Weiss Ratings Reiterates Sell (D+) Rating for NexPoint Real Estate Finance (NYSE:NREF)

Key Points

• Weiss Ratings has reiterated a Sell (D+) rating for NexPoint Real Estate Finance (NYSE:NREF), indicating potential concerns about the stock's performance.
• Other firms, including Wall Street Zen, have also downgraded NREF, reflecting a broader trend of negative sentiment, as the stock now holds an average target price of $14.75.
• Despite the downgrades, President James D. Dondero recently purchased 66,000 shares, suggesting insider confidence in the company's long-term prospects.

NexPoint Real Estate Finance (NYSE:NREF - Get Free Report)'s stock had its "sell (d+)" rating reiterated by analysts at Weiss Ratings in a report released on Saturday,Weiss Ratings reports.

A number of other research firms have also weighed in on NREF. Wall Street Zen lowered shares of NexPoint Real Estate Finance from a "hold" rating to a "sell" rating in a research report on Saturday. Piper Sandler set a $15.00 price objective on shares of NexPoint Real Estate Finance and gave the company a "neutral" rating in a research report on Monday, August 4th. Three investment analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, NexPoint Real Estate Finance has an average rating of "Reduce" and an average target price of $14.75.

NexPoint Real Estate Finance Stock Performance

NYSE:NREF opened at $13.58 on Friday. The firm's fifty day moving average price is $14.37 and its 200 day moving average price is $14.29. NexPoint Real Estate Finance has a 1-year low of $12.14 and a 1-year high of $18.09. The company has a debt-to-equity ratio of 1.58, a current ratio of 207.44 and a quick ratio of 207.44. The firm has a market cap of $240.64 million, a price-to-earnings ratio of 5.63 and a beta of 1.28.

Insider Activity

In other news, President James D. Dondero purchased 66,000 shares of the business's stock in a transaction dated Monday, September 22nd. The stock was acquired at an average price of $14.33 per share, with a total value of $945,780.00. Following the purchase, the president directly owned 319,490 shares of the company's stock, valued at $4,578,291.70. This represents a 26.04% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 55.70% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in NREF. Summit Asset Management LLC acquired a new position in NexPoint Real Estate Finance in the 2nd quarter valued at about $553,000. Copley Financial Group Inc. raised its stake in NexPoint Real Estate Finance by 243.1% in the 2nd quarter. Copley Financial Group Inc. now owns 37,916 shares of the company's stock valued at $523,000 after purchasing an additional 26,865 shares during the last quarter. PFG Investments LLC acquired a new position in NexPoint Real Estate Finance in the 2nd quarter valued at about $248,000. Wedbush Securities Inc. raised its stake in NexPoint Real Estate Finance by 18.4% in the 1st quarter. Wedbush Securities Inc. now owns 83,897 shares of the company's stock valued at $1,283,000 after purchasing an additional 13,051 shares during the last quarter. Finally, Kapitalo Investimentos Ltda acquired a new position in NexPoint Real Estate Finance in the 2nd quarter valued at about $172,000. Institutional investors and hedge funds own 67.79% of the company's stock.

NexPoint Real Estate Finance Company Profile

NexPoint Real Estate Finance, Inc operates as a commercial mortgage real estate investment trust in the United States. It focuses on originating, structuring, and investing in first-lien mortgage loans, mezzanine loans, preferred equity, convertible notes, multifamily properties, and common equity investments, as well as multifamily and single-family rental commercial mortgage-backed securities securitizations, multifamily structured credit risk notes, and mortgage-backed securities or target assets.

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