Latest Ratios: P/E Ratio 5.1x · EV/EBITDA 20.7x · ROE 17.8%. (2007–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $2.1B | $1.7B | $984M | $832M | $664M | $788M | $681M | $1.0B | $864M | $1.0B | $796M |
| Enterprise Value | $20.0B | $19.5B | $916M | $610M | $577M | $450M | $5.0B | $12.1B | $7.7B | $8.3B | $7.3B |
| P/E Ratio → | 5.15 | 5.36 | — | — | — | 204.38 | — | — | — | 6.17 | — |
| P/S Ratio | 1.61 | 1.28 | 4.10 | 1.85 | — | 160.99 | — | 4.85 | 24.01 | 3.74 | — |
| P/B Ratio | 0.71 | 0.74 | 0.72 | 0.65 | 0.60 | 0.69 | 0.73 | 0.72 | 0.11 | 0.12 | 0.11 |
| P/FCF | 16.96 | 13.43 | 3.76 | 6.26 | 5.35 | 67.12 | — | — | 11.48 | 9.26 | 0.11 |
| P/OCF | 16.96 | 13.43 | 3.76 | 6.26 | 5.35 | 67.12 | — | — | 11.48 | 9.26 | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 14.97 | 3.82 | 1.36 | — | 92.00 | — | 56.90 | 213.48 | 30.52 | — |
| EV / EBITDA | 20.67 | 20.22 | 1.80 | 1.33 | — | 6.38 | — | 316.12 | 89.95 | 35.99 | 183.21 |
| EV / EBIT | 20.71 | 20.26 | 1.80 | 1.33 | — | 20.03 | — | 316.12 | 159.12 | 30.14 | 266.14 |
| EV / FCF | — | 157.37 | 3.50 | 4.59 | 4.65 | 38.36 | — | — | 102.09 | 75.49 | 0.98 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 97.0% | 97.0% | 86.2% | 93.0% | 103.0% | -359.9% | 109.7% | 86.1% | 24.3% | 90.2% | 118.5% |
| Operating Margin | 73.9% | 73.9% | 212.5% | 101.8% | 12.0% | 459.2% | 70.9% | 18.0% | 134.2% | 66.5% | 32.3% |
| Net Profit Margin | 24.7% | 24.7% | -6.0% | -15.1% | 26.2% | 313.9% | 100.9% | -117.4% | -294.6% | 66.5% | 32.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.8% | 17.8% | -1.1% | -5.7% | -20.4% | 1.5% | -18.1% | -5.3% | -1.3% | 2.2% | -1.0% |
| ROA | 1.9% | 1.9% | -0.1% | -0.6% | -3.1% | 0.3% | -2.3% | -2.3% | -1.2% | 2.1% | -0.4% |
| ROIC | 6.8% | 6.8% | 32.6% | 33.1% | -8.6% | 0.6% | -1.3% | 0.2% | 0.2% | 0.9% | -0.3% |
| ROCE | 31.5% | 31.5% | 3.9% | 4.2% | -1.4% | 0.4% | -12.1% | 0.8% | 0.6% | 2.1% | -0.4% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 7.94 | 7.94 | — | — | — | — | 4.83 | 7.90 | 0.89 | 0.88 | 0.90 |
| Debt / EBITDA | 18.56 | 18.56 | — | — | — | — | — | 296.28 | 82.43 | 32.72 | 170.13 |
| Net Debt / Equity | — | 7.91 | -0.05 | -0.17 | -0.08 | -0.30 | 4.65 | 7.71 | 0.86 | 0.85 | 0.87 |
| Net Debt / EBITDA | 18.49 | 18.49 | -0.13 | -0.48 | — | -4.78 | — | 289.15 | 79.84 | 31.58 | 163.34 |
| Debt / FCF | — | 143.95 | -0.26 | -1.67 | -0.70 | -28.77 | — | — | 90.61 | 66.23 | 0.88 |
| Interest Coverage | 1.50 | 1.50 | 0.97 | 0.87 | -0.90 | 3.16 | -2.42 | 0.13 | 0.31 | 2.92 | 0.38 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.01 | 0.01 | — | — | — | — | — | — | 525.81 | 825.51 | 478.50 |
| Quick Ratio | 0.01 | 0.01 | — | — | — | — | — | — | 549.74 | 832.35 | 452.49 |
| Cash Ratio | 0.00 | 0.00 | — | — | — | — | 0.04 | 0.02 | 524.19 | 823.15 | 477.20 |
| Asset Turnover | — | 0.06 | 0.02 | 0.04 | -0.09 | 0.00 | -0.04 | 0.02 | 0.00 | 0.03 | -0.02 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | 0.07 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 17.0% | 16.3% | 15.3% | 26.0% | 21.4% | 12.3% | 11.1% | 12.0% | 11.2% | 8.8% | 13.9% |
| Payout Ratio | 84.1% | 84.1% | — | — | — | 629.0% | — | — | — | 49.4% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 19.4% | 18.7% | — | — | — | 0.5% | — | — | — | 16.2% | — |
| FCF Yield | 5.9% | 7.4% | 26.6% | 16.0% | 18.7% | 1.5% | — | — | 8.7% | 10.8% | 938.9% |
| Buyback Yield | 0.9% | 1.2% | 0.1% | 1.2% | 1.2% | 0.0% | 0.1% | 6.9% | 0.0% | 0.0% | 1.8% |
| Total Shareholder Yield | 17.9% | 17.5% | 15.5% | 27.2% | 22.6% | 12.3% | 11.2% | 19.0% | 11.2% | 8.8% | 15.8% |
| Shares Outstanding | — | $94M | $52M | $43M | $24M | $16M | $13M | $12M | $8M | $8M | $7M |
