Newmark Group (NASDAQ:NMRK) Hits New 1-Year Low - Should You Sell?

Key Points

• Newmark Group shares fell to a new 52-week low of $12.43, well below their 50-day and 200-day moving averages of roughly $14.92 and $15.07.
• Despite the decline, analyst sentiment remains generally positive: five analysts rate the stock Buy and two rate it Hold, producing a “Moderate Buy” consensus and an average price target of $20.30.
• The company reported quarterly revenue of $888.4 million, up 17% year over year, while meeting EPS estimates at $0.39; it also maintains a $0.06 quarterly dividend, equivalent to a 1.9% yield.

Shares of Newmark Group, Inc. (NASDAQ:NMRK - Get Free Report) hit a new 52-week low during trading on Tuesday. The stock traded as low as $12.43 and last traded at $12.49, with a volume of 1720564 shares traded. The stock had previously closed at $13.06.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on NMRK shares. Citigroup reaffirmed a "market outperform" rating on shares of Newmark Group in a research report on Monday, August 10th. Keefe, Bruyette & Woods reissued an "outperform" rating on shares of Newmark Group in a research report on Thursday. Weiss Ratings restated a "hold (c+)" rating on shares of Newmark Group in a research note on Friday, August 7th. Wall Street Zen downgraded Newmark Group from a "strong-buy" rating to a "buy" rating in a report on Wednesday, August 5th. Finally, Zacks Research lowered Newmark Group from a "strong-buy" rating to a "hold" rating in a research note on Friday, September 18th. Five research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $20.30.

Newmark Group Price Performance

The company has a current ratio of 0.55, a quick ratio of 0.55 and a debt-to-equity ratio of 0.50. The stock has a market cap of $2.26 billion, a PE ratio of 15.42 and a beta of 1.67. The company's 50 day moving average is $14.92 and its 200-day moving average is $15.07.

Newmark Group (NASDAQ:NMRK - Get Free Report) last issued its quarterly earnings results on Wednesday, July 29th. The company reported $0.39 EPS for the quarter, meeting analysts' consensus estimates of $0.39. Newmark Group had a return on equity of 27.07% and a net margin of 4.11%.The firm had revenue of $888.42 million during the quarter, compared to the consensus estimate of $865.24 million. During the same quarter in the prior year, the business posted $0.31 earnings per share. Newmark Group's revenue for the quarter was up 17.0% on a year-over-year basis. Newmark Group has set its FY 2026 guidance at 1.870-1.980 EPS. As a group, sell-side analysts predict that Newmark Group, Inc. will post 1.97 earnings per share for the current year.

Newmark Group Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, August 28th. Shareholders of record on Friday, August 14th were paid a dividend of $0.06 per share. The ex-dividend date was Friday, August 14th. This represents a $0.24 annualized dividend and a yield of 1.9%. Newmark Group's dividend payout ratio is presently 29.63%.

Institutional Trading of Newmark Group

A number of institutional investors and hedge funds have recently modified their holdings of the business. Dimensional Fund Advisors LP boosted its position in shares of Newmark Group by 4.4% during the 1st quarter. Dimensional Fund Advisors LP now owns 5,343,384 shares of the company's stock valued at $80,095,000 after purchasing an additional 227,649 shares in the last quarter. Systematic Financial Management LP grew its stake in shares of Newmark Group by 7.7% in the 1st quarter. Systematic Financial Management LP now owns 1,692,518 shares of the company's stock worth $25,371,000 after purchasing an additional 121,011 shares during the last quarter. Bank of New York Mellon Corp raised its holdings in shares of Newmark Group by 18.9% in the 1st quarter. Bank of New York Mellon Corp now owns 1,173,058 shares of the company's stock worth $17,584,000 after purchasing an additional 186,236 shares in the last quarter. Sei Investments Co. raised its holdings in shares of Newmark Group by 9.6% in the 1st quarter. Sei Investments Co. now owns 814,101 shares of the company's stock worth $12,203,000 after purchasing an additional 71,516 shares in the last quarter. Finally, Bank of America Corp DE lifted its stake in Newmark Group by 30.6% during the first quarter. Bank of America Corp DE now owns 543,309 shares of the company's stock valued at $8,144,000 after purchasing an additional 127,365 shares during the last quarter. 58.42% of the stock is owned by institutional investors and hedge funds.

Newmark Group Company Profile

Newmark Group, Inc is a commercial real estate services company that provides advisory, transaction, and property-related services to corporate, institutional, and private clients. Its activities include office and industrial leasing, investment sales, debt and equity placement, valuation, consulting, and corporate real estate advisory.

The company also offers property management, facilities management, project management, and other services intended to support the ownership, operation, and strategic planning of commercial real estate.

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