NREF Stock Overview
NexPoint Real Estate Finance, Inc. operates as a real estate finance company in the United States.
NexPoint Real Estate Finance Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$24.08|
|52 Week High||US$24.33|
|52 Week Low||US$17.96|
|1 Month Change||3.66%|
|3 Month Change||20.76%|
|1 Year Change||22.98%|
|3 Year Change||n/a|
|5 Year Change||n/a|
|Change since IPO||28.08%|
Recent News & Updates
|NREF||US Mortgage REITs||US Market|
Return vs Industry: NREF exceeded the US Mortgage REITs industry which returned -18.7% over the past year.
Return vs Market: NREF exceeded the US Market which returned -10.4% over the past year.
|NREF Average Weekly Movement||4.1%|
|Mortgage REITs Industry Average Movement||4.4%|
|Market Average Movement||7.8%|
|10% most volatile stocks in US Market||16.7%|
|10% least volatile stocks in US Market||2.8%|
Stable Share Price: NREF is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: NREF's weekly volatility (4%) has been stable over the past year.
About the Company
NexPoint Real Estate Finance, Inc. operates as a real estate finance company in the United States. It focuses on originating, structuring, and investing in first mortgage loans, mezzanine loans, preferred equity, and preferred stock, as well as multifamily commercial mortgage backed securities securitizations. The company intends to qualify as a real estate investment trust for U.S. federal income tax purposes.
NexPoint Real Estate Finance Fundamentals Summary
|NREF fundamental statistics|
Is NREF overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|NREF income statement (TTM)|
|Cost of Revenue||US$4.98m|
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
|Earnings per share (EPS)||2.03|
|Net Profit Margin||48.36%|
How did NREF perform over the long term?See historical performance and comparison
8.3%Current Dividend Yield
Does NREF pay a reliable dividends?See NREF dividend history and benchmarks
|NexPoint Real Estate Finance dividend dates|
|Ex Dividend Date||Jun 14 2022|
|Dividend Pay Date||Jun 30 2022|
|Days until Ex dividend||29 days|
|Days until Dividend pay date||45 days|
Does NREF pay a reliable dividends?See NREF dividend history and benchmarks
Is NexPoint Real Estate Finance undervalued compared to its fair value and its price relative to the market?
Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PB vs Industry
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NREF ($24.08) is trading below our estimate of fair value ($34.87)
Significantly Below Fair Value: NREF is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: NREF's PE Ratio (11.9x) is in line with the US Mortgage REITs industry average.
PE vs Market: NREF is good value based on its PE Ratio (11.9x) compared to the US market (15.6x).
Price to Earnings Growth Ratio
PEG Ratio: NREF is poor value based on its PEG Ratio (4.1x)
Price to Book Ratio
PB vs Industry: NREF is overvalued based on its PB Ratio (1.4x) compared to the US Mortgage REITs industry average (0.8x).
How is NexPoint Real Estate Finance forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Future Growth Score1/6
Future Growth Score 1/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NREF's forecast earnings growth (2.9% per year) is above the savings rate (1.9%).
Earnings vs Market: NREF's earnings (2.9% per year) are forecast to grow slower than the US market (12.6% per year).
High Growth Earnings: NREF's earnings are forecast to grow, but not significantly.
Revenue vs Market: NREF's revenue is expected to decline over the next 3 years (-22.6% per year).
High Growth Revenue: NREF's revenue is forecast to decline over the next 3 years (-22.6% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if NREF's Return on Equity is forecast to be high in 3 years time
How has NexPoint Real Estate Finance performed over the past 5 years?
Past Performance Score5/6
Past Performance Score 5/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NREF has high quality earnings.
Growing Profit Margin: NREF's current net profit margins (48.4%) are higher than last year (27.6%).
Past Earnings Growth Analysis
Earnings Trend: NREF's earnings have grown significantly by 67.9% per year over the past 5 years.
Accelerating Growth: NREF's earnings growth over the past year (70.9%) exceeds its 5-year average (67.9% per year).
Earnings vs Industry: NREF earnings growth over the past year (70.9%) exceeded the Mortgage REITs industry 4%.
Return on Equity
High ROE: NREF's Return on Equity (15.2%) is considered low.
How is NexPoint Real Estate Finance's financial position?
Financial Health Score2/6
Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: NREF's short term assets ($7.8B) exceed its short term liabilities ($311.2M).
Long Term Liabilities: NREF's short term assets ($7.8B) exceed its long term liabilities ($7.2B).
Debt to Equity History and Analysis
Debt Level: NREF's net debt to equity ratio (1467.3%) is considered high.
Reducing Debt: Insufficient data to determine if NREF's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: NREF's debt is not well covered by operating cash flow (1%).
Interest Coverage: Insufficient data to determine if NREF's interest payments on its debt are well covered by EBIT.
What is NexPoint Real Estate Finance current dividend yield, its reliability and sustainability?
Dividend Score 3/6
Future Dividend Coverage
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: NREF's dividend (8.31%) is higher than the bottom 25% of dividend payers in the US market (1.54%).
High Dividend: NREF's dividend (8.31%) is in the top 25% of dividend payers in the US market (4.05%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, NREF has been paying a dividend for less than 10 years.
Growing Dividend: NREF's dividend payments have increased, but the company has only paid a dividend for 2 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonably low payout ratio (38.4%), NREF's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonable cash payout ratio (55.2%), NREF's dividend payments are covered by cash flows.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Jim Dondero (58 yo)
Mr. James David Dondero, also known as Jim, C.F.A., C.M.A., C.P.A., serves as President at NexPoint Real Estate Advisors VII, L.P. Mr. Dondero served as a Director of Vinebrook Homes Trust, Inc. until Augu...
Experienced Management: NREF's management team is considered experienced (2.3 years average tenure).
Experienced Board: NREF's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 13.9%.
NexPoint Real Estate Finance, Inc.'s employee growth, exchange listings and data sources
- Name: NexPoint Real Estate Finance, Inc.
- Ticker: NREF
- Exchange: NYSE
- Founded: 2019
- Industry: Mortgage REITs
- Sector: Diversified Financials
- Implied Market Cap: US$523.160m
- Market Cap: US$351.267m
- Shares outstanding: 21.73m
- Website: https://www.nexpointfinance.com
Number of Employees
- NexPoint Real Estate Finance, Inc.
- 300 Crescent Court
- Suite 700
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/05/14 00:00|
|End of Day Share Price||2022/05/13 00:00|
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.