Arbor Realty Trust (NYSE:ABR) Stock Price Up 7.2% - What's Next?

Key Points

• Arbor Realty Trust shares jumped 7.2% to about $2.80, though trading volume was 86% below the average session volume.
• Analyst sentiment remains cautious: the stock has a consensus “Reduce” rating, with three Holds and three Sells, while the average price target is $5.12 after several recent target cuts.
• The company reported quarterly EPS of $0.10, beating estimates by $0.05, and maintains a $0.17 quarterly dividend yielding approximately 24.7%; however, its dividend payout ratio is an unusually high 971.43%.

Arbor Realty Trust (NYSE:ABR - Get Free Report) shares shot up 7.2% during trading on Thursday. The company traded as high as $2.73 and last traded at $2.7970. 628,861 shares traded hands during mid-day trading, a decline of 86% from the average session volume of 4,357,515 shares. The stock had previously closed at $2.61.

Analysts Set New Price Targets

ABR has been the topic of several recent research reports. JPMorgan Chase & Co. raised shares of Arbor Realty Trust from an "underweight" rating to a "neutral" rating and lowered their price objective for the stock from $7.00 to $5.50 in a research note on Friday, July 17th. Zacks Research raised shares of Arbor Realty Trust from a "strong sell" rating to a "hold" rating in a research note on Monday, August 31st. Weiss Ratings lowered shares of Arbor Realty Trust from a "sell (d+)" rating to a "sell (d)" rating in a research report on Thursday, July 30th. Piper Sandler cut their price objective on Arbor Realty Trust from $5.00 to $3.50 and set an "underweight" rating for the company in a report on Friday, October 9th. Finally, Keefe, Bruyette & Woods reduced their price target on Arbor Realty Trust from $5.00 to $3.00 and set an "underperform" rating for the company in a report on Friday, October 9th. Three equities research analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of "Reduce" and a consensus target price of $5.12.

Arbor Realty Trust Stock Performance

The firm has a fifty day simple moving average of $4.51 and a 200 day simple moving average of $5.53. The company has a debt-to-equity ratio of 2.33, a current ratio of 478.85 and a quick ratio of 478.85. The company has a market cap of $513.97 million, a price-to-earnings ratio of 39.36 and a beta of 1.22.

Arbor Realty Trust (NYSE:ABR - Get Free Report) last announced its earnings results on Friday, July 31st. The real estate investment trust reported $0.10 EPS for the quarter, topping the consensus estimate of $0.05 by $0.05. Arbor Realty Trust had a net margin of 6.24% and a return on equity of 7.38%. The firm had revenue of $117.83 million for the quarter, compared to the consensus estimate of $107.75 million. On average, sell-side analysts expect that Arbor Realty Trust will post 0.19 earnings per share for the current fiscal year.

Arbor Realty Trust Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, August 28th. Investors of record on Friday, August 14th were paid a dividend of $0.17 per share. The ex-dividend date was Friday, August 14th. This represents a $0.68 annualized dividend and a yield of 24.7%. Arbor Realty Trust's dividend payout ratio is presently 971.43%.

Insider Transactions at Arbor Realty Trust

In other Arbor Realty Trust news, Director William Green purchased 25,951 shares of the company's stock in a transaction on Monday, August 31st. The shares were bought at an average cost of $5.07 per share, with a total value of $131,571.57. Following the transaction, the director directly owned 231,369 shares in the company, valued at approximately $1,173,040.83. This represents a 12.63% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through the SEC website. 4.20% of the stock is owned by company insiders.

Institutional Trading of Arbor Realty Trust

A number of hedge funds have recently bought and sold shares of ABR. BlackRock Inc. bought a new stake in shares of Arbor Realty Trust in the 2nd quarter worth approximately $143,448,000. Bank of New York Mellon Corp bought a new position in shares of Arbor Realty Trust during the second quarter valued at $7,702,000. Principal Financial Group Inc. boosted its position in Arbor Realty Trust by 2.0% in the first quarter. Principal Financial Group Inc. now owns 951,200 shares of the real estate investment trust's stock valued at $7,334,000 after buying an additional 18,529 shares in the last quarter. Miller Value Partners LLC bought a new position in shares of Arbor Realty Trust in the second quarter valued at approximately $3,312,000. Finally, Odyssean LLC boosted its holdings in shares of Arbor Realty Trust by 227.4% in the 2nd quarter. Odyssean LLC now owns 570,598 shares of the real estate investment trust's stock worth $3,093,000 after acquiring an additional 396,292 shares in the last quarter. 57.25% of the stock is owned by institutional investors.

About Arbor Realty Trust

Arbor Realty Trust, Inc is a real estate investment trust that provides financing for multifamily and other commercial real estate properties. The company originates, acquires, and invests in a range of structured finance products, including bridge loans, mezzanine loans, preferred equity investments, and other real estate-related debt investments.

Through its lending platforms and subsidiaries, Arbor Realty Trust also provides agency lending services for multifamily properties. These activities include originating and servicing loans through programs associated with Fannie Mae, Freddie Mac, and the U.S.

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.