Chicago Atlantic Real Estate Finance vs APA

Chicago Atlantic Real Estate Finance and APA stocks are two investment options that cater to different risk profiles and investment objectives. Chicago Atlantic Real Estate Finance offers real estate investment opportunities with potentially higher returns but also higher risks, while APA stocks are part of a publicly traded company with a more stable market performance. Investors must carefully consider their risk tolerance, investment goals, and time horizon before choosing between these two options. Understanding the intricacies of each investment vehicle is essential for making informed decisions.

Chicago Atlantic Real Estate Finance or APA?

When comparing Chicago Atlantic Real Estate Finance and APA, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Chicago Atlantic Real Estate Finance and APA.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Chicago Atlantic Real Estate Finance has a dividend yield of 13.85%, while APA has a dividend yield of 4.02%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Chicago Atlantic Real Estate Finance reports a 5-year dividend growth of 0.00% year and a payout ratio of 107.91%. On the other hand, APA reports a 5-year dividend growth of 0.00% year and a payout ratio of 11.05%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Chicago Atlantic Real Estate Finance P/E ratio at 8.14 and APA's P/E ratio at 3.17. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Chicago Atlantic Real Estate Finance P/B ratio is 1.04 while APA's P/B ratio is 1.70.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Chicago Atlantic Real Estate Finance has seen a 5-year revenue growth of 4.49%, while APA's is 0.40%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Chicago Atlantic Real Estate Finance's ROE at 13.24% and APA's ROE at 98.78%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $15.67 for Chicago Atlantic Real Estate Finance and $24.80 for APA. Over the past year, Chicago Atlantic Real Estate Finance's prices ranged from $13.86 to $17.65, with a yearly change of 27.34%. APA's prices fluctuated between $22.72 and $43.58, with a yearly change of 91.81%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.