NexPoint Residential Trust, Inc. (NYSE:NXRT) Given Consensus Recommendation of "Reduce" by Analysts

Key Points

• Analysts' consensus: Seven firms covering NXRT give a consensus rating of "Reduce" (2 sell, 5 hold) with an average 12‑month price target of $34.75.
• Earnings and outlook: NexPoint reported Q1 EPS of ($0.27) beating the ($0.37) estimate and revenue of $63.54M, and set FY2026 guidance at 2.570 EPS versus sell‑side expectations of ~2.2, although the company still shows a negative net margin (-12.67%) and negative ROE (-10.30%).
• Income and insider activity: The company announced a $0.53 quarterly dividend (annualized $2.12, a 7.3% yield) despite a -166.93% payout ratio, while insiders bought shares recently and insiders own 16.63% of the stock (institutional ownership 76.61%).

NexPoint Residential Trust, Inc. (NYSE:NXRT - Get Free Report) has been given a consensus recommendation of "Reduce" by the seven research firms that are presently covering the firm, Marketbeat reports. Two research analysts have rated the stock with a sell recommendation and five have given a hold recommendation to the company. The average 12 month price target among brokerages that have covered the stock in the last year is $34.75.

Several research firms recently issued reports on NXRT. Wall Street Zen raised shares of NexPoint Residential Trust from a "strong sell" rating to a "sell" rating in a research report on Saturday. Truist Financial reduced their price target on shares of NexPoint Residential Trust from $30.00 to $27.00 and set a "hold" rating for the company in a research report on Wednesday, March 11th. Raymond James Financial reissued an "underperform" rating on shares of NexPoint Residential Trust in a research report on Friday, February 27th. Weiss Ratings reiterated a "sell (d)" rating on shares of NexPoint Residential Trust in a research note on Tuesday, April 21st. Finally, Citigroup reiterated a "market perform" rating on shares of NexPoint Residential Trust in a research note on Tuesday, March 10th.

NexPoint Residential Trust Stock Performance

NYSE NXRT opened at $28.92 on Friday. The company has a fifty day simple moving average of $26.44 and a 200 day simple moving average of $29.07. NexPoint Residential Trust has a 12-month low of $23.79 and a 12-month high of $38.93. The company has a current ratio of 2.40, a quick ratio of 2.27 and a debt-to-equity ratio of 5.75. The company has a market cap of $737.17 million, a P/E ratio of -22.77 and a beta of 1.20.

NexPoint Residential Trust (NYSE:NXRT - Get Free Report) last posted its quarterly earnings results on Tuesday, April 28th. The financial services provider reported ($0.27) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.37) by $0.10. NexPoint Residential Trust had a negative net margin of 12.67% and a negative return on equity of 10.30%. The business had revenue of $63.54 million during the quarter, compared to the consensus estimate of $63.20 million. NexPoint Residential Trust has set its FY 2026 guidance at 2.570-2.570 EPS. Sell-side analysts predict that NexPoint Residential Trust will post 2.2 earnings per share for the current fiscal year.

NexPoint Residential Trust Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Stockholders of record on Monday, June 15th will be paid a $0.53 dividend. The ex-dividend date is Monday, June 15th. This represents a $2.12 annualized dividend and a dividend yield of 7.3%. NexPoint Residential Trust's dividend payout ratio is presently -166.93%.

Insider Buying and Selling at NexPoint Residential Trust

In other news, insider Paul Richards bought 1,500 shares of NexPoint Residential Trust stock in a transaction dated Thursday, March 19th. The stock was purchased at an average price of $24.81 per share, for a total transaction of $37,215.00. Following the purchase, the insider directly owned 30,359 shares in the company, valued at $753,206.79. The trade was a 5.20% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Matt Mcgraner purchased 2,000 shares of NexPoint Residential Trust stock in a transaction that occurred on Friday, March 20th. The shares were bought at an average price of $24.37 per share, with a total value of $48,740.00. Following the transaction, the insider owned 331,334 shares of the company's stock, valued at $8,074,609.58. This trade represents a 0.61% increase in their position. The SEC filing for this purchase provides additional information. In the last quarter, insiders bought 8,700 shares of company stock valued at $223,777. Company insiders own 16.63% of the company's stock.

Hedge Funds Weigh In On NexPoint Residential Trust

Several institutional investors have recently added to or reduced their stakes in the stock. Commonwealth of Pennsylvania Public School Empls Retrmt SYS grew its position in NexPoint Residential Trust by 21.0% during the first quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 15,779 shares of the financial services provider's stock valued at $394,000 after buying an additional 2,737 shares during the period. Resona Asset Management Co. Ltd. grew its position in NexPoint Residential Trust by 6.5% during the first quarter. Resona Asset Management Co. Ltd. now owns 9,711 shares of the financial services provider's stock valued at $242,000 after buying an additional 596 shares during the period. Abel Hall LLC bought a new position in NexPoint Residential Trust during the first quarter valued at about $390,000. IFM Investors Pty Ltd bought a new position in NexPoint Residential Trust during the first quarter valued at about $90,000. Finally, Inspire Investing LLC grew its position in NexPoint Residential Trust by 31.0% during the first quarter. Inspire Investing LLC now owns 20,412 shares of the financial services provider's stock valued at $510,000 after buying an additional 4,830 shares during the period. Institutional investors own 76.61% of the company's stock.

NexPoint Residential Trust Company Profile

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.

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