AMREP (NYSE:AXR) Releases Quarterly Earnings Results, Misses Expectations By $0.39 EPS

Key Points

• AMREP significantly missed quarterly expectations: The company reported earnings of $0.05 per share versus the $0.44 consensus estimate, while revenue of $6.05 million fell well short of the expected $14.27 million.
• Shares edged higher despite the weak results: AMREP stock rose 0.1% to $23.00, with a market capitalization of approximately $122.45 million and a 52-week trading range of $17.61 to $29.01.
• Analyst sentiment remains cautious: Weiss Ratings downgraded AMREP to “hold (c),” while the two analysts covering the stock maintain a consensus “Hold” rating. Insiders own 37.4% of the company, and institutional investors hold 59.85%.

AMREP (NYSE:AXR - Get Free Report) released its earnings results on Friday. The business services provider reported $0.05 earnings per share for the quarter, missing analysts' consensus estimates of $0.44 by ($0.39), FiscalAI reports. The firm had revenue of $6.05 million for the quarter, compared to analysts' expectations of $14.27 million. AMREP had a net margin of 19.47% and a return on equity of 7.47%.

AMREP Trading Up 0.1%

Shares of NYSE:AXR traded up $0.03 during midday trading on Friday, reaching $23.00. 13,660 shares of the company were exchanged, compared to its average volume of 9,275. The stock has a market cap of $122.45 million, a PE ratio of 12.10 and a beta of 1.10. The business's fifty day moving average is $23.74 and its two-hundred day moving average is $25.42. AMREP has a one year low of $17.61 and a one year high of $29.01.

Analysts Set New Price Targets

Separately, Weiss Ratings cut AMREP from a "hold (c+)" rating to a "hold (c)" rating in a report on Tuesday, July 28th. Two investment analysts have rated the stock with a Hold rating, According to MarketBeat.com, AMREP presently has a consensus rating of "Hold".

Insiders Place Their Bets

In other news, CFO Adrienne Uleau sold 4,000 shares of the firm's stock in a transaction dated Thursday, July 30th. The stock was sold at an average price of $23.49, for a total transaction of $93,960.00. Following the completion of the transaction, the chief financial officer owned 6,574 shares in the company, valued at $154,423.26. This trade represents a 37.83% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, major shareholder James H. Dahl bought 3,075 shares of AMREP stock in a transaction dated Monday, June 22nd. The stock was purchased at an average cost of $25.58 per share, for a total transaction of $78,658.50. Following the completion of the acquisition, the insider directly owned 501,708 shares of the company's stock, valued at approximately $12,833,690.64. The trade was a 0.62% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders own 37.40% of the company's stock.

Hedge Funds Weigh In On AMREP

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in AXR. AlphaCentric Advisors LLC bought a new position in shares of AMREP in the 4th quarter valued at about $1,222,000. Citadel Advisors LLC bought a new stake in AMREP during the third quarter worth approximately $453,000. Crossingbridge Advisors LLC increased its stake in AMREP by 30.0% during the fourth quarter. Crossingbridge Advisors LLC now owns 65,000 shares of the business services provider's stock worth $1,222,000 after acquiring an additional 15,000 shares during the last quarter. Susquehanna International Group LLP raised its position in AMREP by 36.2% during the third quarter. Susquehanna International Group LLP now owns 21,989 shares of the business services provider's stock valued at $526,000 after purchasing an additional 5,840 shares during the period. Finally, Robotti Robert raised its position in AMREP by 0.8% during the fourth quarter. Robotti Robert now owns 521,765 shares of the business services provider's stock valued at $9,809,000 after purchasing an additional 4,327 shares during the period. 59.85% of the stock is owned by institutional investors.

AMREP Company Profile

AMREP Corporation NYSE: AXR is a Denver-area based company specializing in land development and natural resource management. Since its founding in 1961, AMREP has built a diversified platform that spans real estate operations and resource extraction, serving both individual and institutional clients in the western United States.

Through its real estate segment, AMREP Southwest Inc acquires, develops and markets residential lots in planned communities across New Mexico and Colorado. Notable projects include the Tanoan Country Club and adjacent residential neighborhoods near Albuquerque, where the company employs a direct-to-consumer marketing model to reach out-of-state and local buyers.

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