NexPoint Real Estate Finance (NYSE:NREF) Announces Quarterly Earnings Results

NexPoint Real Estate Finance (NYSE:NREF) announced its quarterly earnings data on Thursday. The company reported $0.48 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.48, FiscalAI reports. NexPoint Real Estate Finance had a net margin of 102.28% and a return on equity of 17.52%. The firm had revenue of $33.84 million during the quarter, compared to analyst estimates of $11.64 million. NexPoint Real Estate Finance updated its Q1 2026 guidance to 0.310-0.360 EPS.

Here are the key takeaways from NexPoint Real Estate Finance’s conference call:

• The board declared a Q1 2026 dividend of $0.50 per share; Q4 cash available for distribution (CAD) was $0.53 (1.06x coverage) and management’s Q1 CAD guidance midpoint is $0.50, supporting near-term dividend sustainability despite EAD being below the dividend.
• Completed a re-REMIC on FREMF 2017-K62 B‑Pieces that reduces mark-to-market repo financing by $75.2 million, lowers debt-to-equity to 0.83x and is expected to be roughly $0.30–$0.34 per share accretive to annual CAD.
• Portfolio totals $1.2 billion across 92 investments (47% multifamily, 30% life sciences, 17% single-family rental), is 82.5% stabilized with a 63.6% LTV and a weighted-average DSCR of 1.24x.
• Full-year net income improved to $2.09 per share (vs. $1.02), but full-year CAD declined 18.6% to $1.97 (from $2.42) and Q4 earnings‑available‑for‑distribution (EAD) of $0.48 remains below prior-year levels and below the current dividend on a per‑share basis.
• Recorded a roughly $12 million CECL provision in Q4 (one-third an updated general reserve, two-thirds related to previously identified preferred deals); management expects provisions to level off in 2026 but the charge weighed on quarterly results.

NexPoint Real Estate Finance Stock Down 0.4%

Shares of NREF traded down $0.06 during mid-day trading on Thursday, reaching $14.57. The company had a trading volume of 22,214 shares, compared to its average volume of 48,874. The firm has a 50-day moving average price of $14.53 and a 200 day moving average price of $14.36. The company has a market capitalization of $258.09 million, a price-to-earnings ratio of 5.18 and a beta of 1.19. NexPoint Real Estate Finance has a 52 week low of $12.14 and a 52 week high of $16.80. The company has a debt-to-equity ratio of 1.23, a quick ratio of 175.70 and a current ratio of 175.70.

NexPoint Real Estate Finance Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Friday, March 13th will be issued a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a yield of 13.7%. The ex-dividend date is Friday, March 13th. NexPoint Real Estate Finance’s dividend payout ratio is 71.17%.

Analyst Upgrades and Downgrades

Several analysts have weighed in on the stock. Keefe, Bruyette & Woods lowered their price target on shares of NexPoint Real Estate Finance from $14.50 to $14.00 and set a “market perform” rating for the company in a research note on Thursday, January 8th. Weiss Ratings reissued a “hold (c-)” rating on shares of NexPoint Real Estate Finance in a research note on Monday, December 29th. Finally, Wall Street Zen raised shares of NexPoint Real Estate Finance from a “sell” rating to a “hold” rating in a report on Saturday, November 8th. Three research analysts have rated the stock with a Hold rating, Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $14.50.

Insiders Place Their Bets

In other news, Director Brian Mitts sold 11,904 shares of the stock in a transaction that occurred on Thursday, December 18th. The shares were sold at an average price of $14.51, for a total transaction of $172,727.04. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 55.70% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. Nexpoint Asset Management L.P. increased its holdings in NexPoint Real Estate Finance by 9.9% in the 4th quarter. Nexpoint Asset Management L.P. now owns 9,439,635 shares of the company’s stock worth $132,910,000 after buying an additional 852,271 shares in the last quarter. O Shaughnessy Asset Management LLC lifted its holdings in shares of NexPoint Real Estate Finance by 42.0% during the 4th quarter. O Shaughnessy Asset Management LLC now owns 157,700 shares of the company’s stock valued at $2,220,000 after buying an additional 46,679 shares during the period. Jane Street Group LLC bought a new position in shares of NexPoint Real Estate Finance during the 4th quarter valued at $316,000. Cetera Investment Advisers purchased a new stake in NexPoint Real Estate Finance during the fourth quarter valued at $281,000. Finally, Invesco Ltd. bought a new position in NexPoint Real Estate Finance in the fourth quarter valued at about $167,000. Hedge funds and other institutional investors own 67.79% of the company’s stock.

About NexPoint Real Estate Finance

NexPoint Real Estate Finance, Inc is a publicly traded real estate investment trust (REIT) focused on originating, acquiring and managing a diversified portfolio of commercial real estate debt investments. The company seeks to generate current income and capital appreciation by providing financing solutions across the capital structure for stabilized and transitional properties. Its investments include whole loans, mezzanine loans, preferred equity and other structured credit products secured by multifamily, office, industrial, retail and hospitality assets.

Since its initial public offering in March 2021, NexPoint Real Estate Finance has closed numerous transactions with borrowers nationwide, including both institutional sponsors and privately held owners.