NexPoint Residential Q3 revenue slightly beats estimates, net loss widens

By Reuters News


Overview

  • US multifamily REIT's Q3 revenue slightly beat analyst expectations

  • Net loss widened yr/yr due to higher operating and interest expenses

  • Company authorized $150 mln share buyback over two years


Outlook

  • NexPoint Residential Trust sees 2026 Core FFO per share at $2.22

  • Company expects 2026 AFFO per share at $2.64

  • Company forecasts 2026 Same Store NOI at $145.1 mln


Result Drivers

  • HIGHER OPERATING EXPENSES - Co said increased property operating expenses contributed to wider net loss in Q3

  • HIGHER INTEREST EXPENSE - Co attributed part of net loss increase to $2.6 mln rise in interest expense

  • LOWER SAME STORE NOI - Q3 Same Store NOI fell 8.2% yr/yr, reflecting lower occupancy and average effective rent


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Slight Beat*

$64.50 mln

$64.40 mln (6 Analysts)

Q3 Loss Per Share

$0.45

Q3 Net Loss

$11.53 mln

Q3 Core FFO

$13.37 mln

Q3 FFO

$11.65 mln

Q3 Core FFO Per Share Basic

$0.52

Q3 FFO Per Share Basic

$0.46

*Applies to a deviation of less than 1%; not applicable for per-share numbers.


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the residential reits peer group is "buy."

  • Wall Street's median 12-month price target for NexPoint Residential Trust Inc is $24.00, about 33% above its November 2 closing price of $18.04


Reuters Recommended Reads

  • Nov 2 - Independence Realty Trust Q3 adjusted EBITDA beats estimates; reaffirms FY guidance

  • Nov 2 - Sabra Health Care REIT Q3 revenue rises year-over-year

  • Nov 2 - Realty Income's Q3 revenue beats; raises 2026 AFFO per share outlook


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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