Yahoo Finance New Residential Investment (NRZ) Dips More Than Broader Markets: What You Should Know
New Residential Investment (NRZ) closed at $9.29 in the latest trading session, marking a -1.17% move from the prior day. This move lagged the S&P 500's daily loss of 0.13%. Meanwhile, the Dow lost 0.15%, and the Nasdaq, a tech-heavy index, added 0.14%.
Heading into today, shares of the real estate investment trust had lost 12.31% over the past month, lagging the Finance sector's loss of 4.35% and the S&P 500's loss of 3.32% in that time.
Wall Street will be looking for positivity from New Residential Investment as it approaches its next earnings report date. In that report, analysts expect New Residential Investment to post earnings of $0.25 per share. This would mark a year-over-year decline of 19.35%. Our most recent consensus estimate is calling for quarterly revenue of $252.3 million, up 71.47% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.16 per share and revenue of $1.05 billion. These totals would mark changes of -21.62% and +51.57%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for New Residential Investment. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 15.5% lower. New Residential Investment is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that New Residential Investment has a Forward P/E ratio of 8.08 right now. Its industry sports an average Forward P/E of 8.28, so we one might conclude that New Residential Investment is trading at a discount comparatively.
The REIT and Equity Trust industry is part of the Finance sector. This group has a Zacks Industry Rank of 175, putting it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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