NEXPOINT RESIDENTIAL (NXRT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NXRT - US65341D1028 - REIT
28.85 USD
-0.1 (-0.35%)
Overall NXRT gets a fundamental rating of 2 out of 10. We evaluated NXRT against 20 industry peers in the Residential REITs industry. NXRT may be in some trouble as it scores bad on both profitability and health. NXRT does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
NXRT had negative earnings in the past year.
NXRT had a positive operating cash flow in the past year.
NXRT had positive earnings in 4 of the past 5 years.
In the past 5 years NXRT always reported a positive cash flow from operatings.
1.2 Ratios
NXRT has a Return On Assets of -2.64%. This is amonst the worse of the industry: NXRT underperforms 90.00% of its industry peers.
NXRT's Return On Equity of -15.06% is on the low side compared to the rest of the industry. NXRT is outperformed by 90.00% of its industry peers.
NXRT has a Return On Invested Capital of 1.26%. This is in the lower half of the industry: NXRT underperforms 70.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NXRT is in line with the industry average of 2.59%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.64% | ||
| ROE | -15.06% | ||
| ROIC | 1.26% |
ROA(3y)0.58%
ROA(5y)1.05%
ROE(3y)2.48%
ROE(5y)4.62%
ROIC(3y)1.37%
ROIC(5y)1.09%
1.3 Margins
In the last couple of years the Profit Margin of NXRT has declined.
With a Operating Margin value of 11.35%, NXRT is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of NXRT has grown nicely.
The Gross Margin of NXRT (63.29%) is better than 90.00% of its industry peers.
NXRT's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.35% | ||
| PM (TTM) | N/A | ||
| GM | 63.29% |
OM growth 3Y12.71%
OM growth 5Y7.38%
PM growth 3Y-65.59%
PM growth 5Y-62.11%
GM growth 3Y-12.32%
GM growth 5Y-7.43%
2. Health
2.1 Basic Checks
NXRT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
NXRT has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, NXRT has more shares outstanding
The debt/assets ratio for NXRT is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.40, we must say that NXRT is in the distress zone and has some risk of bankruptcy.
NXRT has a worse Altman-Z score (0.40) than 65.00% of its industry peers.
NXRT has a debt to FCF ratio of 33.86. This is a negative value and a sign of low solvency as NXRT would need 33.86 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 33.86, NXRT is in line with its industry, outperforming 60.00% of the companies in the same industry.
A Debt/Equity ratio of 4.55 is on the high side and indicates that NXRT has dependencies on debt financing.
NXRT's Debt to Equity ratio of 4.55 is on the low side compared to the rest of the industry. NXRT is outperformed by 85.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.55 | ||
| Debt/FCF | 33.86 | ||
| Altman-Z | 0.4 |
ROIC/WACC0.16
WACC7.76%
2.3 Liquidity
NXRT has a Current Ratio of 0.72. This is a bad value and indicates that NXRT is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of NXRT (0.72) is better than 65.00% of its industry peers.
A Quick Ratio of 0.72 indicates that NXRT may have some problems paying its short term obligations.
NXRT has a better Quick ratio (0.72) than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.72 |
3. Growth
3.1 Past
NXRT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -209.25%.
The earnings per share for NXRT have been decreasing by -65.41% on average. This is quite bad
Looking at the last year, NXRT shows a decrease in Revenue. The Revenue has decreased by -4.46% in the last year.
Measured over the past years, NXRT shows a small growth in Revenue. The Revenue has been growing by 7.48% on average per year.
EPS 1Y (TTM)-209.25%
EPS 3Y-70.76%
EPS 5Y-65.41%
EPS Q2Q%11.43%
Revenue 1Y (TTM)-4.46%
Revenue growth 3Y5.81%
Revenue growth 5Y7.48%
Sales Q2Q%-1.98%
3.2 Future
The Earnings Per Share is expected to decrease by -301.87% on average over the next years. This is quite bad
NXRT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.23% yearly.
EPS Next Y-6291.4%
EPS Next 2Y-726.44%
EPS Next 3Y-301.87%
EPS Next 5YN/A
Revenue Next Year-2.72%
Revenue Next 2Y-0.17%
Revenue Next 3Y1.47%
Revenue Next 5Y1.23%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
NXRT reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for NXRT. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
65.00% of the companies in the same industry are more expensive than NXRT, based on the Enterprise Value to EBITDA ratio.
100.00% of the companies in the same industry are more expensive than NXRT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.88 | ||
| EV/EBITDA | 17.49 |
4.3 Compensation for Growth
NXRT's earnings are expected to decrease with -301.87% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-726.44%
EPS Next 3Y-301.87%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.28%, NXRT is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 11.48, NXRT pays a bit more dividend than its industry peers.
NXRT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.28% |
5.2 History
The dividend of NXRT is nicely growing with an annual growth rate of 10.88%!
NXRT has paid a dividend for at least 10 years, which is a reliable track record.
