Amrep Corp. (NYSE: AXR)

Sector: Real Estate Industry: Real Estate - Development CIK: 0000006207
Market Cap 132.45 Mn
P/B 0.97
P/E 12.61
P/S 2.88
ROIC (Qtr) 6.31
Div Yield % 0.00
Rev 1y % (Qtr) -21.07
Total Debt (Qtr) 23,000.00
Debt/Equity (Qtr) 0.00
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About

AMREP Corp., known by its stock symbol AXR, operates in the land development and homebuilding industry. Founded in 1961 as an Oklahoma corporation, the company has its primary operations based in Rio Rancho, New Mexico, with no foreign sales or activities outside the United States. AMREP Corp.'s main business activities revolve around the development and sale of both developed and undeveloped real properties. These activities are carried out in the United States, specifically in Rio Rancho, New Mexico, and surrounding areas of Sandoval County....

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Investment thesis

Bull case

  • Strong operating cash flow of 5.01M provides robust 217.65x coverage of total debt 23000, indicating excellent debt servicing capability and financial flexibility.
  • Strong tangible asset base of 140.13M provides 6092.74x coverage of total debt 23000, indicating robust asset backing and low credit risk.
  • Operating cash flow of 5.01M provides strong 11.56x coverage of stock compensation 433000, indicating sustainable incentive practices.
  • Robust free cash flow of 4.49M exceeds capital expenditure of 513000 by 8.76x, indicating strong organic growth funding capability.
  • Operating cash flow of 5.01M provides strong 1251.50x coverage of operating expenses 4000, showing operational efficiency.

Bear case

  • Operating cash flow of 5.01M barely covers its investment activities of (513000), with a coverage ratio of -9.76, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Free cash flow of 4.49M represents just -499.22x of debt issuance (9000), suggesting concerning reliance on leverage rather than internal cash generation for growth.
  • Cash position of 45.11M provides only -26.85x coverage of interest expenses of (1.68M), indicating potential refinancing risks in a rising rate environment.
  • R&D investment of 0 represents just 0x of SG&A expenses of 7.62M, indicating potential underinvestment in innovation relative to administrative overhead.
  • R&D spending of 0 represents just 0x of capital expenditure 513000, indicating potential underinvestment in innovation relative to physical assets.

Segments Breakdown of Revenue (2025)

Segments Breakdown of Revenue (2025)

Peer comparison

Companies in the Real Estate - Development
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 VTMX Vesta Real Estate Corporation, S.A.B. de C.V. 11.83 Bn 120.68 43.52 1.45 Bn
2 CCS Century Communities, Inc. 2.20 Bn 14.92 0.53 1.44 Bn
3 FOR Forestar Group Inc. 1.53 Bn 9.16 0.91 0.79 Bn
4 FPH Five Point Holdings, LLC 0.38 Bn 4.01 1.95 0.44 Bn
5 SKYH Sky Harbour Group Corp 0.19 Bn -44.25 7.89 0.35 Bn
6 OZ Belpointe PREP, LLC 0.19 Bn -5.15 26.12 0.26 Bn
7 JFB JFB Construction Holdings 0.16 Bn -53.12 7.47 0.00 Bn
8 SDHC Smith Douglas Homes Corp. 0.16 Bn 14.38 0.16 0.05 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.59 1.43
EV to Cash from Ops. EV/CFO 16.59 3.32
EV to Debt EV to Debt 3,611.08 296.38
EV to EBIT EV/EBIT 7.39 -7.88
EV to EBITDA EV/EBITDA 7.24 -0.77
EV to Free Cash Flow [EV/FCF] EV/FCF 18.49 -6.68
EV to Market Cap EV to Market Cap 0.63 1.29
EV to Revenue EV/Rev 1.81 10.93
Price to Book Value [P/B] P/B 0.97 2.09
Price to Earnings [P/E] P/E 12.61 6.45
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -24.67
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 23.30
Dividend per Basic Share Div per Share (Qtr) 0.00 0.13
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -3.13
Interest Coverage Int. cover (Qtr) -6.69 -12.63
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -16.06 -104.71
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 11.04 29.52
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 -0.47
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -17.39 -5.81
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -10.58 -36.06
EBIT Growth (1y) % EBIT 1y % (Qtr) -11.31 7.48
EBT Growth (1y) % EBT 1y % (Qtr) -8.64 -2.06
EPS Growth (1y) % EPS 1y % (Qtr) -15.88 -8.78
FCF Growth (1y) % FCF 1y % (Qtr) -76.25 109.52
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -5.08 34.01
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.33 0.42
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.03
Cash Ratio Cash Ratio 0.00 0.96
Current Ratio Current Ratio 0.00 1.61
Debt to Equity Ratio Debt/Equity (Qtr) 0.00 0.97
Interest Cover Ratio Int Coverage (Qtr) -6.69 -12.63
Times Interest Earned Times Interest Earned (Qtr) -6.69 -12.63
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 25.00 6.42
EBIT Margin % EBIT Margin % (Qtr) 24.45 35.19
EBT Margin % EBT Margin % (Qtr) 28.10 -40.37
Gross Margin % Gross Margin % (Qtr) 41.00 29.45
Net Profit Margin % Net Margin % (Qtr) 22.90 -51.49