A Business at a Glance
0 of 1 daily views used (1 remaining). Sign up free for +5 more daily views (6 total), or try AAPL for a full preview.
Ares Commercial Real Estate Corp
ACRE
$205M
Mkt Cap
$4.55
+0.66%
Ares Commercial Real Estate Corp (ACRE) has a market capitalization of $205M. It is classified as a small-cap stock.
Yes, Ares Commercial Real Estate Corp (ACRE) pays a dividend with a trailing twelve-month yield of 19.01%.
Ares Commercial Real Estate Corp (ACRE) operates in the Real Estate Investment Trusts industry, within the Real Estate sector.
Ares Commercial Real Estate Corp (ACRE) reported annual revenue of $55 million in its most recent fiscal year, based on SEC EDGAR filings.
Ares Commercial Real Estate Corp (ACRE) has a net profit margin of -1.6%. The company is currently unprofitable.
Ares Commercial Real Estate Corp (ACRE) generated $21 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
Ares Commercial Real Estate Corp (ACRE) has a debt-to-equity ratio of 3.54. This indicates higher leverage, which may increase financial risk.
Item 1. Business The following description of the business of Ares Commercial Real Estate Corporation (“ACRE”) should be read in conjunction with the information included elsewhere in this annual report on Form 10-K for the year ended December 31, 2025. We refer to ACRE together with our consolidated subsidiaries as “we,” “us,” “Company,” or “our,” unless we specifically state otherwise or the context indicates otherwise. We refer to our manager, Ares Commercial Real Estate Management LLC, as our “Manager” or “ACREM,” and the parent company of our Manager, Ares Management Corporation, together with its consolidated subsidiaries, as “Ares Management.” We are a specialty finance company primarily engaged in directly originating and investing in commercial real estate (“CRE”) loans and related investments.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 55M | 55M | 70M | 93M | 107M | 102M |
| Net Income | -902K | -902K | -35M | -39M | 30M | 60M |
| EPS | $-0.02 | $-0.02 | $-0.64 | $-0.72 | $0.57 | $1.42 |
| Free Cash Flow | 21M | 21M | 36M | 47M | 57M | 48M |
| ROIC | 0.0% | - | - | - | - | - |
| Gross Margin | - | - | - | - | - | - |
| Debt/Equity | 3.54 | 3.54 | 2.42 | 2.45 | 2.23 | 2.77 |
| Dividends/Share | $0.86 | $0.60 | $1.00 | $1.36 | $1.40 | $1.40 |
| Operating Income | 0 | - | - | - | - | - |
| Operating Margin | 0.0% | - | - | - | - | - |
| ROE | -0.2% | -0.2% | -6.5% | -6.2% | 4.0% | 8.9% |
| Shares Outstanding | 45M | 45M | 55M | 54M | 52M | 43M |
| Metric | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Income Statement | |||||||||||||
| Revenue | 38M | 50M | 45M | 46M | 55M | 77M | 83M | 102M | 107M | 93M | 70M | 55M | 55M |
| Gross Margin | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| R&D | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A | 9.3M | 6.8M | 2.8M | 2.8M | 3.3M | 4.2M | 3.7M | 4.7M | 6.4M | 7.2M | 7.8M | 7.0M | 7.0M |
