Mon, Aug. 10, 7:17 AM
Sun, Aug. 9, 5:30 PM
Thu, Aug. 6, 9:59 AM
- No sooner do we get a story out about New Residential's (NRZ -1.5%) delayed earnings release than the company posts preliminary Q2 results.
- Core EPS is expected to be $0.43-$0.47 vs. $0.44 in Q1.
- CEO Michael Nierenberg notes the delayed report is due to the HLSS acquisition.
- Source: Press Release
- Previously: New Residential reschedules earnings release; down another 3% (Aug. 6)
Thu, Aug. 6, 9:52 AM
Mon, Jul. 27, 9:01 AM
Tue, Jun. 30, 3:11 PM
- The team continues to favor those mREITs creating operating businesses and that can create their own investments, making PennyMac Mortgage Investment Trust (NYSE:PMT), Two Harbors (NYSE:TWO), and New Residential (NYSE:NRZ) their top picks - though one wonders why NRZ is lumped in with the mREIT sector.
- Coverage is reinstated on Anworth Mortgage (NYSE:ANH) and Ellington Residential (NYSE:EARN) with Neutral ratings, with the bank noting both are trading to substantial discounts to book value (ANH at 22.8% and EARN at 13.3%).
- Anworth's late-2014 strategy of transforming itself into a hybrid-REIT came too late in the cycle to add a lot of value, says Credit Suisse. While Ellington's active management style should allow it to profit from trading opportunities, the drag from the short TBA position is likely to pull earnings below the current dividend in Q4.
Thu, Jun. 18, 10:41 AM
- Yesterday, the Office of the Comptroller of the Currency put restrictions on the servicing operations of Wells Fargo, JPMorgan, U.S. Bancorp, HSBC and two others thanks to their failure to comply with an earlier agreement.
- The lenders will be restricted from acquiring MSRs or performing servicing for other parties. For Wells Fargo and HSBC, they will be prohibited from acquiring MSRs or entering into new contracts to perform servicing for others.
- New Residential (NRZ +1.9%) has taken a breather of late following the HLSS purchase, with last week's secondary offering hitting the stock particularly hard. With the new OCC order, the capital raise looks pretty well-timed.
- Previously: OCC ends enforcement actions on several banks, puts new restrictions on others (June 17)
Wed, Jun. 10, 9:39 AM
Fri, May 15, 9:41 AM
- Those hoping for a sizable dividend boost from New Residential (NRZ +3.5%) got what they wanted last night with an 18.4% increase in the quarterly payout to $0.45 per share.
- The company reported core earnings of $0.44 per share in Q1, up from $0.41 in Q4. Coming in Q2 is the onboarding of assets from Home Loan Servicing Solutions.
- Previously: New Residential Investment declares $0.45 dividend (May 14)
- Previously: New Residential reports; investors to hear management on HLSS purchase (May 8)
Thu, May 14, 4:41 PM
Fri, May 8, 7:52 AM
- Q1 core earnings of $63M or $0.44 per share vs. $58M and $0.41 in Q4. Dividend is $0.38.
- Company funded $8.4B of UPB of well-seasoned Freddie Mac excess MSRs; purchased and committed to purchase $258M face value of non-agency paper at 86% of par; sold $441M face value of non-agency paper at 88% of par, generating $4M of gains, or an IRR of about 20%.
- Since quarter's end is the purchase of the assets/liabilities of Home Loan Servicing for $1.2B.
- Conference call at 8:30 ET
- Previously: New Residential Investment reports Q1 results (May 8)
- NRZ flat premarket
Fri, May 8, 7:37 AM
Thu, May 7, 5:30 PM
Tue, May 5, 11:40 AM
- Nationstar Mortgage this morning reported a big Q1 loss as lower interest rates (leading to prepayments) forced a major markdown on the value of its servicing portfolio.
- Falling too are Walter Investment (WAC -11.4%), New Residential (NRZ -2.1%), and Ocwen Financial (OCN -2.2%).
- Previously: Nationstar reports Q1 results (May 5)
Tue, Apr. 21, 3:09 PM
- The Home Loan Servicing acquisition should be "immediately accretive" to earnings, said BAML, yesterday initiating coverage on New Residential (NRZ +1.3%) with a Buy rating and $18.50 price target. The team sees the quarterly dividend being boosted to $0.45 per share vs. the current $0.37.
- As for valuation, BAML sees NRZ as getting a premium to residential mortgage REITs which currently yield around 11%, but a discount to commercial mortgage REITs which yield 8%. Slapping a 9.5% yield on a $0.45 quarterly dividend leads to a price just shy of $19 per share.
- The risks to NRZ: 1) The business model is dependent upon the performance of third parties like Nationstar Mortgage, and now Ocwen; 2) Prepayments could cut into earnings; 3) Regulatory risk; 4) Reinvestment risk in the instance of prepayments.
- Source: Benzinga
- Previously: New Residential hits new all-time high on positive coverage (April 20)
Mon, Apr. 20, 9:58 AM
- Profiting in a big way from the troubles at Ocwen Financial and its related companies, New Residential (NRZ +1.3%) gets an added boost as BAML initiates coverage with a Buy rating and $18.50 price target.
- The stock's now higher by 35% over the last three months.
- Previously: New Residential turns higher after Home Loan deal; Ocwen, Altisource fly (April 7)
- Previously: Winners and losers as Ocwen Financial shrinks (March 3)
NRZ vs. ETF Alternatives
Other News & PR