Claros Mortgage Trust (NYSE:CMTG) Coverage Initiated at UBS Group

Key Points

• UBS Group initiated coverage on Claros Mortgage Trust with a neutral rating and a $2.75 price target, implying about 18.9% upside from the stock’s current level.
• Other analysts remain cautious: the stock’s overall consensus rating is Strong Sell, with a consensus target price of $2.50.
• Claros Mortgage Trust reported weaker-than-expected Q1 earnings, posting EPS of -$0.52 versus an expected -$0.24 and revenue of $29.52 million versus $36.94 million forecast.

Equities researchers at UBS Group initiated coverage on shares of Claros Mortgage Trust (NYSE:CMTG - Get Free Report) in a research report issued to clients and investors on Thursday, MarketBeat reports. The firm set a "neutral" rating and a $2.75 price target on the stock. UBS Group's price objective points to a potential upside of 18.89% from the company's current price.

A number of other research analysts have also issued reports on the company. Wall Street Zen upgraded Claros Mortgage Trust from a "sell" rating to a "hold" rating in a research report on Saturday, July 4th. Keefe, Bruyette & Woods cut their price target on Claros Mortgage Trust from $2.50 to $2.25 and set an "underperform" rating on the stock in a research note on Wednesday, May 13th. Finally, Weiss Ratings lowered Claros Mortgage Trust from a "sell (d-)" rating to a "sell (e+)" rating in a report on Wednesday, July 1st. One equities research analyst has rated the stock with a Hold rating and three have given a Sell rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Strong Sell" and a consensus target price of $2.50.

Claros Mortgage Trust Stock Down 2.4%

Shares of CMTG traded down $0.06 during trading hours on Thursday, hitting $2.31. The company had a trading volume of 65,517 shares, compared to its average volume of 546,510. The company has a current ratio of 21.44, a quick ratio of 21.44 and a debt-to-equity ratio of 1.53. The company's fifty day moving average price is $2.37 and its two-hundred day moving average price is $2.52. Claros Mortgage Trust has a one year low of $2.05 and a one year high of $3.99. The company has a market capitalization of $324.33 million, a PE ratio of -0.70 and a beta of 1.13.

Claros Mortgage Trust (NYSE:CMTG - Get Free Report) last posted its quarterly earnings results on Wednesday, May 6th. The company reported ($0.52) EPS for the quarter, missing the consensus estimate of ($0.24) by ($0.28). The company had revenue of $29.52 million during the quarter, compared to analyst estimates of $36.94 million. Claros Mortgage Trust had a negative net margin of 267.14% and a negative return on equity of 19.34%. As a group, equities analysts forecast that Claros Mortgage Trust will post -1.66 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Claros Mortgage Trust

Large investors have recently added to or reduced their stakes in the stock. Bank of America Corp DE increased its holdings in Claros Mortgage Trust by 41.0% in the 1st quarter. Bank of America Corp DE now owns 108,263 shares of the company's stock worth $258,000 after buying an additional 31,494 shares during the period. Renaissance Technologies LLC raised its position in shares of Claros Mortgage Trust by 81.4% during the 1st quarter. Renaissance Technologies LLC now owns 48,800 shares of the company's stock worth $116,000 after acquiring an additional 21,900 shares in the last quarter. Sei Investments Co. boosted its stake in shares of Claros Mortgage Trust by 152.3% during the first quarter. Sei Investments Co. now owns 158,724 shares of the company's stock worth $378,000 after buying an additional 95,805 shares during the period. Mariner LLC purchased a new position in Claros Mortgage Trust in the fourth quarter valued at about $38,000. Finally, Focus Partners Wealth acquired a new stake in Claros Mortgage Trust during the third quarter worth approximately $34,000. 89.53% of the stock is owned by hedge funds and other institutional investors.

Claros Mortgage Trust Company Profile

Claros Mortgage Trust is a specialty finance company structured as a real estate investment trust that acquires and manages a portfolio of newly originated, conventional residential mortgage loans guaranteed or insured by U.S. government‐sponsored enterprises. The company concentrates on Agency collateral, including loans backed by Ginnie Mae, Fannie Mae and Freddie Mac, aiming to generate current income while preserving capital through high‐quality, credit‐enhanced assets.

Under an external management agreement with Claros Mortgage Capital Advisors LLC, the firm leverages a seasoned team to source, underwrite and service mortgage assets.

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