| EBIT | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0 |
| Op. Margin | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0.0% |
| Net Income | 24M | 34M | 40M | 30M | 39M | 37M | 22M | 60M | 30M | -39M | -35M | -902K | -902K |
| Net Margin | 65.0% | 68.6% | 89.4% | 65.6% | 69.8% | 47.9% | 26.4% | 59.2% | 27.9% | -41.8% | -50.2% | -1.6% | -1.6% |
| Non-Recurring | 0 | 44K | 44K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Returns on Capital | |||||||||||||
| ROIC | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0.0% |
| ROE | 6.0% | 8.4% | 9.7% | 7.3% | 9.1% | 8.7% | 4.6% | 8.9% | 4.0% | -6.2% | -6.5% | -0.2% | -0.2% |
| ROA | 1.6% | 2.1% | 2.9% | 1.7% | 2.4% | 2.1% | 1.1% | 2.3% | 1.2% | -1.7% | -2.0% | -0.1% | -0.1% |
| Cash Flow | |||||||||||||
| Op. Cash Flow | 223M | 276M | -4.5M | 31M | 39M | 32M | 32M | 48M | 57M | 47M | 36M | 21M | 21M |
| Free Cash Flow | 222M | 275M | -4.5M | 31M | 39M | 32M | 32M | 48M | 57M | 47M | 36M | 21M | 21M |
| Owner Earnings | 222M | 274M | -5.0M | 31M | 38M | 30M | 30M | 46M | 54M | 42M | 26M | 9.0M | 9.0M |
| CapEx | 823K | 1.0M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Maint. CapEx | 160K | 219K | 167K | 0 | 0 | 667K | 892K | 825K | 0 | 1.0M | 4.8M | 8.5M | 8.5M |
| Growth CapEx | 663K | 789K | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0 |
| D&A | 160K | 219K | 167K | 0 | 0 | 667K | 892K | 825K | 0 | 1.0M | 4.8M | 8.5M | 8.5M |
| CapEx/OCF | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0.0% |
| Capital Allocation | |||||||||||||
| Dividends Paid | 29M | 29M | 29M | 31M | 32M | 37M | 43M | 58M | 72M | 76M | 60M | 39M | 39M |
| Dividend Yield | 26.7% | 25.9% | 24.3% | N/A | 20.4% | 19.4% | 25.0% | 16.9% | 16.8% | 20.0% | 18.5% | 19.4% | 19.0% |
| Share Buybacks | 0 | 0 | 1.4M | 0 | 0 | 0 | 0 | 0 | 0 | 4.6M | 0 | 0 | 0 |
| Buyback Yield | N/A | N/A | 1.0% | 0.0% | N/A | N/A | N/A | N/A | N/A | 1.0% | N/A | N/A | 0.0% |
| Stock-Based Comp | 939K | 835K | 312K | 581K | 1.1M | 1.9M | 1.3M | 1.9M | 2.9M | 4.0M | 4.7M | 3.9M | 3.9M |
| Debt Repayment | 0 | 69M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Balance Sheet | |||||||||||||
| Net Debt | 1.4B | 1.1B | 1.7B | 2.0B | 1.6B | 1.6B | 1.5B | 1.8B | 1.4B | 1.3B | 1.2B | 1.7B | 1.8B |
| Cash & Equiv. | 15M | 5.1M | 47M | 28M | 11M | 5.3M | 75M | 51M | 141M | 110M | 64M | 29M | 29M |
| Long-Term Debt | 815M | 623M | 936M | 1.1B | 888M | 895M | 929M | 1.0B | 960M | 895M | 718M | 948M | 948M |
| Debt/Equity | 3.39 | 2.80 | 4.10 | 4.83 | 3.91 | 3.81 | 3.56 | 2.77 | 2.23 | 2.45 | 2.42 | 3.54 | 3.54 |
| Interest Coverage | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Equity | 403M | 409M | 419M | 419M | 426M | 426M | 473M | 679M | 748M | 626M | 540M | 510M | 510M |
| Total Assets | 1.9B | 1.4B | 1.4B | 1.8B | 1.6B | 1.8B | 1.9B | 2.6B | 2.5B | 2.3B | 1.8B | 1.6B | 1.6B |
