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BRMK

Broadmark Realty CapitalNYSE:BRMK Stock Report

Last Price

US$9.56

Market Cap

US$1.3b

7D

-2.1%

1Y

-9.9%

Updated

19 Jan, 2022

Data

Company Financials +
BRMK fundamental analysis
Snowflake Score
Valuation2/6
Future Growth5/6
Past Performance4/6
Financial Health6/6
Dividends2/6

BRMK Stock Overview

Broadmark Realty Capital Inc., together with its subsidiaries, engages in the underwriting, funding, servicing, and managing a portfolio of short-term and first deed of trust loans to fund the construction, development, and investment in residential or commercial properties in the United States.

Broadmark Realty Capital Competitors

Annaly Capital Management

NYSE:NLY

US$11.3b

AGNC Investment

NasdaqGS:AGNC

US$7.9b

Starwood Property Trust

NYSE:STWD

US$7.6b

Blackstone Mortgage Trust

NYSE:BXMT

US$5.3b

Price History & Performance

Summary of all time highs, changes and price drops for Broadmark Realty Capital
Historical stock prices
Current Share PriceUS$9.56
52 Week HighUS$11.10
52 Week LowUS$8.85
Beta1.2
1 Month Change5.64%
3 Month Change-8.17%
1 Year Change-9.90%
3 Year Changen/a
5 Year Changen/a
Change since IPO-12.69%

Recent News & Updates

Dec 27

Broadmark Realty Capital: The Most Interesting 9% Yield The Market Has To Offer

Broadmark is a small-cap hard money lender that is well diversified by property type as well as geography. Broadmark’s rock solid balance sheet with zero debt and ample liquidity differentiate it from the rest of the mREIT sector. 12.8x earnings and a 8.8% dividend yield paid monthly make Broadmark a fantastic candidate for dividend reinvestment. Investors should keep an eye on the payout ratio, which is over 100%. In my opinion, this is a temporary issue that will not lead to a dividend cut.

Dec 18

Broadmark Realty: Rare 9% Yield In A Low Rate World

Broadmark Realty has seen material share price weakness in recent weeks. Meanwhile, it carries no debt on the balance sheet and maintains strong liquidity. It's also seeing strong loan origination volumes and management is making progress towards resolving defaults from last year.

Oct 21
Is Now The Time To Put Broadmark Realty Capital (NYSE:BRMK) On Your Watchlist?

Is Now The Time To Put Broadmark Realty Capital (NYSE:BRMK) On Your Watchlist?

Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...

Shareholder Returns

BRMKUS Mortgage REITsUS Market
7D-2.1%-3.5%-4.6%
1Y-9.9%3.9%7.7%

Return vs Industry: BRMK underperformed the US Mortgage REITs industry which returned 6.1% over the past year.

Return vs Market: BRMK underperformed the US Market which returned 10.2% over the past year.

Price Volatility

Is BRMK's price volatile compared to industry and market?
BRMK volatility
BRMK Average Weekly Movement3.1%
Mortgage REITs Industry Average Movement3.6%
Market Average Movement6.6%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.4%

Stable Share Price: BRMK is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: BRMK's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
201054Jeff Pyatthttps://www.broadmark.com

Broadmark Realty Capital Inc., together with its subsidiaries, engages in the underwriting, funding, servicing, and managing a portfolio of short-term and first deed of trust loans to fund the construction, development, and investment in residential or commercial properties in the United States. It also provides short-term and first deed of trust loans secured by real estate to fund the construction and development, investment in residential or commercial properties. The company has elected to be taxed as a real estate investment trust.

Broadmark Realty Capital Fundamentals Summary

How do Broadmark Realty Capital's earnings and revenue compare to its market cap?
BRMK fundamental statistics
Market CapUS$1.27b
Earnings (TTM)US$82.73m
Revenue (TTM)US$113.32m

15.3x

P/E Ratio

11.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BRMK income statement (TTM)
RevenueUS$113.32m
Cost of RevenueUS$0
Gross ProfitUS$113.32m
ExpensesUS$30.59m
EarningsUS$82.73m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.62
Gross Margin100.00%
Net Profit Margin73.01%
Debt/Equity Ratio0%

How did BRMK perform over the long term?

See historical performance and comparison

Dividends

8.8%

Current Dividend Yield

130%

Payout Ratio

Does BRMK pay a reliable dividends?

