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NMRK

Newmark Group NasdaqGS:NMRK Stock Report

Last Price

US$11.07

Market Cap

US$2.2b

7D

3.5%

1Y

-16.8%

Updated

12 Aug, 2022

Data

Company Financials +
NMRK fundamental analysis
Snowflake Score
Valuation6/6
Future Growth2/6
Past Performance2/6
Financial Health2/6
Dividends1/6

NMRK Stock Overview

Newmark Group, Inc. provides commercial real estate services in the United States and internationally.

Newmark Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Newmark Group
Historical stock prices
Current Share PriceUS$11.07
52 Week HighUS$19.10
52 Week LowUS$8.66
Beta1.78
1 Month Change9.39%
3 Month Change-2.47%
1 Year Change-16.83%
3 Year Change26.66%
5 Year Changen/a
Change since IPO-20.65%

Recent News & Updates

Aug 11

Newmark Group goes ex-dividend tomorrow

Newmark Group (NASDAQ:NMRK) declared $0.03/share quarterly dividend, in line with previous. Payable Aug. 31; for shareholders of record Aug. 15; ex-div Aug. 12. See NMRK Dividend Scorecard, Yield Chart, & Dividend Growth.

Shareholder Returns

NMRKUS Real EstateUS Market
7D3.5%6.9%3.2%
1Y-16.8%-33.9%-10.1%

Return vs Industry: NMRK exceeded the US Real Estate industry which returned -37.9% over the past year.

Return vs Market: NMRK underperformed the US Market which returned -11.7% over the past year.

Price Volatility

Is NMRK's price volatile compared to industry and market?
NMRK volatility
NMRK Average Weekly Movement6.2%
Real Estate Industry Average Movement7.8%
Market Average Movement7.7%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.2%

Stable Share Price: NMRK is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: NMRK's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19295,000Barry Gosinhttps://nmrk.com

Newmark Group, Inc. provides commercial real estate services in the United States and internationally. The company’s investor/owner services and products include capital markets, such as investment, debt and structured finance, and loan sales; agency leasing, property management, and valuation and advisory; and commercial real estate due diligence consulting and advisory services, as well as government sponsored enterprise lending, loan servicing, mortgage broking, and equity-raising services. Its occupier services and products comprise tenant representation; real estate management technology systems; workplace and occupancy strategy; global corporate consulting; project management; account and transaction management; and lease administration and facilities management services.

Newmark Group Fundamentals Summary

How do Newmark Group's earnings and revenue compare to its market cap?
NMRK fundamental statistics
Market CapUS$2.24b
Earnings (TTM)US$326.77m
Revenue (TTM)US$3.21b

6.1x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NMRK income statement (TTM)
RevenueUS$3.21b
Cost of RevenueUS$0
Gross ProfitUS$3.21b
Other ExpensesUS$2.88b
EarningsUS$326.77m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.82
Gross Margin100.00%
Net Profit Margin10.19%
Debt/Equity Ratio89.7%

How did NMRK perform over the long term?

See historical performance and comparison

Dividends

1.1%

Current Dividend Yield

5%

Payout Ratio

Does NMRK pay a reliable dividends?

See NMRK dividend history and benchmarks
When do you need to buy NMRK by to receive an upcoming dividend?
Newmark Group dividend dates
Ex Dividend DateAug 12 2022
Dividend Pay DateAug 31 2022
Days until Ex dividend1 day
Days until Dividend pay date18 days

Does NMRK pay a reliable dividends?

See NMRK dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is NMRK undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NMRK?

Other financial metrics that can be useful for relative valuation.

NMRK key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.3x
Enterprise Value/EBITDA-7.6x
PEG Ratio0.4x

Price to Earnings Ratio vs Peers

How does NMRK's PE Ratio compare to its peers?

NMRK PE Ratio vs Peers
The above table shows the PE ratio for NMRK vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average18.3x
MMI Marcus & Millichap
9.5x7.4%US$1.6b
HOUS Anywhere Real Estate
5.4x-3.4%US$1.5b
CWK Cushman & Wakefield
10.4x12.1%US$3.7b
EXPI eXp World Holdings
48x42.4%US$2.8b
NMRK Newmark Group
6.1x15.3%US$2.2b

Price-To-Earnings vs Peers: NMRK is good value based on its Price-To-Earnings Ratio (6.1x) compared to the peer average (18.3x).