| Total Liabilities | 1.4B | 922M | 944M | 1.4B | 1.2B | 1.4B | 1.5B | 2.0B | 1.8B | 1.7B | 1.2B | 1.1B | 1.1B |
| Intangibles | 6.0M | 6.0M | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Retained Earnings | -18M | -12M | -1.3M | -1.8M | 3.6M | 2.4M | -25M | -29M | -73M | -187M | -277M | -312M | -312M |
| Working Capital | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Current Assets | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Current Liabilities | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Per Share Data | |||||||||||||
| EPS | 0.85 | 1.20 | 1.41 | 1.07 | 1.35 | 1.28 | 0.66 | 1.42 | 0.57 | -0.72 | -0.64 | -0.02 | -0.02 |
| Owner EPS | 7.73 | 9.61 | -0.17 | 1.08 | 1.33 | 1.03 | 0.89 | 1.07 | 1.04 | 0.77 | 0.48 | 0.20 | 0.20 |
| Book Value | 14.04 | 14.33 | 14.65 | 14.75 | 14.89 | 14.75 | 14.29 | 15.94 | 14.31 | 11.59 | 9.88 | 11.30 | 11.30 |
| Cash Flow/Share | 7.77 | 9.64 | -0.16 | 1.10 | 1.37 | 1.12 | 0.96 | 1.14 | 1.09 | 0.87 | 0.65 | 0.47 | 0.17 |
| Dividends/Share | 1.00 | 1.00 | 1.04 | 1.08 | 1.16 | 1.32 | 1.32 | 1.40 | 1.40 | 1.36 | 1.00 | 0.60 | 0.86 |
| Shares Out. | 28.7M | 28.6M | 28.6M | 28.4M | 28.6M | 28.9M | 33.1M | 42.6M | 52.3M | 54.0M | 54.7M | 45.1M | 45.1M |
| Valuation | |||||||||||||
| P/E Ratio | 4.2 | 3.3 | 3.6 | N/A | 4.9 | 6.8 | 14.0 | 7.7 | 11.9 | N/A | N/A | N/A | -227.5 |
| P/FCF | 0.5 | 0.4 | N/A | N/A | 4.1 | 6.6 | 6.7 | 7.5 | 5.9 | 9.3 | 7.9 | 10.3 | 9.6 |
| EV/EBIT | 5.3 | 2.4 | 1.3 | N/A | 4.4 | 3.5 | 4.6 | 5.1 | 3.8 | 6.8 | 4.9 | 5.1 | N/A |
| Price/Book | 0.3 | 0.3 | 0.3 | N/A | 0.4 | 0.6 | 0.6 | 0.7 | 0.5 | 0.7 | 0.5 | 0.5 | 0.4 |
| Price/Sales | 1.6 | 2.2 | 2.7 | N/A | 3.3 | 2.9 | 3.0 | 4.3 | 4.2 | 4.1 | 4.7 | 4.5 | 3.7 |
| FCF Yield | 214.9% | 243.2% | -3.1% | N/A | 20.9% | 13.0% | 10.4% | 10.3% | 16.2% | 10.5% | 12.4% | 7.9% | 10.4% |
| Market Cap | 103M | 113M | 145M | 0 | 187M | 250M | 306M | 467M | 354M | 444M | 286M | 271M | 205M |
| Avg. Price | 3.73 | 3.87 | 4.24 | 0.00 | 5.51 | 6.69 | 5.17 | 8.11 | 8.20 | 7.02 | 5.91 | 4.45 | 4.55 |
| Year-End Price | 3.60 | 3.95 | 5.06 | 0.00 | 5.61 | 7.46 | 6.48 | 8.56 | 6.50 | 8.09 | 5.16 | 4.89 | 4.55 |
Ares Commercial Real Estate Corp passes 1 of 9 quality checks, indicating weak fundamentals.
On a free-cash-flow basis, the stock trades at 11.8x vs a median of 7.1x. Total shareholder yield (dividends) is 19.0%. At current prices, the estimated annualized return to fair value is -5.8%.
Ares Commercial Real Estate Corp (ACRE) reported earnings per share (EPS) of $-0.02 in its most recent fiscal year.
Ares Commercial Real Estate Corp (ACRE) has a return on equity (ROE) of -0.2%. A negative ROE may indicate losses or negative equity.
The Ledger Terminal provides 14 years of financial data for Ares Commercial Real Estate Corp (ACRE), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
Ares Commercial Real Estate Corp (ACRE) has a book value per share of $11.30, based on its most recent annual SEC filing.
No recent press releases.