Head-To-Head Review: KKR Real Estate Finance Trust (NYSE:KREF) vs. New York Mortgage Trust (NASDAQ:NYMTN)

KKR Real Estate Finance Trust (NYSE:KREF) and New York Mortgage Trust (NASDAQ:NYMTN) are both finance companies, but which is the better stock? We will contrast the two companies based on the strength of their dividends, institutional ownership, risk, earnings, profitability, valuation and analyst recommendations.

Dividends

KKR Real Estate Finance Trust pays an annual dividend of $1.00 per share and has a dividend yield of 8.6%. New York Mortgage Trust pays an annual dividend of $2.00 per share and has a dividend yield of 8.7%. KKR Real Estate Finance Trust pays out -217.4% of its earnings in the form of a dividend.

Institutional & Insider Ownership

70.2% of KKR Real Estate Finance Trust shares are owned by institutional investors. 1.2% of KKR Real Estate Finance Trust shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares KKR Real Estate Finance Trust and New York Mortgage Trust”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KKR Real Estate Finance Trust	$164.97 million	4.87	-$30.85 million	($0.46)	-25.20
New York Mortgage Trust	$266.51 million	N/A	N/A	N/A	N/A

New York Mortgage Trust has higher revenue and earnings than KKR Real Estate Finance Trust.

Analyst Ratings

This is a summary of recent ratings and recommmendations for KKR Real Estate Finance Trust and New York Mortgage Trust, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KKR Real Estate Finance Trust	0	0	6	0	3.00
New York Mortgage Trust	0	0	0	0	N/A

KKR Real Estate Finance Trust currently has a consensus price target of $12.83, indicating a potential upside of 10.73%. Given KKR Real Estate Finance Trust’s higher possible upside, research analysts clearly believe KKR Real Estate Finance Trust is more favorable than New York Mortgage Trust.

Profitability

This table compares KKR Real Estate Finance Trust and New York Mortgage Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KKR Real Estate Finance Trust	0.40%	9.46%	1.86%
New York Mortgage Trust	N/A	N/A	N/A

Summary

KKR Real Estate Finance Trust beats New York Mortgage Trust on 8 of the 10 factors compared between the two stocks.

About KKR Real Estate Finance Trust

KKR Real Estate Finance Trust Inc., a mortgage real estate investment trust, focuses primarily on originating and acquiring transitional senior loans secured by commercial real estate (CRE) assets. It engages in the origination and purchase of credit investments related to CRE, including leveraged and unleveraged commercial real estate loans. The company has elected to be taxed as a real estate investment trust and would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. KKR Real Estate Finance Trust Inc. was incorporated in 2014 and is headquartered in New York, New York.

About New York Mortgage Trust

New York Mortgage Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. Its targeted investments include residential loans, including business purpose loans; structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties; non-agency residential mortgage-backed securities (RMBS); agency RMBS; commercial mortgage-backed securities (CMBS); single-family rental properties; and other mortgage, residential housing, and credit-related assets. The company also qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. New York Mortgage Trust, Inc. was incorporated in 2003 and is headquartered in New York, New York.