NexPoint Residential Trust (NYSE:NXRT) Rating Lowered to Hold at Zacks Research

Key Points

• Zacks Research downgraded NexPoint Residential Trust from “strong buy” to “hold.” Other analysts remain cautious, with four hold ratings and two sell ratings, producing a consensus “Reduce” rating and an average price target of $22.
• NXRT shares opened at $24.27, down 0.7%, and remain below their 50-day and 200-day moving averages. The stock has traded between $23.47 and $34.87 over the past year, while carrying a high debt-to-equity ratio of 6.41.
• The company’s latest quarterly results modestly exceeded expectations, reporting a loss of $0.34 per share versus the projected loss of $0.37 and revenue of $64.61 million. Institutional investors own 76.61% of the stock.

NexPoint Residential Trust (NYSE:NXRT - Get Free Report) was downgraded by Zacks Research from a "strong-buy" rating to a "hold" rating in a research note issued on Tuesday,Zacks.com reports.

Several other analysts also recently issued reports on NXRT. Citizens Jmp reaffirmed a "market perform" rating on shares of NexPoint Residential Trust in a report on Thursday, August 20th. Deutsche Bank Aktiengesellschaft set a $18.00 price objective on shares of NexPoint Residential Trust in a research note on Monday, July 20th. Citigroup restated a "market perform" rating on shares of NexPoint Residential Trust in a research report on Thursday, August 20th. Weiss Ratings reaffirmed a "sell (d+)" rating on shares of NexPoint Residential Trust in a research note on Friday, July 31st. Finally, Truist Financial lowered their target price on NexPoint Residential Trust from $27.00 to $26.00 and set a "hold" rating on the stock in a report on Tuesday, June 30th. Four equities research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, NexPoint Residential Trust has an average rating of "Reduce" and an average target price of $22.00.

NexPoint Residential Trust Stock Down 0.7%

NXRT opened at $24.27 on Tuesday. The business's fifty day moving average is $26.33 and its two-hundred day moving average is $27.23. The company has a debt-to-equity ratio of 6.41, a quick ratio of 1.92 and a current ratio of 1.92. The company has a market cap of $620.10 million, a price-to-earnings ratio of -18.25 and a beta of 1.18. NexPoint Residential Trust has a one year low of $23.47 and a one year high of $34.87.

NexPoint Residential Trust (NYSE:NXRT - Get Free Report) last announced its quarterly earnings results on Tuesday, August 4th. The financial services provider reported ($0.34) earnings per share for the quarter, beating analysts' consensus estimates of ($0.37) by $0.03. The business had revenue of $64.61 million during the quarter, compared to analysts' expectations of $63.78 million. NexPoint Residential Trust had a negative return on equity of 11.75% and a negative net margin of 13.22%.NexPoint Residential Trust has set its FY 2026 guidance at 2.450-2.450 EPS. Analysts anticipate that NexPoint Residential Trust will post 2.38 EPS for the current fiscal year.

Hedge Funds Weigh In On NexPoint Residential Trust

Institutional investors and hedge funds have recently modified their holdings of the company. Allworth Financial LP purchased a new stake in NexPoint Residential Trust in the 2nd quarter worth approximately $33,000. Ameritas Advisory Services LLC purchased a new position in shares of NexPoint Residential Trust during the 2nd quarter worth $39,000. PNC Financial Services Group Inc. lifted its stake in shares of NexPoint Residential Trust by 29.9% during the 1st quarter. PNC Financial Services Group Inc. now owns 1,723 shares of the financial services provider's stock worth $43,000 after purchasing an additional 397 shares during the period. Federation des caisses Desjardins du Quebec boosted its holdings in shares of NexPoint Residential Trust by 27.4% during the fourth quarter. Federation des caisses Desjardins du Quebec now owns 1,796 shares of the financial services provider's stock worth $54,000 after purchasing an additional 386 shares during the last quarter. Finally, Tower Research Capital LLC TRC boosted its holdings in shares of NexPoint Residential Trust by 121.1% during the second quarter. Tower Research Capital LLC TRC now owns 2,656 shares of the financial services provider's stock worth $88,000 after purchasing an additional 1,455 shares during the last quarter. Hedge funds and other institutional investors own 76.61% of the company's stock.

About NexPoint Residential Trust

NexPoint Residential Trust is a real estate investment trust focused on the acquisition, leasing and management of single‐family rental homes across the United States. The company targets suburban and Sun Belt markets with favorable demographic trends, seeking to build a diversified portfolio of standalone residences that serve the growing demand for quality rental housing. By concentrating on professionally managed homes rather than multi‐family apartments, NexPoint Residential Trust aims to offer tenants the benefits of privacy and space, while generating predictable rental income for investors.

The firm’s investment strategy combines direct acquisitions of built single‐family homes with selective joint ventures and partnerships to optimize scale and geographic diversification.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source