TPG RE Finance Trust (NYSE:TRTX) Posts Earnings Results, Meets Expectations

Key Points

• TPG RE Finance Trust reported quarterly EPS of $0.25 and revenue of $37.31 million, meeting analysts' estimates, with a return on equity of 6.84% and a net margin of 18.14%.
• The company paid a $0.24 quarterly dividend (annualized $0.96) resulting in a 11.4% yield, but the dividend payout ratio is high at 171.43%, raising questions about sustainability.
• Shares traded at $8.42 (down 0.3%) with a market cap around $652 million, and Wall Street shows a consensus "Moderate Buy" rating with a $9.83 target amid mixed analyst moves.

TPG RE Finance Trust (NYSE:TRTX - Get Free Report) issued its quarterly earnings results on Tuesday. The company reported $0.25 EPS for the quarter, hitting the consensus estimate of $0.25, FiscalAI reports. The firm had revenue of $37.31 million during the quarter, compared to analysts' expectations of $37.14 million. TPG RE Finance Trust had a return on equity of 6.84% and a net margin of 18.14%.

TPG RE Finance Trust Trading Down 0.3%

Shares of NYSE TRTX traded down $0.03 during midday trading on Tuesday, reaching $8.42. 466,226 shares of the stock were exchanged, compared to its average volume of 745,856. The stock has a market capitalization of $652.33 million, a P/E ratio of 15.03, a PEG ratio of 1.40 and a beta of 1.50. The company has a debt-to-equity ratio of 3.02, a quick ratio of 183.34 and a current ratio of 183.34. The company has a 50 day simple moving average of $8.18 and a 200 day simple moving average of $8.68. TPG RE Finance Trust has a twelve month low of $7.25 and a twelve month high of $9.85.

TPG RE Finance Trust Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, April 24th. Stockholders of record on Friday, March 27th were paid a $0.24 dividend. The ex-dividend date of this dividend was Friday, March 27th. This represents a $0.96 annualized dividend and a dividend yield of 11.4%. TPG RE Finance Trust's dividend payout ratio is 171.43%.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on TRTX. Citizens Jmp raised shares of TPG RE Finance Trust from a "market perform" rating to an "outperform" rating and set a $10.00 target price for the company in a report on Thursday, March 12th. Weiss Ratings cut shares of TPG RE Finance Trust from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Monday, February 9th. Citigroup raised shares of TPG RE Finance Trust from a "market perform" rating to an "outperform" rating in a research note on Thursday, March 12th. JPMorgan Chase & Co. dropped their price target on TPG RE Finance Trust from $10.50 to $9.50 and set an "overweight" rating for the company in a research report on Thursday, April 16th. Finally, Zacks Research upgraded TPG RE Finance Trust from a "strong sell" rating to a "hold" rating in a research report on Tuesday, April 21st. Four equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $9.83.

Institutional Investors Weigh In On TPG RE Finance Trust

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Balyasny Asset Management L.P. increased its position in shares of TPG RE Finance Trust by 244.6% during the 2nd quarter. Balyasny Asset Management L.P. now owns 980,198 shares of the company's stock worth $7,567,000 after purchasing an additional 695,728 shares during the last quarter. Focus Partners Wealth acquired a new position in TPG RE Finance Trust in the fourth quarter valued at about $3,964,000. Millennium Management LLC lifted its position in TPG RE Finance Trust by 2,595.3% in the fourth quarter. Millennium Management LLC now owns 358,749 shares of the company's stock valued at $3,089,000 after buying an additional 345,439 shares during the last quarter. Norges Bank purchased a new position in TPG RE Finance Trust during the fourth quarter worth about $2,264,000. Finally, Two Sigma Investments LP increased its position in shares of TPG RE Finance Trust by 29.6% during the third quarter. Two Sigma Investments LP now owns 933,335 shares of the company's stock valued at $7,989,000 after acquiring an additional 213,226 shares during the last quarter. Hedge funds and other institutional investors own 57.12% of the company's stock.

TPG RE Finance Trust Company Profile

TPG RE Finance Trust, Inc NYSE: TRTX is a growth-oriented real estate finance company that originates and invests in a diversified portfolio of commercial real estate debt. The company’s primary business activities include the origination and acquisition of senior mortgage loans, mezzanine loans and preferred equity investments. These investments predominantly finance multifamily, office, industrial, retail and hospitality properties across the United States.

TPG RE Finance Trust pursues a flexible capital strategy, structuring transactions that range from first-lien floating-rate loans to subordinated debt and preferred equity.

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