NexPoint Residential Trust (NYSE:NXRT) Stock Rating Cut to Strong Sell at Zacks Research

Zacks Research cut shares of NexPoint Residential Trust (NYSE:NXRT) from a hold rating to a strong sell rating in a report issued on Tuesday morning,Zacks reports.

Other research analysts also recently issued reports about the stock. Citigroup restated a “market perform” rating on shares of NexPoint Residential Trust in a research report on Thursday, August 20th. Truist Financial lowered their price objective on shares of NexPoint Residential Trust from $26.00 to $18.00 and set a “hold” rating for the company in a research report on Tuesday, September 29th. Citizens Jmp reaffirmed a “market perform” rating on shares of NexPoint Residential Trust in a research report on Thursday, August 20th. Deutsche Bank Aktiengesellschaft set a $23.00 price objective on shares of NexPoint Residential Trust in a research note on Wednesday, September 9th. Finally, Weiss Ratings lowered shares of NexPoint Residential Trust from a “sell (d+)” rating to a “sell (d)” rating in a research note on Thursday, October 8th. Three equities research analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat.com, NexPoint Residential Trust presently has an average rating of “Reduce” and a consensus price target of $20.50.

NexPoint Residential Trust Stock Performance

Shares of NXRT opened at $18.31 on Tuesday. The business’s fifty day moving average price is $22.25 and its 200 day moving average price is $25.61. NexPoint Residential Trust has a 12-month low of $18.14 and a 12-month high of $32.36. The stock has a market capitalization of $467.90 million, a PE ratio of -13.77, a price-to-earnings-growth ratio of 0.50 and a beta of 1.18. The company has a debt-to-equity ratio of 6.41, a current ratio of 1.92 and a quick ratio of 1.92.

NexPoint Residential Trust (NYSE:NXRT) last released its quarterly earnings data on Tuesday, August 4th. The financial services provider reported ($0.34) EPS for the quarter, topping analysts’ consensus estimates of ($0.37) by $0.03. NexPoint Residential Trust had a negative net margin of 13.22% and a negative return on equity of 11.75%. The firm had revenue of $64.61 million during the quarter, compared to the consensus estimate of $63.78 million. NexPoint Residential Trust has set its FY 2026 guidance at 2.450-2.450 EPS. Equities research analysts forecast that NexPoint Residential Trust will post 2.24 EPS for the current year.

NexPoint Residential Trust Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Tuesday, September 15th were paid a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a yield of 11.6%. The ex-dividend date was Tuesday, September 15th. NexPoint Residential Trust’s dividend payout ratio is presently -159.40%.

Insiders Place Their Bets

In related news, insider Matt Mcgraner bought 5,500 shares of the company’s stock in a transaction on Monday, October 5th. The shares were purchased at an average cost of $18.42 per share, with a total value of $101,310.00. Following the completion of the transaction, the insider directly owned 361,605 shares of the company’s stock, valued at approximately $6,660,764.10. This represents a 1.54% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is accessible through the SEC website. 16.63% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On NexPoint Residential Trust

Several hedge funds and other institutional investors have recently modified their holdings of the company. Sequoia Financial Advisors LLC acquired a new position in shares of NexPoint Residential Trust during the second quarter worth approximately $320,000. Integrated Wealth Concepts LLC bought a new position in NexPoint Residential Trust in the 2nd quarter worth approximately $51,000. Squarepoint Ops LLC bought a new position in NexPoint Residential Trust in the 2nd quarter worth approximately $330,000. Allworth Financial LP increased its position in NexPoint Residential Trust by 95.0% in the 2nd quarter. Allworth Financial LP now owns 1,172 shares of the financial services provider’s stock valued at $33,000 after acquiring an additional 571 shares during the period. Finally, HighTower Advisors LLC increased its position in NexPoint Residential Trust by 9.0% in the 2nd quarter. HighTower Advisors LLC now owns 24,938 shares of the financial services provider’s stock valued at $696,000 after acquiring an additional 2,052 shares during the period. Institutional investors and hedge funds own 76.61% of the company’s stock.

About NexPoint Residential Trust

NexPoint Residential Trust, Inc (NYSE:NXRT) is a real estate investment trust focused on acquiring, owning and operating multifamily apartment communities in the United States. The company primarily targets properties in the Southeastern and Southwestern regions, with an emphasis on markets that offer population growth, employment expansion and favorable housing demand.

NexPoint Residential Trust’s portfolio generally consists of Class A and Class B apartment communities. Its business strategy includes renovating and repositioning properties to improve their appeal, operating performance and long-term value.