NexPoint Real Estate Finance (NYSE:NREF) Lowered to “Strong Sell” Rating by Zacks Research

Zacks Research downgraded shares of NexPoint Real Estate Finance (NYSE:NREF) from a hold rating to a strong sell rating in a report published on Tuesday,Zacks.com reports.

A number of other equities analysts have also commented on the stock. Piper Sandler raised their price objective on shares of NexPoint Real Estate Finance from $16.00 to $17.50 and gave the stock a “neutral” rating in a research note on Friday, August 7th. Keefe, Bruyette & Woods lifted their price objective on shares of NexPoint Real Estate Finance from $15.00 to $16.00 and gave the stock a “market perform” rating in a research report on Tuesday, August 11th. Weiss Ratings raised shares of NexPoint Real Estate Finance from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, July 1st. Finally, Wall Street Zen lowered NexPoint Real Estate Finance from a “hold” rating to a “sell” rating in a report on Saturday, August 15th. Three analysts have rated the stock with a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, NexPoint Real Estate Finance has an average rating of “Reduce” and a consensus price target of $16.75.

NexPoint Real Estate Finance Price Performance

NREF stock opened at $17.49 on Tuesday. The company has a current ratio of 163.94, a quick ratio of 163.94 and a debt-to-equity ratio of 1.79. NexPoint Real Estate Finance has a one year low of $12.36 and a one year high of $18.43. The firm has a market capitalization of $329.69 million, a PE ratio of 7.38 and a beta of 1.11. The firm has a 50-day moving average of $16.29 and a two-hundred day moving average of $15.16.

NexPoint Real Estate Finance (NYSE:NREF) last announced its earnings results on Thursday, August 6th. The company reported $0.46 EPS for the quarter, topping the consensus estimate of $0.40 by $0.06. NexPoint Real Estate Finance had a net margin of 107.93% and a return on equity of 12.72%. The company had revenue of $27.34 million during the quarter, compared to analysts’ expectations of $14.57 million. NexPoint Real Estate Finance has set its Q3 2026 guidance at 0.380-0.480 EPS. On average, analysts forecast that NexPoint Real Estate Finance will post 1.58 earnings per share for the current year.

NexPoint Real Estate Finance Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th will be paid a dividend of $0.50 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 11.4%. NexPoint Real Estate Finance’s dividend payout ratio (DPR) is 84.39%.

Hedge Funds Weigh In On NexPoint Real Estate Finance

Institutional investors and hedge funds have recently modified their holdings of the stock. Strs Ohio purchased a new stake in shares of NexPoint Real Estate Finance during the first quarter worth $26,000. Public Employees Retirement System of Ohio purchased a new position in NexPoint Real Estate Finance in the third quarter valued at about $28,000. BNP Paribas Financial Markets grew its stake in NexPoint Real Estate Finance by 152.6% in the third quarter. BNP Paribas Financial Markets now owns 2,796 shares of the company’s stock valued at $40,000 after purchasing an additional 1,689 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new position in NexPoint Real Estate Finance in the third quarter valued at about $50,000. Finally, SG Americas Securities LLC acquired a new position in NexPoint Real Estate Finance in the 1st quarter worth about $107,000. 67.79% of the stock is currently owned by hedge funds and other institutional investors.

About NexPoint Real Estate Finance

NexPoint Real Estate Finance, Inc is a publicly traded real estate investment trust (REIT) focused on originating, acquiring and managing a diversified portfolio of commercial real estate debt investments. The company seeks to generate current income and capital appreciation by providing financing solutions across the capital structure for stabilized and transitional properties. Its investments include whole loans, mezzanine loans, preferred equity and other structured credit products secured by multifamily, office, industrial, retail and hospitality assets.

Since its initial public offering in March 2021, NexPoint Real Estate Finance has closed numerous transactions with borrowers nationwide, including both institutional sponsors and privately held owners.