Insider Buying: AFC Gamma (NASDAQ:AFCG) Director Acquires $69,800.00 in Stock

AFC Gamma Inc. (NASDAQ:AFCG) Director Leonard Tannenbaum acquired 20,000 shares of the stock in a transaction dated Thursday, September 24th. The stock was acquired at an average price of $3.49 per share, with a total value of $69,800.00. Following the completion of the acquisition, the director owned 7,008,989 shares in the company, valued at approximately $24,461,371.61. The trade was a 0.29% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website.

AFC Gamma Price Performance

Shares of AFC Gamma stock opened at $3.60 on Thursday. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.34 and a current ratio of 1.34. The stock has a market capitalization of $81.61 million, a price-to-earnings ratio of 18.95 and a beta of 0.95. The company has a fifty day moving average of $3.25 and a 200-day moving average of $3.11. AFC Gamma Inc. has a 52-week low of $2.06 and a 52-week high of $4.01.

AFC Gamma (NASDAQ:AFCG) last posted its quarterly earnings results on Thursday, August 13th. The company reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.19 by $0.04. AFC Gamma had a return on equity of 2.85% and a net margin of 15.64%.The business had revenue of $6.77 million for the quarter, compared to analyst estimates of $8.59 million. Equities research analysts expect that AFC Gamma Inc. will post 0.72 EPS for the current year.

AFC Gamma Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 15th. Investors of record on Wednesday, September 30th will be issued a $0.05 dividend. The ex-dividend date is Wednesday, September 30th. This represents a $0.20 annualized dividend and a yield of 5.6%. AFC Gamma’s dividend payout ratio (DPR) is currently 105.26%.

Key AFC Gamma News

Here are the key news stories impacting AFC Gamma this week:

• Positive Sentiment: Director Leonard Tannenbaum purchased 44,643 shares on September 30 for approximately $162,054, following purchases of 40,081 shares on September 29 and 10,673 shares on September 28. Including two additional reported purchases, his recent buying totals at least 120,625 shares, increasing his direct ownership to more than 7.1 million shares. The transactions may bolster investor confidence because they indicate continued insider conviction. SEC insider purchase filing
• Positive Sentiment: AFC Gamma’s latest quarterly EPS of $0.23 exceeded the $0.19 analyst consensus by $0.04. The stock also offers a recently declared quarterly dividend of $0.05, or $0.20 annualized, representing an indicated yield of approximately 5.6% at the reported share price. AFC Gamma insider buying and dividend report
• Neutral Sentiment: AFCG has recently traded above both its 50-day and 200-day moving averages, suggesting improving technical momentum, although the stock remains well below its 52-week high. Its quick and current ratios are both 1.34, while debt-to-equity is 0.69.
• Negative Sentiment: Quarterly revenue of $6.77 million fell short of the $8.59 million consensus estimate, despite the EPS beat. The company’s approximately 105% dividend payout ratio also raises questions about the sustainability of the distribution if earnings weaken.
• Negative Sentiment: Analyst sentiment remains cautious: the reported consensus rating is “Reduce,” with one Hold and one Sell rating. One research service recently downgraded AFC Gamma from Buy to Hold, limiting the potential upside from the insider buying. AFC Gamma stock information

Analysts Set New Price Targets

Several research firms have recently issued reports on AFCG. Wall Street Zen cut shares of AFC Gamma from a “buy” rating to a “hold” rating in a research report on Saturday, August 15th. Weiss Ratings raised AFC Gamma from a “sell (d)” rating to a “sell (d+)” rating in a research note on Thursday, August 20th. One research analyst has rated the stock with a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Reduce”.

About AFC Gamma

AFC Gamma, Inc (NASDAQ: AFCG) is a commercial real estate finance company that provided institutional capital to businesses operating in state-regulated cannabis markets. The company primarily focused on lending to licensed cannabis operators and related businesses, an area historically underserved by traditional banks because cannabis remains illegal under U.S. federal law.

Its financing activities included secured loans backed by commercial real estate and other borrower assets. AFC Gamma offered capital for purposes such as facility acquisition, construction, expansion, refinancing and working capital.