High leverage margin calls
As reported in recent financial statements, ARR trades at a price-to-book ratio of 0.72, which, when compared to the broader mREIT sector, suggests that investors are pricing in significant concerns regarding the company's ability to preserve equity value amidst ongoing portfolio volatility and interest rate uncertainty.
The persistent discount to book value indicates that the market remains skeptical of the company's long-term ability to generate returns that exceed its cost of capital. This valuation gap appears to be a direct consequence of historical book value erosion and the inherent risks associated with the company's highly leveraged interest-spread business model.
Based on the company's reported figures, the NOI margin fell to 78.2% in 2026Q1, a sharp decline from the 97.1% observed in 2025Q4, which highlights the increasing difficulty in maintaining profitable interest spreads as financing costs rise relative to the yield on the underlying mortgage-backed securities.
The volatility in NOI margins suggests that the company's profitability is highly sensitive to fluctuations in short-term repo rates. Investors should monitor whether this margin compression is a temporary byproduct of yield curve dynamics or a more permanent shift that threatens the company's core earnings power.
According to recent SEC filings, ARR maintains a debt-to-equity ratio of 7.90x, a level of leverage that, as noted in financial disclosures, leaves the company exceptionally exposed to margin calls and forced asset liquidations during periods of heightened volatility in the mortgage-backed securities market.
This elevated leverage profile significantly magnifies the impact of even minor asset price declines on the company's tangible book value. The reliance on such high debt levels necessitates a near-perfect hedging strategy, which may be difficult to maintain given the current interest rate environment.
As indicated by industry analysis, the use of standard P/E ratios for ARR is fundamentally misleading because GAAP net income frequently includes volatile, non-cash mark-to-market adjustments on derivative hedges that obscure the company's actual ability to generate recurring cash flow for dividend distributions.
Analysts should instead prioritize Earnings Available for Distribution (EAD) or Core Earnings to better assess the sustainability of the dividend. Relying on P/E ratios ignores the reality that mREITs are essentially financial vehicles where accounting earnings are often decoupled from the economic reality of the interest-spread business.
Includes 30+ ratios · 19 years · Updated daily
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Quick answers to the most common questions about buying ARR stock.
ARMOUR Residential REIT, Inc.'s current P/E ratio is 5.1x. The historical average is 6.3x.
ARMOUR Residential REIT, Inc.'s current EV/EBITDA is 20.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 25.1x.
ARMOUR Residential REIT, Inc.'s return on equity (ROE) is 17.8%. The historical average is -1.6%.
Based on historical data, ARMOUR Residential REIT, Inc. is trading at a P/E of 5.1x. Compare with industry peers and growth rates for a complete picture.
ARMOUR Residential REIT, Inc.'s current dividend yield is 16.96% with a payout ratio of 84.1%.
ARMOUR Residential REIT, Inc. has 97.0% gross margin and 73.9% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
ARMOUR Residential REIT, Inc.'s Debt/EBITDA ratio is 18.6x, indicating high leverage. A ratio above 4x may signal elevated financial risk.