Jupiter Topco LLC Invests $63.43 Million in Walker & Dunlop, Inc. $WD

Key Points

• Jupiter Topco acquired 1.16 million shares of Walker & Dunlop worth approximately $63.4 million, giving it a 3.38% stake. Institutional investors collectively own 80.97% of the company.
• Walker & Dunlop reported quarterly EPS of $1.19, beating estimates of $0.90, but revenue fell 3.9% year over year to $306.7 million, below expectations.
• The company declared a quarterly dividend of $0.68, equivalent to a 6.8% annualized yield; analysts maintain a “Moderate Buy” consensus with an average price target of $64, despite the stock trading near its 52-week low.

Jupiter Topco LLC purchased a new position in Walker & Dunlop, Inc. (NYSE:WD - Free Report) in the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 1,159,668 shares of the financial services provider's stock, valued at approximately $63,434,000. Jupiter Topco LLC owned about 3.38% of Walker & Dunlop as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently modified their holdings of the stock. BlackRock Inc. bought a new position in shares of Walker & Dunlop in the second quarter worth approximately $289,614,000. Balyasny Asset Management L.P. bought a new stake in Walker & Dunlop during the 2nd quarter valued at $15,147,000. Bank of America Corp DE boosted its position in Walker & Dunlop by 75.2% during the 1st quarter. Bank of America Corp DE now owns 477,737 shares of the financial services provider's stock valued at $21,202,000 after buying an additional 204,979 shares during the period. Two Sigma Investments LP boosted its position in Walker & Dunlop by 238.2% during the 3rd quarter. Two Sigma Investments LP now owns 284,067 shares of the financial services provider's stock valued at $23,754,000 after buying an additional 200,074 shares during the period. Finally, Bank of New York Mellon Corp purchased a new position in shares of Walker & Dunlop in the second quarter valued at about $10,454,000. 80.97% of the stock is owned by institutional investors.

Walker & Dunlop Trading Down 0.2%

Shares of WD opened at $40.22 on Friday. The firm's 50-day moving average price is $48.00 and its 200-day moving average price is $49.85. The firm has a market capitalization of $1.38 billion, a price-to-earnings ratio of 35.91 and a beta of 1.49. Walker & Dunlop, Inc. has a 1-year low of $39.01 and a 1-year high of $90.00.

Walker & Dunlop (NYSE:WD - Get Free Report) last issued its quarterly earnings results on Thursday, August 6th. The financial services provider reported $1.19 earnings per share for the quarter, topping the consensus estimate of $0.90 by $0.29. Walker & Dunlop had a return on equity of 7.25% and a net margin of 2.94%.The company had revenue of $306.69 million for the quarter, compared to analysts' expectations of $337.37 million. During the same period in the prior year, the firm earned $1.15 earnings per share. The firm's revenue for the quarter was down 3.9% on a year-over-year basis.

Walker & Dunlop Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Stockholders of record on Thursday, August 20th will be paid a $0.68 dividend. The ex-dividend date is Thursday, August 20th. This represents a $2.72 annualized dividend and a dividend yield of 6.8%. Walker & Dunlop's payout ratio is currently 242.86%.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on WD. Citizens Jmp dropped their target price on shares of Walker & Dunlop from $70.00 to $55.00 and set a "market outperform" rating for the company in a report on Tuesday, August 18th. Wall Street Zen downgraded Walker & Dunlop from a "hold" rating to a "sell" rating in a report on Saturday, August 8th. Weiss Ratings lowered Walker & Dunlop from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Tuesday, August 18th. Citigroup reiterated a "market outperform" rating on shares of Walker & Dunlop in a research report on Tuesday, August 18th. Finally, Keefe, Bruyette & Woods reduced their target price on Walker & Dunlop from $63.00 to $57.00 and set an "outperform" rating on the stock in a research note on Friday, August 7th. Five equities research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, Walker & Dunlop currently has an average rating of "Moderate Buy" and an average target price of $64.00.

About Walker & Dunlop

Walker & Dunlop is one of the largest providers of commercial real estate finance in the United States, specializing in the origination, servicing and sale of loans secured by multifamily, seniors housing, healthcare, student housing and manufactured housing properties. The firm offers a full suite of debt and equity solutions, including agency financing through Fannie Mae and Freddie Mac, HUD and FHA-insured loans, bridge and construction financing, mezzanine debt, preferred equity, and investment sales advisory.

With roots dating back to 1937 and its headquarters in Bethesda, Maryland, Walker & Dunlop has expanded its platform through both organic growth and strategic acquisitions.

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