NXRT has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)10.88%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
NXRT has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-109.03%
EPS Next 2Y-726.44%
EPS Next 3Y-301.87%
NYSE:NXRT (12/29/2025, 2:51:13 PM)
28.85
-0.1 (-0.35%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryResidential REITs
Earnings (Last)
Earnings (Next)
Inst Owners76.9%
Inst Owner Change2.46%
Ins Owners13.3%
Ins Owner Change-1.14%
Market Cap731.64M
Revenue(TTM)252.99M
Net Income(TTM)-48.65M
Analysts72.86
Price Target34.34 (19.03%)
Short Float %2.68%
Short Ratio3.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.28% |
Yearly Dividend1.93
Dividend Growth(5Y)10.88%
DP-109.03%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.4%
Min EPS beat(2)12.33%
Max EPS beat(2)18.46%
EPS beat(4)3
Avg EPS beat(4)-34.15%
Min EPS beat(4)-176.12%
Max EPS beat(4)18.46%
EPS beat(8)6
Avg EPS beat(8)63.98%
EPS beat(12)7
Avg EPS beat(12)18.82%
EPS beat(16)9
Avg EPS beat(16)53.78%
Revenue beat(2)0
Avg Revenue beat(2)-1.79%
Min Revenue beat(2)-2%
Max Revenue beat(2)-1.59%
Revenue beat(4)0
Avg Revenue beat(4)-1.66%
Min Revenue beat(4)-2%
Max Revenue beat(4)-1.36%
Revenue beat(8)2
Avg Revenue beat(8)3.27%
Revenue beat(12)3
Avg Revenue beat(12)1.74%
Revenue beat(16)5
Avg Revenue beat(16)1.32%
PT rev (1m)-2.42%
PT rev (3m)-5.16%
EPS NQ rev (1m)4.9%
EPS NQ rev (3m)-5.7%
EPS NY rev (1m)1.83%
EPS NY rev (3m)2.36%
Revenue NQ rev (1m)0.44%
Revenue NQ rev (3m)-0.08%
Revenue NY rev (1m)-0.22%
Revenue NY rev (3m)-0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 2.89 | ||
| P/FCF | 16.88 | ||
| P/OCF | 8.72 | ||
| P/B | 2.27 | ||
| P/tB | 2.27 | ||
| EV/EBITDA | 17.49 |
EPS(TTM)-1.89
EYN/A
EPS(NY)-1.33
Fwd EYN/A
FCF(TTM)1.71
FCFY5.93%
OCF(TTM)3.31
OCFY11.47%
SpS9.98
BVpS12.73
TBVpS12.73
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.64% | ||
| ROE | -15.06% | ||
| ROCE | 1.59% | ||
| ROIC | 1.26% | ||
| ROICexc | 1.27% | ||
| ROICexgc | 1.28% | ||
| OM | 11.35% | ||
| PM (TTM) | N/A | ||
| GM | 63.29% | ||
| FCFM | 17.14% |
ROA(3y)0.58%
ROA(5y)1.05%
ROE(3y)2.48%
ROE(5y)4.62%
ROIC(3y)1.37%
ROIC(5y)1.09%
ROICexc(3y)1.38%
ROICexc(5y)1.1%
ROICexgc(3y)1.43%
ROICexgc(5y)1.13%
ROCE(3y)1.73%
ROCE(5y)1.38%
ROICexgc growth 3Y22.72%
ROICexgc growth 5Y15.26%
ROICexc growth 3Y21.87%
ROICexc growth 5Y14.79%
OM growth 3Y12.71%
OM growth 5Y7.38%
PM growth 3Y-65.59%
PM growth 5Y-62.11%
GM growth 3Y-12.32%
GM growth 5Y-7.43%
F-Score4
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.55 | ||
| Debt/FCF | 33.86 | ||
| Debt/EBITDA | 11.72 | ||
| Cap/Depr | 42.01% | ||
| Cap/Sales | 16.04% | ||
| Interest Coverage | 0.32 | ||
| Cash Conversion | 66.98% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.72 | ||
| Altman-Z | 0.4 |
F-Score4
WACC7.76%
ROIC/WACC0.16
Cap/Depr(3y)106.97%
Cap/Depr(5y)173.62%
Cap/Sales(3y)38.98%
Cap/Sales(5y)66.96%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-209.25%
EPS 3Y-70.76%
EPS 5Y-65.41%
EPS Q2Q%11.43%
EPS Next Y-6291.4%
EPS Next 2Y-726.44%
EPS Next 3Y-301.87%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.46%
Revenue growth 3Y5.81%
Revenue growth 5Y7.48%
Sales Q2Q%-1.98%
Revenue Next Year-2.72%
Revenue Next 2Y-0.17%
Revenue Next 3Y1.47%
Revenue Next 5Y1.23%
EBIT growth 1Y-15.85%
EBIT growth 3Y19.26%
EBIT growth 5Y15.4%
EBIT Next Year18718%
EBIT Next 3Y489.77%
EBIT Next 5Y288.05%
FCF growth 1Y206.61%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-8.06%
OCF growth 3Y0.14%
OCF growth 5Y7.45%
NEXPOINT RESIDENTIAL / NXRT FAQ
Can you provide the ChartMill fundamental rating for NEXPOINT RESIDENTIAL?
ChartMill assigns a fundamental rating of 2 / 10 to NXRT.
What is the valuation status of NEXPOINT RESIDENTIAL (NXRT) stock?
ChartMill assigns a valuation rating of 2 / 10 to NEXPOINT RESIDENTIAL (NXRT). This can be considered as Overvalued.
What is the profitability of NXRT stock?
NEXPOINT RESIDENTIAL (NXRT) has a profitability rating of 3 / 10.
How financially healthy is NEXPOINT RESIDENTIAL?
The financial health rating of NEXPOINT RESIDENTIAL (NXRT) is 2 / 10.