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NXRT

NexPoint Residential TrustNYSE:NXRT Stock Report

Last Price

US$82.46

Market Cap

US$2.1b

7D

4.1%

1Y

93.9%

Updated

16 Jan, 2022

Data

Company Financials +
NXRT fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance0/6
Financial Health1/6
Dividends3/6

NXRT Stock Overview

NexPoint Residential Trust is a publicly traded REIT, with its shares listed on the New York Stock Exchange under the symbol "NXRT," primarily focused on acquiring, owning and operating well-located middle-income multifamily properties with "value-add" potential in large cities and suburban submarkets of large cities, primarily in the Southeastern and Southwestern United States.

Price History & Performance

Summary of all time highs, changes and price drops for NexPoint Residential Trust
Historical stock prices
Current Share PriceUS$82.46
52 Week HighUS$84.54
52 Week LowUS$39.13
Beta1.04
1 Month Change5.09%
3 Month Change25.17%
1 Year Change93.93%
3 Year Change124.93%
5 Year Change255.74%
Change since IPO468.69%

Recent News & Updates

Nov 05

NexPoint Residential 3Q21: Raging Rents And Recycling Capital In The Sunbelt

Portfolio same-store rents rise +6.8%. Same-store NOI climbs +6.6%. Y-O-Y core FFO/share jumps +22.6%. REIT boosts dividend by 11.4% - the sixth sequential annual increase. NexPoint is moving value-add program to better demographics in North Carolina.

Sep 10

Keep An Eye On NexPoint For Real Estate Value

The NexPoint Residential Trust offers investors a way to gain access to high-quality middle-class apartments in fast-growing areas. The company has a solid balance sheet and the ability to generate value for its shareholders through consistent dividend hikes. Unfortunately, the valuation has become lofty, which is why I am waiting for a correction before buying.

Shareholder Returns

NXRTUS REITsUS Market
7D4.1%-1.4%-0.5%
1Y93.9%30.5%13.7%

Return vs Industry: NXRT exceeded the US REITs industry which returned 30.5% over the past year.

Return vs Market: NXRT exceeded the US Market which returned 13.7% over the past year.

Price Volatility

Is NXRT's price volatile compared to industry and market?
NXRT volatility
NXRT Average Weekly Movement3.7%
REITs Industry Average Movement3.9%
Market Average Movement6.6%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.4%

Stable Share Price: NXRT is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: NXRT's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/a3Jim Donderohttps://www.nexpointliving.com

NexPoint Residential Trust is a publicly traded REIT, with its shares listed on the New York Stock Exchange under the symbol "NXRT," primarily focused on acquiring, owning and operating well-located middle-income multifamily properties with "value-add" potential in large cities and suburban submarkets of large cities, primarily in the Southeastern and Southwestern United States. NXRT is externally advised by NexPoint Real Estate Advisors, L.P., an affiliate of NexPoint Advisors, L.P., an SEC-registered investment advisor, which has extensive real estate experience.

NexPoint Residential Trust Fundamentals Summary

How do NexPoint Residential Trust's earnings and revenue compare to its market cap?
NXRT fundamental statistics
Market CapUS$2.09b
Earnings (TTM)-US$19.88m
Revenue (TTM)US$211.29m

9.9x

P/S Ratio

-105.1x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NXRT income statement (TTM)
RevenueUS$211.29m
Cost of RevenueUS$93.53m
Gross ProfitUS$117.76m
ExpensesUS$137.64m
Earnings-US$19.88m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Feb 15, 2022

Earnings per share (EPS)-0.78
Gross Margin55.73%
Net Profit Margin-9.41%
Debt/Equity Ratio379.6%

How did NXRT perform over the long term?

See historical performance and comparison

Dividends

1.8%

Current Dividend Yield

56%

Payout Ratio

Valuation

Is NexPoint Residential Trust undervalued compared to its fair value and its price relative to the market?

19.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: NXRT ($82.46) is trading below our estimate of fair value ($102.89)

Significantly Below Fair Value: NXRT is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: NXRT is unprofitable, so we can't compare its PE Ratio to the US REITs industry average.

PE vs Market: NXRT is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate NXRT's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: NXRT is overvalued based on its PB Ratio (5.2x) compared to the US REITs industry average (2x).


Future Growth

How is NexPoint Residential Trust forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

28.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NXRT is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: NXRT is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: NXRT is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: NXRT's revenue (4.4% per year) is forecast to grow slower than the US market (9.3% per year).

High Growth Revenue: NXRT's revenue (4.4% 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 NXRT's Return on Equity is forecast to be high in 3 years time


Past Performance

How has NexPoint Residential Trust performed over the past 5 years?

5.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NXRT is currently unprofitable.

Growing Profit Margin: NXRT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NXRT is unprofitable, but has reduced losses over the past 5 years at a rate of 5.9% per year.

Accelerating Growth: Unable to compare NXRT's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: NXRT is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (29.5%).


Return on Equity

High ROE: NXRT has a negative Return on Equity (-4.86%), as it is currently unprofitable.


Financial Health

How is NexPoint Residential Trust's financial position?


Financial Position Analysis

Short Term Liabilities: NXRT's short term assets ($122.9M) exceed its short term liabilities ($46.9M).

Long Term Liabilities: NXRT's short term assets ($122.9M) do not cover its long term liabilities ($1.5B).


Debt to Equity History and Analysis

Debt Level: NXRT's net debt to equity ratio (375.1%) is considered high.

Reducing Debt: NXRT's debt to equity ratio has increased from 248.9% to 379.6% over the past 5 years.

Debt Coverage: NXRT's debt is not well covered by operating cash flow (4.4%).

Interest Coverage: NXRT's interest payments on its debt are not well covered by EBIT (0.4x coverage).


Balance Sheet


Dividend

What is NexPoint Residential Trust current dividend yield, its reliability and sustainability?

1.84%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: NXRT's dividend (1.84%) is higher than the bottom 25% of dividend payers in the US market (1.32%).

High Dividend: NXRT's dividend (1.84%) is low compared to the top 25% of dividend payers in the US market (3.44%).


Stability and Growth of Payments

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

Growing Dividend: NXRT's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (55.8%), NXRT's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: NXRT's dividends in 3 years are forecast to be covered by earnings (58.3% payout ratio).


Next Steps

Management

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

6.8yrs

Average management tenure


CEO

Jim Dondero (58 yo)

6.83yrs

Tenure

US$3,516,187

Compensation

Mr. James David Dondero, also known as Jim, CFA, CMA, CPA, served as a Director of Vinebrook Homes Trust, Inc. until August 22, 2021 and had been its Chief Executive Officer and President since February 20...


Leadership Team

Experienced Management: NXRT's management team is seasoned and experienced (6.8 years average tenure).


Board Members

Experienced Board: NXRT's board of directors are considered experienced (6.8 years average tenure).


Ownership

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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.6%.


Top Shareholders

Company Information

NexPoint Residential Trust, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: NexPoint Residential Trust, Inc.
  • Ticker: NXRT
  • Exchange: NYSE
  • Founded: NaN
  • Industry: Residential REITs
  • Sector: Real Estate
  • Implied Market Cap: US$2.088b
  • Market Cap: US$2.082b
  • Shares outstanding: 25.32m
  • Website: https://www.nexpointliving.com

Number of Employees


Location

  • NexPoint Residential Trust, Inc.
  • 300 Crescent Court
  • Suite 700
  • Dallas
  • Texas
  • 75201
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/16 23:19
End of Day Share Price2022/01/14 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.