Price to Earnings Ratio vs Industry

How does NMRK's PE Ratio compare vs other companies in the US Real Estate Industry?

Price-To-Earnings vs Industry: NMRK is good value based on its Price-To-Earnings Ratio (6.1x) compared to the US Real Estate industry average (10.2x)


Price to Earnings Ratio vs Fair Ratio

What is NMRK's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NMRK PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.1x
Fair PE Ratio35.2x

Price-To-Earnings vs Fair Ratio: NMRK is good value based on its Price-To-Earnings Ratio (6.1x) compared to the estimated Fair Price-To-Earnings Ratio (35.2x).


Share Price vs Fair Value

What is the Fair Price of NMRK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NMRK ($11.07) is trading below our estimate of fair value ($30.89)

Significantly Below Fair Value: NMRK is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is Newmark Group forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


15.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NMRK's forecast earnings growth (15.3% per year) is above the savings rate (1.9%).

Earnings vs Market: NMRK's earnings (15.3% per year) are forecast to grow faster than the US market (14.4% per year).

High Growth Earnings: NMRK's earnings are forecast to grow, but not significantly.

Revenue vs Market: NMRK's revenue (4.1% per year) is forecast to grow slower than the US market (7.9% per year).

High Growth Revenue: NMRK's revenue (4.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


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Past Performance

How has Newmark Group performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


37.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NMRK has a high level of non-cash earnings.

Growing Profit Margin: NMRK's current net profit margins (10.2%) are lower than last year (24.6%).


Past Earnings Growth Analysis

Earnings Trend: NMRK's earnings have grown significantly by 37.5% per year over the past 5 years.

Accelerating Growth: NMRK's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NMRK had negative earnings growth (-38.7%) over the past year, making it difficult to compare to the Real Estate industry average (26.1%).


Return on Equity

High ROE: NMRK's Return on Equity (26.7%) is considered high.


Discover strong past performing companies

Financial Health

How is Newmark Group's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: NMRK's short term assets ($1.8B) exceed its short term liabilities ($1.7B).

Long Term Liabilities: NMRK's short term assets ($1.8B) exceed its long term liabilities ($1.4B).


Debt to Equity History and Analysis

Debt Level: NMRK's net debt to equity ratio (71.5%) is considered high.

Reducing Debt: NMRK's debt to equity ratio has increased from 85.9% to 89.7% over the past 5 years.

Debt Coverage: NMRK's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if NMRK's interest payments on its debt are well covered by EBIT.


Balance Sheet


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Dividend

What is Newmark Group current dividend yield, its reliability and sustainability?

Dividend Score

1/6

Dividend Score 1/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.08%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: NMRK's dividend (1.08%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.49%).

High Dividend: NMRK's dividend (1.08%) is low compared to the top 25% of dividend payers in the US market (4%).


Stability and Growth of Payments

Stable Dividend: NMRK has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: NMRK has only been paying a dividend for 4 years, and since then payments have fallen.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (4.7%), NMRK's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: NMRK is paying a dividend but the company has no free cash flows.


Discover strong dividend paying companies

Management

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

2.4yrs

Average management tenure


CEO

Barry Gosin (71 yo)

43.58yrs

Tenure

US$12,613,061

Compensation

Mr. Barry M. Gosin has been the Chief Executive Officer of Newmark Group, Inc. (formerly known as Newmark Grubb Knight Frank Capital Group) and Newmark Grubb Knight Frank since 1979. He serves as the Chief...


CEO Compensation Analysis

Compensation vs Market: Barry's total compensation ($USD12.61M) is above average for companies of similar size in the US market ($USD5.40M).

Compensation vs Earnings: Barry's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: NMRK's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: NMRK's board of directors are considered experienced (4.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: NMRK insiders have bought more shares than they have sold 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

Newmark Group, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Newmark Group, Inc.
  • Ticker: NMRK
  • Exchange: NasdaqGS
  • Founded: 1929
  • Industry: Real Estate Services
  • Sector: Real Estate
  • Implied Market Cap: US$2.245b
  • Market Cap: US$1.983b
  • Shares outstanding: 203.12m
  • Website: https://nmrk.com

Number of Employees


Location

  • Newmark Group, Inc.
  • 125 Park Avenue
  • New York
  • New York
  • 10017
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/12 00:00
End of Day Share Price2022/08/12 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.