OlegAlbinsky/iStock via Getty Images
I've been buying NewtekOne, Inc.'s (NASDAQ:NEWT) common shares. These are trading at just under $12 per share, down 16% year-to-date. NEWT last declared a quarterly cash dividend of $0.19 per share, kept
NewtekOne: Undervalued On 6.5% Dividend Yield, Paltalk Equity, Rate Cut Euphoria
Summary
- I've been buying NewtekOne, Inc.'s shares for its 6.5% dividend yield.
- NewtekOne's transformation from a business development company to a bank holding company came as the banking crisis from high interest rates began.
- Despite challenges, NEWT's fiscal 2024 second-quarter revenue rose 22.4% year-over-year, beating estimates, with GAAP earnings of $0.43 per share.
- NEWT's fiscal 2024 EPS guidance places its multiple at 5.97x, indicating potential undervaluation amidst its strategic repositioning.
The equity market is a powerful mechanism as daily fluctuations in price get aggregated to incredible wealth creation or destruction over the long term. Pacifica Yield aims to pursue long-term wealth creation with a focus on undervalued yet high-growth companies, high-dividend tickers, REITs, and green energy firms.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of NEWT either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.