AFC Gamma AI Stock Analysis
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AFC Gamma (AFCG) AI Stock Analysis
AFC Gamma
(NASDAQ:AFCG)
The score is held back primarily by weakened TTM cash generation (negative operating and free cash flow) and higher leverage, despite a rebound in TTM profitability. Valuation is a key positive (very low P/E and decent dividend yield), and the latest earnings call was generally constructive (NAV growth, positive NII, improved leverage/coverage), but technicals are mixed and credit/deployment risks remain meaningful.
AFC Gamma (AFCG) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $74.83M
- Dividend Yield
- 4.52%
- Average Volume (3M)
- 78.85K
- Price to Earnings (P/E)
- 3.2
- Beta (1Y)
- 1.16
- Revenue Growth
- -0.58%
- EPS Growth
- ―
- Country
- US
- Employees
- 26
- Sector
- Financial
- Sector Strength
- 68
- Industry
- Asset Management
AFC Gamma Business Overview & Revenue Model
Company Description
Advanced Flower Capital Inc. originates, structures, underwrites, invests in, and manages senior secured loans and other types of mortgage loans and debt securities for established companies operating in the cannabis industry. It primarily originates...
How the Company Makes Money
AFC Gamma makes money primarily from the spread between the interest income it earns on its loan portfolio and the costs of funding and operating the business. Its key revenue and earnings drivers include: (1) Interest income on loans: The core sourc...
AFC Gamma Earnings Call Summary
The call was predominantly positive. AFC reported year-to-date NAV growth of approximately 15%, positive net investment income, portfolio yield of 13.3%, gains from asset and debt transactions, reduced leverage, strong asset coverage, available financing capacity and an active $1.1 billion pipeline. These positives were partly offset by elevated private-credit defaults, ongoing recovery and litigation efforts involving legacy nonaccrual positions, and management's expectation that deployment will remain choppy and lumpy.
Q3-2026 Updates
Positive Updates
Negative Updates
Company Guidance
AFC said its prospective pipeline remains active at approximately $1.1 billion across multiple industries, with its affiliated TCG platform having signed term sheets as agent and lender on 2 transactions, on which AFC expects to commit a portion of each deal, including a $43 million senior secured facility expected to close in the near term; deployments are expected to be choppy and “a little bit lumpy” over the next few quarters, with a focus on cash flowing borrowers with approximately $5 million to $50 million of EBITDA, while leverage of between 1 and 1.5x feels comfortable versus a statutory 2:1 limit, and the Board typically declares a dividend on or around December 15 after evaluating all factors.
AFC Gamma Financial Statement Overview
Summary
Income statement shows a TTM rebound with strong margins and ~39% revenue growth, but results have been volatile with a sizable 2025 net loss. Balance sheet leverage has increased (TTM debt-to-equity ~1.10) and ROE is modest (~3%). The biggest drag is cash flow: TTM operating and free cash flow are both around -$30M, raising funding/sustainability risk until cash conversion improves.
Income Statement
64PositiveBalance Sheet
58NeutralCash Flow
32Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 33.71M | 31.32M | 51.90M | 51.80M | 81.95M | 34.36M |
| Gross Profit | 27.92M | 28.39M | 41.49M | 51.80M | 60.36M | 30.27M |
| EBITDA | 31.39M | -14.53M | 21.67M | 0 | 44.69M | 22.30M |
| Net Income | 24.10M | -20.67M | 16.78M | 20.95M | 35.93M | 21.00M |
Balance Sheet | ||||||
| Total Assets | 395.10M | 275.59M | 402.06M | 466.59M | 519.18M | 464.85M |
| Cash, Cash Equivalents and Short-Term Investments | 102.12M | 38.61M | 103.61M | 90.38M | 140.37M | 109.25M |
| Total Debt | 196.70M | 97.32M | 188.61M | 130.01M | 157.13M | 171.42M |
| Total Liabilities | 203.54M | 100.03M | 200.68M | 146.53M | 180.12M | 191.77M |
| Stockholders Equity | 191.56M | 175.57M | 201.38M | 320.05M | 339.06M | 273.08M |
Cash Flow | ||||||
| Free Cash Flow | 14.32M | 11.24M | 21.56M | 21.23M | 31.32M | 9.54M |
| Operating Cash Flow | 14.32M | 11.24M | 21.56M | 21.23M | 31.32M | 9.54M |
| Investing Cash Flow | -28.08M | 34.90M | -4.85M | 28.52M | -16.34M | -248.46M |
| Financing Cash Flow | 75.57M | -111.14M | -34.72M | -68.49M | 16.15M | 338.54M |
AFC Gamma Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AFCG, the sentiment is Positive. The current price of 3.32 is above the 20-day moving average (MA) of 3.12, above the 50-day MA of 3.27, and above the 200-day MA of 2.93, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 56.45 is Neutral, neither overbought nor oversold. The STOCH value of 79.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AFCG.
AFC Gamma Risk Analysis
AFC Gamma disclosed 92 risk factors in its most recent earnings report. AFC Gamma reported the most risks in the "Finance & Corporate" category.
Latest Risks Added
3 New RisksAFC Gamma Peers Comparison
Overall Rating
- AFCG61Neutral
FPI56Neutral
Financial Indicators
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| AFCG | Advanced Flower Capital Inc. | 3.32 | 0.44 | 15.44% | |
| PW | Power REIT | 6.68 | -0.40 | -5.69% | |
| FPI | Farmland Partners | 9.00 | -0.08 | -0.85% |
AFC Gamma Corporate Events
AFC Gamma Expands Revolving Credit Facility Commitments
PositiveOn September 25, 2026, Advanced Flower Capital Inc. entered into a tenth amendment to its Loan and Security Agreement originally dated April 29, 2022, adjusting key terms of its credit facility with existing lenders. The amendment modifies conditions...
AFC Gamma Continues Share Repurchases to Optimize Capital
PositiveAdvanced Flower Capital Inc. has been executing a previously authorized common stock repurchase program of up to $5.0 million, allowing the company to buy back shares in the open market subject to regulatory and internal compliance constraints. The p...
AFC Gamma Highlights Ongoing Share Repurchase Program Activity
PositiveAdvanced Flower Capital Inc. has implemented a board‑authorized common stock repurchase program of up to $5 million, allowing the company to buy back shares on the open market subject to regulatory and internal compliance constraints. The repurchase...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Nov 09, 2026