See BRMK dividend history and benchmarks
When do you need to buy BRMK by to receive an upcoming dividend?
Broadmark Realty Capital dividend dates
Ex Dividend DateJan 28 2022
Dividend Pay DateFeb 15 2022
Days until Ex dividend8 days
Days until Dividend pay date26 days

Does BRMK pay a reliable dividends?

See BRMK dividend history and benchmarks

Valuation

Is Broadmark Realty Capital undervalued compared to its fair value and its price relative to the market?

15.33x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BRMK ($9.56) is trading above our estimate of fair value ($5.7)

Significantly Below Fair Value: BRMK is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BRMK is poor value based on its PE Ratio (15.3x) compared to the US Mortgage REITs industry average (10.1x).

PE vs Market: BRMK is good value based on its PE Ratio (15.3x) compared to the US market (17x).


Price to Earnings Growth Ratio

PEG Ratio: BRMK is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: BRMK is overvalued based on its PB Ratio (1.1x) compared to the US Mortgage REITs industry average (0.9x).


Future Growth

How is Broadmark Realty Capital forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

25.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BRMK's forecast earnings growth (25.6% per year) is above the savings rate (2%).

Earnings vs Market: BRMK's earnings (25.6% per year) are forecast to grow faster than the US market (13% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: BRMK's revenue (20.2% per year) is forecast to grow faster than the US market (9.2% per year).

High Growth Revenue: BRMK's revenue (20.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if BRMK's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Broadmark Realty Capital performed over the past 5 years?

37.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BRMK has high quality earnings.

Growing Profit Margin: BRMK's current net profit margins (73%) are higher than last year (51.9%).


Past Earnings Growth Analysis

Earnings Trend: BRMK's earnings have grown significantly by 37.4% per year over the past 5 years.

Accelerating Growth: BRMK's earnings growth over the past year (37.4%) exceeds its 5-year average (37.4% per year).

Earnings vs Industry: BRMK earnings growth over the past year (37.4%) underperformed the Mortgage REITs industry 46.7%.


Return on Equity

High ROE: BRMK's Return on Equity (7.2%) is considered low.


Financial Health

How is Broadmark Realty Capital's financial position?


Financial Position Analysis

Short Term Liabilities: BRMK's short term assets ($975.7M) exceed its short term liabilities ($14.8M).

Long Term Liabilities: BRMK's short term assets ($975.7M) exceed its long term liabilities ($10.5M).


Debt to Equity History and Analysis

Debt Level: BRMK is debt free.

Reducing Debt: BRMK had no debt 5 years ago.

Debt Coverage: BRMK has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: BRMK has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Broadmark Realty Capital current dividend yield, its reliability and sustainability?

8.79%

Current Dividend Yield


Upcoming Dividend Payment

TodayJan 20 2022Ex Dividend DateJan 28 2022Dividend Pay DateFeb 15 202218 days from Ex DividendBuy in the next 8 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: BRMK's dividend (8.79%) is higher than the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: BRMK's dividend (8.79%) is in the top 25% of dividend payers in the US market (3.48%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, BRMK has been paying a dividend for less than 10 years.

Growing Dividend: BRMK has only been paying a dividend for 2 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (129.7%), BRMK's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.8yrs

Average management tenure


CEO

Jeff Pyatt (62 yo)

no data

Tenure

US$1,157,628

Compensation

Mr. Jeffrey B. Pyatt, also known as Jeff, serves as President, Chief Executive Officer at Broadmark Realty Capital Inc and serves as its Director since 2019. He serves as Executive Chairman at Broadmark Re...


CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD1.16M) is below average for companies of similar size in the US market ($USD3.70M).

Compensation vs Earnings: Jeff's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: BRMK's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: BRMK's board of directors are considered experienced (3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: BRMK insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Broadmark Realty Capital Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Broadmark Realty Capital Inc.
  • Ticker: BRMK
  • Exchange: NYSE
  • Founded: 2010
  • Industry: Mortgage REITs
  • Sector: Diversified Financials
  • Implied Market Cap: US$1.269b
  • Shares outstanding: 132.69m
  • Website: https://www.broadmark.com

Number of Employees


Location

  • Broadmark Realty Capital Inc.
  • 1420 Fifth Avenue
  • Suite 2000
  • Seattle
  • Washington
  • 98101
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 23:49
End of Day Share Price2022/01/19 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.