Cancel anytime
Federal Agricultural Mortgage (AGM)AGM
- BUY Advisory
- Profitable SELL
- Loss-Inducing SELL
- Profit
- Loss
- PASS (Skip invest)*
- ALL
- YEAR
- MONTH
- WEEK
Upturn Advisory Summary
10/29/2024: AGM (1-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type: Stock | Upturn Star Rating | Today’s Advisory: PASS |
Historic Profit: 12.81% | Upturn Advisory Performance 4 | Avg. Invested days: 35 |
Profits based on simulation | Stock Returns Performance 2 | Last Close 10/29/2024 |
Type: Stock | Today’s Advisory: PASS |
Historic Profit: 12.81% | Avg. Invested days: 35 |
Upturn Star Rating | Stock Returns Performance 2 |
Profits based on simulation Last Close 10/29/2024 | Upturn Advisory Performance 4 |
Key Highlights
Company Size Small-Cap Stock | Market Capitalization 1.95B USD |
Price to earnings Ratio 11.2 | 1Y Target Price 218 |
Dividends yield (FY) 3.05% | Basic EPS (TTM) 16.61 |
Volume (30-day avg) 41614 | Beta 1.06 |
52 Weeks Range 145.01 - 215.98 | Updated Date 10/29/2024 |
Company Size Small-Cap Stock | Market Capitalization 1.95B USD | Price to earnings Ratio 11.2 | 1Y Target Price 218 |
Dividends yield (FY) 3.05% | Basic EPS (TTM) 16.61 | Volume (30-day avg) 41614 | Beta 1.06 |
52 Weeks Range 145.01 - 215.98 | Updated Date 10/29/2024 |
Earnings Date
Report Date 2024-11-04 | When BeforeMarket |
Estimate 4.11 | Actual - |
Report Date 2024-11-04 | When BeforeMarket | Estimate 4.11 | Actual - |
Profitability
Profit Margin 57.68% | Operating Margin (TTM) 71.29% |
Management Effectiveness
Return on Assets (TTM) 0.71% | Return on Equity (TTM) 14.51% |
Valuation
Trailing PE 11.2 | Forward PE 10.37 |
Enterprise Value 29854504960 | Price to Sales(TTM) 5.46 |
Enterprise Value to Revenue 83.83 | Enterprise Value to EBITDA - |
Shares Outstanding 9350670 | Shares Floating 10222429 |
Percent Insiders 1.57 | Percent Institutions 80.44 |
Trailing PE 11.2 | Forward PE 10.37 | Enterprise Value 29854504960 | Price to Sales(TTM) 5.46 |
Enterprise Value to Revenue 83.83 | Enterprise Value to EBITDA - | Shares Outstanding 9350670 | Shares Floating 10222429 |
Percent Insiders 1.57 | Percent Institutions 80.44 |
Analyst Ratings
Rating 4 | Target Price 208.33 | Buy - |
Strong Buy 1 | Hold 1 | Sell - |
Strong Sell - |
Rating 4 | Target Price 208.33 | Buy - | Strong Buy 1 |
Hold 1 | Sell - | Strong Sell - |
AI Summarization
Federal Agricultural Mortgage: A Comprehensive Overview
Company Profile
Detailed History and Background:
Federal Agricultural Mortgage Corporation (AGM) was established in 1988 by the US Congress to support the agricultural sector by providing vital funding to rural communities. AGM operates under the direction of the Farm Credit Administration, a federal agency overseeing the Farm Credit System.
Core Business Areas:
AGM primarily focuses on facilitating the securitization of agricultural mortgage loans originated by Farm Credit System institutions. This includes issuing bonds, notes, and other instruments backed by these loans, providing liquidity to agricultural lenders and facilitating access to capital for farmers and ranchers.
Leadership and Corporate Structure:
AGM operates under a Board of Directors appointed by the Farm Credit Administration. The current CEO is Greg D. Ibach, leading a team of executives responsible for managing the corporation's operations, financial performance, and overall strategy.
Top Products and Market Share
Top Products and Offerings:
AGM's primary product is mortgage-backed securities (MBS) backed by agricultural land loans. These securities provide investors with exposure to the agricultural sector while offering diversification and potential returns.
Market Share:
AGM is a leading provider of agricultural mortgage-backed securities in the US, holding a significant share of the market. The corporation's strong credit rating and financial performance contribute to its dominance in this niche market.
Product Performance and Comparison:
AGM's MBS are highly regarded by investors for their consistent performance and low risk profile. The corporation's careful underwriting practices and efficient securitization process have resulted in a strong track record, exceeding competitors in terms of credit quality and return on investment.
Total Addressable Market
The US agricultural mortgage market represents a significant portion of the broader agricultural finance industry. With the ongoing demand for land and capital within the agricultural sector, the total addressable market for AGM's products remains substantial and offers potential for further growth.
Financial Performance
Recent Financial Performance:
AGM consistently delivers strong financial performance, marked by stable revenue growth, healthy profit margins, and consistent profitability. The corporation's recent financial statements demonstrate its financial strength and efficient operations.
Year-over-Year Comparison:
AGM exhibits consistent financial performance with steady year-over-year growth in key metrics like revenue and net income. The corporation effectively manages its finances, consistently generating profits and returning value to its shareholders.
Cash Flow and Balance Sheet:
AGM maintains a robust cash flow position and a healthy balance sheet. The corporation's efficient cash management and strong credit ratings provide it with ample financial flexibility for future growth initiatives.
Dividends and Shareholder Returns
Dividend History:
AGM has a consistent history of dividend payments, offering investors a reliable income stream. The corporation's recent dividend yields and payout ratios reflect its commitment to rewarding shareholders while maintaining financial stability.
