Newmark Group (NASDAQ:NMRK) Shares Gap Up After Earnings Beat

Newmark Group, Inc. (NASDAQ:NMRK - Get Free Report) shares gapped up prior to trading on Friday following a stronger than expected earnings report. The stock had previously closed at $13.82, but opened at $14.77. Newmark Group shares last traded at $15.40, with a volume of 278,537 shares traded.

The company reported $0.55 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.48 by $0.07. Newmark Group had a return on equity of 18.95% and a net margin of 2.00%. The company had revenue of $888.30 million for the quarter, compared to analyst estimates of $790.76 million. During the same period in the previous year, the firm earned $0.46 earnings per share. Newmark Group's revenue for the quarter was up 18.9% compared to the same quarter last year.

Newmark Group Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, March 17th. Shareholders of record on Monday, March 3rd will be paid a dividend of $0.03 per share. This represents a $0.12 dividend on an annualized basis and a yield of 0.82%. The ex-dividend date is Monday, March 3rd. Newmark Group's dividend payout ratio is presently 40.00%.

Wall Street Analysts Forecast Growth

NMRK has been the topic of a number of recent analyst reports. The Goldman Sachs Group began coverage on shares of Newmark Group in a report on Friday, December 6th. They set a "buy" rating and a $19.00 price target on the stock. Wolfe Research lowered shares of Newmark Group from an "outperform" rating to a "peer perform" rating in a research report on Monday, November 25th.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the business. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in Newmark Group by 10.8% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 293,895 shares of the company's stock valued at $3,765,000 after purchasing an additional 28,599 shares during the last quarter. Twinbeech Capital LP acquired a new stake in shares of Newmark Group in the fourth quarter valued at about $409,000. Two Sigma Investments LP bought a new position in shares of Newmark Group in the fourth quarter worth about $287,000. State of Wyoming increased its stake in shares of Newmark Group by 634.6% in the fourth quarter. State of Wyoming now owns 28,479 shares of the company's stock worth $365,000 after purchasing an additional 24,602 shares during the period. Finally, Systematic Financial Management LP boosted its stake in Newmark Group by 3.8% during the 4th quarter. Systematic Financial Management LP now owns 1,476,123 shares of the company's stock valued at $18,909,000 after purchasing an additional 54,138 shares during the period. Institutional investors own 58.42% of the company's stock.

Newmark Group Stock Performance

The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.42 and a current ratio of 0.42. The firm has a 50 day moving average of $13.48 and a two-hundred day moving average of $14.15. The stock has a market cap of $2.49 billion, a P/E ratio of 48.53 and a beta of 1.99.

About Newmark Group

Newmark Group, Inc provides commercial real estate services in the United States, the United Kingdom, and internationally. The company offers capital markets consisting of investment sales and commercial mortgage brokerage; landlord or agency representation leasing; valuation and advisory; property management; commercial real estate technology platform and capabilities; the United Kingdom business rates services; due diligence, consulting, and other advisory services; GSEs and the Federal Housing Administration lending services comprising multifamily lending and loan servicing; asset management; and flexible workspace solutions for owners.