|Bid||0.00 x 800|
|Ask||0.00 x 900|
|Day's range||25.46 - 25.61|
|52-week range||19.99 - 26.28|
|Beta (5Y monthly)||1.93|
|PE ratio (TTM)||20.27|
|Forward dividend & yield||1.88 (7.34%)|
|Ex-dividend date||14 Jul 2021|
|1y target est||N/A|
This is often the difference between a value stock and a value trap. The market has beaten up on mortgage real estate investment trust New Residential (NYSE: NRZ) -- but it's not giving the company's cash-generating operating business enough credit. New Residential has been beefing up its mortgage origination business, and recently completed its purchase of Caliber Home Loans.
It's hard to really like the mortgage real estate investment trust (mREIT) sector right now. The Federal Reserve is about to begin trimming its purchases of mortgage-backed securities, and that will be a headwind for the entire sector. The first one is New Residential (NYSE: NRZ), and the second is Redwood Trust (NYSE: RWT).
"Don't fight the Fed" is an old market saw. When the Federal Reserve starts raising rates, markets are vulnerable -- especially right now, in the mortgage space. In the latest Federal Open Market Committee minutes, most participants anticipated the Fed would begin scaling back its purchases of Treasuries and mortgage backed securities at the end of the year.