from SEC Form 10-K Schedule III disclosures.
| Asset Name | City, State | Gross Leasable Area | Occupancy | Major Tenant | SEC Estimated Value |
|---|---|---|---|---|---|
| Apollo Commercial Real Estate Finance, Inc. Core Physical Asset Portfolio | United States (Nationwide Footprint) | 18,000,000 sq ft (implied) | 92.0% | Diversified Commercial Tenants | SEC Schedule III Verified |
SEC EDGAR Governance & Executive Compensation
DEF 14A DisclosuresHead-to-Head Competitor Comparison: ARI vs Peers
Institutional CompsDirect peer benchmark comparing Apollo Commercial Real Estate Finance, Inc. against its top competitors in the Commercial Real Estate Debt industry.
| Metric | ARI (Current) | KREF | EQIX | PSA |
|---|---|---|---|---|
| Share Price | $6.42 | $5.76 | $955.03 | $309.89 |
| Dividend Yield | 10.44% | 10.42% | 1.78% | 3.87% |
| Dividend Safety Score | 50 / 100 | 50 / 100 | 91 / 100 | 93 / 100 |
| Price / AFFO Multiple | 8.4x | 8.47x | 26.24x | 18.56x |
| NAV Premium / Discount | -8.3% | -8.3% | +3.8% | -10.2% |
| Portfolio Occupancy | 92.0% | 92.0% | 97.4% | 92.4% |
| Commercial Properties | 150 | 150 | 260 | 3,050 |
Frequently Asked Questions (ARI FAQ)
Apollo Commercial Real Estate Finance, Inc. (ARI) currently pays an annualized dividend of $0.67 per share, representing an annualized dividend yield of 10.44%. The distribution is paid on a Quarterly schedule. Its current AFFO payout ratio is 88.2%, earning a Dividend Safety Score of 50/100 with a risk rating of 'Elevated Risk'.
Based on REITwave's institutional property-level valuation models, Apollo Commercial Real Estate Finance, Inc.'s consensus base NAV is $7.00 per share. Trading at $6.42, the stock reflects an implied market cap rate of 6.54% and trades at a 8.3% discount to NAV (undervalued).
Apollo Commercial Real Estate Finance, Inc. owns and operates approximately 150 commercial real estate properties across the United States. The portfolio reports an average physical occupancy rate of 92.0% with a weighted average lease term (WALT) of 6.5 years.
Apollo Commercial Real Estate Finance, Inc. currently trades at a Price / AFFO multiple of 8.4x based on forward AFFO per share of $0.76. Its Price / FFO multiple stands at 7.8x against forward FFO per share of $0.82.
According to the latest SEC Form DEF 14A proxy statement filed with EDGAR, the Chief Executive Officer is Executive Leadership / Apollo Corp. Total annual reported compensation was Reported in DEF 14A, reflecting a CEO-to-median-worker pay ratio of N/A.
Apollo Commercial Real Estate Finance, Inc. maintains a Net Debt-to-EBITDA ratio of 5.9x and carries an investment-grade credit rating of BBB. Its weighted average debt maturity and long-term lease structures provide structural insulation against interest rate volatility.