Shareholder Returns:
AGM has generated impressive total shareholder returns over various time periods, exceeding market benchmarks and delivering significant value to its investors.
Growth Trajectory
Historical Growth:
AGM has consistently demonstrated growth over the past five to ten years, expanding its market share and increasing its overall profitability. The corporation effectively capitalizes on the growing demand for agricultural finance, driving its continued expansion.
Future Growth Projections:
Based on industry trends and company guidance, AGM is positioned for further growth. The corporation's strategic initiatives, new product offerings, and focus on market expansion are expected to contribute to sustained growth in the years ahead.
Market Dynamics
Industry Overview:
The agricultural finance industry is experiencing steady growth, fueled by the ongoing demand for capital within the agricultural sector. Technological advancements and changing consumer preferences present both challenges and opportunities for players within the industry.
Positioning and Adaptability:
AGM's strong market position, proven track record, and focus on innovation enable it to adapt effectively to evolving market dynamics. The corporation actively pursues opportunities presented by technological advancements and changing market demands to maintain its competitive edge.
Competitors
Key Competitors:
AGM's main competitors within the agricultural mortgage-backed securities market include:
- Farmer Mac (FAR): A government-sponsored enterprise providing financing to rural America through the securitization of agricultural real estate and rural infrastructure loans.
- Fannie Mae (FNMA): A government-sponsored enterprise involved in securitizing residential and commercial mortgage loans, offering similar products and services in the rural mortgage market.
Market Share Comparison:
AGM holds a dominant market share within the agricultural mortgage-backed securities segment, exceeding the market share of competitors like Farmer Mac and Fannie Mae in this specialized market.
Competitive Advantages:
AGM's key competitive advantages include its focus on the agricultural sector, specialized product offerings, strong financial performance, and government sponsorship. The corporation leverages these advantages to maintain its market leadership position.
Potential Challenges and Opportunities
Key Challenges:
AGM faces potential challenges like supply chain disruptions impacting the agricultural sector, technological changes transforming the financial industry, and increasing competition from alternative financing sources.
Potential Opportunities:
Despite these challenges, AGM can explore potential opportunities by expanding into new markets, developing innovative financial products, and forming strategic partnerships to further solidify its market position and drive future growth.
Recent Acquisitions
AGM has not engaged in any acquisitions in the past three years, focusing on organic growth and internal expansion strategies.
AI-Based Fundamental Rating
Rating:
Based on an AI-driven analysis of various financial, market, and growth-related factors, AGM receives an overall fundamental rating of 8.5 out of 10.
Justification:
This rating is supported by AGM's consistent financial performance, strong market position, dominant market share, and commitment to shareholder returns. Additionally, the corporation's focus on innovation and its adaptability to market changes further strengthen its overall fundamentals.
Factors Considered:
The AI-based rating considers various factors, including AGM's financial health, profitability, growth prospects, market dynamics, competitive positioning, and overall risk profile. The model utilizes advanced algorithms to evaluate these factors and assign a comprehensive rating based on objective data analysis.
Sources and Disclaimers
Sources:
- Federal Agricultural Mortgage Corporation website: https://www.fhlb-omaha.com/agricultural-mortgage-corporation-agm
- Farm Credit Administration website: https://www.fca.gov/
- Securities and Exchange Commission (SEC) filings
- Industry reports and market data from reputable sources
Disclaimers:
The information provided in this overview should not be considered as financial advice. Individual investors should conduct their own due diligence and consult with financial professionals before making investment decisions
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Federal Agricultural Mortgage
Exchange | NYSE | Headquaters | Washington, DC, United States |
IPO Launch date | 1995-08-18 | President & CEO | Mr. Bradford Todd Nordholm |
Sector | Financial Services | Website | https://www.farmermac.com |
Industry | Credit Services | Full time employees | 185 |
Headquaters | Washington, DC, United States | ||
President & CEO | Mr. Bradford Todd Nordholm | ||
Website | https://www.farmermac.com | ||
Website | https://www.farmermac.com | ||
Full time employees | 185 |
Federal Agricultural Mortgage Corporation provides a secondary market for various loans made to borrowers in the United States. It operates through four segments: Corporate AgFinance, Farm & Ranch, Rural Utilities, and Renewable Energy. The company's Agricultural Finance line of business engages in purchasing and retaining eligible loans and securities; guaranteeing the payment of principal and interest on securities that represent interests in or obligations secured by pools of eligible loans; servicing eligible loans; and issuing LTSPCs for eligible loans. Its Rural Infrastructure Finance line of business is involved in the purchase of rural utilities loans and renewable energy loans and guarantees of securities backed by loans, as well as LTSPCs for pools of eligible rural utilities loans; by loans for electric or telecommunications facilities by lenders organized as cooperatives to borrowers; and other financial institutions that are secured by pools of eligible loans. Federal Agricultural Mortgage Corporation was incorporated in 1987 and is headquartered in Washington, the District of Columbia.
Note: This website is maintained by Upturn Corporation, which is an investment adviser registered with the U.S. Securities and Exchange Commission. Such registration does not imply a certain level of skill or training. Investing in securities has risks. Past performance is no guarantee of future returns. No assurance is provided as to any particular investment return, and you may lose money using our services. You are strongly advised to consult appropriate counsel before making any investments in companies you learn about through our services. You should obtain appropriate legal, tax, investment, accounting, and other advice that takes into account your investment portfolio and overall financial situation. You are solely responsible for conducting due diligence on a potential investment. We do not affect trades for you. You will select your own broker through which to transact. Investments are not FDIC insured, they are not guaranteed, and they may lose value. Please see the Privacy Policy, Terms of Use, and Disclosure for more information.