Ladder Capital Corp

-5.27%

Ladder Capital is trading around $9, yet its latest reported book value was $13.44 per share. That means investors are currently paying roughly 67 cents for every dollar of reported book value. The stock has remained under pressure despite improving operating momentum, creating an intriguing value-investing setup. Second quarter 2026 distributable earnings reached $30.8 million, or $0.24 per share, while the loan portfolio grew 75% year over year. Management also repurchased $8 million of shares at an average price of $10.03, signaling confidence in the discount to book value. The securities portfolio was $1.9 billion, with 99% investment grade and 96% rated AAA. The dividend remains $0.23 per share quarterly, or $0.92 annually. This is unchanged from 2024 and 2025 and represents a yield of roughly 10% at current prices. The risks are significant: commercial real estate defaults, office exposure, financing costs and potential credit losses. One Minneapolis office loan entered non-accrual status during the second quarter. Recovery could be substantial if credit conditions remain stable and the discount to book value narrows. The upcoming third quarter results may provide the next major catalyst. This review is for informational and educational purposes only, not financial advice.