New York Mortgage Trust (NYMT) shares rallied 6.5% in the last trading session to close at $9.74. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 23.5% loss over the past four weeks.
New York Mortgage Trust increased the authorization of its previously announced common stock repurchase program by $200 million. With this, $246 million is available for buyback under the existing share repurchase program. Thus, the company’s efforts to enhance shareholder value through efficient capital deployments mostly drove the stock.
This real estate investment trust is expected to post quarterly earnings of $0.11 per share in its upcoming report, which represents a year-over-year change of +155%. Revenues are expected to be $25.1 million, down 16% from the year-ago quarter.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For New York Mortgage Trust, the consensus EPS estimate for the quarter has been revised 54.2% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on NYMT going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
New York Mortgage Trust belongs to the Zacks REIT and Equity Trust industry. Another stock from the same industry, Claros Mortgage Trust, Inc. (CMTG), closed the last trading session 1% higher at $11.75. Over the past month, CMTG has returned -27.1%.
Claros Mortgage Trust, Inc.'s consensus EPS estimate for the upcoming report has changed -9.5% over the past month to $0.38. Compared to the company's year-ago EPS, this represents a change of +58.3%. Claros Mortgage Trust, Inc. currently boasts a Zacks Rank of #4 (Sell).
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