Granite Point Mortgage: Not A Compelling Investment At The Moment

Pacifica Yield
12.63K Followers
(6min)

Summary

  • Granite Point Mortgage Trust's common shares have dipped significantly over the past 1-year, reflecting ongoing challenges with its CRE loan portfolio.
  • The mREIT reported a first-quarter book value of $8.24 per share, dipping by 23 cents sequentially with the commons trading at a 71% discount to book value per share.
  • GPMT's unpaid principal balance continues to decline on muted originations. But CECL reserve as a percentage of loan commitments has been falling, down 40 basis points sequentially.

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franckreporter

Granite Point Mortgage Trust Inc. (NYSE:GPMT) has had an intensely turbulent 2025 with the commons down 18% year-to-date, extending a discount to book value that stood at 65% when I last covered the office-focused mortgage REIT. GPMT

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Analyst’s Disclosure:I/we have a beneficial long position in the shares of GPMT.PR.A 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.

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