Arbor Realty Trust (NYSE:ABR) Stock Falls 7.2% – Time to Sell?

Arbor Realty Trust (NYSE:ABR)’s stock price dropped 7.2% on Wednesday. The company traded as low as $3.24 and last traded at $3.2370. 4,854,685 shares traded hands during trading, an increase of 15% from the average session volume of 4,236,304 shares. The stock had previously closed at $3.49.

Analyst Ratings Changes

A number of equities research analysts have recently commented on the stock. Piper Sandler cut their price target on shares of Arbor Realty Trust from $5.50 to $5.00 and set an “underweight” rating on the stock in a report on Monday, August 3rd. Weiss Ratings cut Arbor Realty Trust from a “sell (d+)” rating to a “sell (d)” rating in a research report on Thursday, July 30th. Zacks Research upgraded Arbor Realty Trust from a “strong sell” rating to a “hold” rating in a research note on Monday, August 31st. Keefe, Bruyette & Woods reduced their target price on Arbor Realty Trust from $5.50 to $5.00 and set an “underperform” rating for the company in a report on Monday, August 3rd. Finally, Citizens Jmp reaffirmed a “market perform” rating on shares of Arbor Realty Trust in a report on Tuesday, September 29th. Three investment analysts have rated the stock with a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat, the company has an average rating of “Reduce” and a consensus target price of $6.00.

Arbor Realty Trust Stock Performance

The company has a debt-to-equity ratio of 2.33, a quick ratio of 478.85 and a current ratio of 478.85. The stock has a market cap of $603.89 million, a P/E ratio of 46.31 and a beta of 1.22. The business’s 50-day moving average price is $4.77 and its 200-day moving average price is $5.73.

Arbor Realty Trust (NYSE:ABR) last released its earnings results on Friday, July 31st. The real estate investment trust reported $0.10 EPS for the quarter, topping analysts’ consensus estimates of $0.05 by $0.05. Arbor Realty Trust had a net margin of 6.24% and a return on equity of 7.38%. The company had revenue of $117.83 million for the quarter, compared to analysts’ expectations of $107.75 million. As a group, sell-side analysts expect that Arbor Realty Trust will post 0.23 earnings per share for the current fiscal year.

Arbor Realty Trust Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 28th. Stockholders of record on Friday, August 14th were given a $0.17 dividend. This represents a $0.68 annualized dividend and a dividend yield of 21.0%. The ex-dividend date was Friday, August 14th. Arbor Realty Trust’s payout ratio is presently 971.43%.

Insiders Place Their Bets

In related news, Director William Green bought 25,951 shares of the company’s stock in a transaction that occurred on Monday, August 31st. The stock was purchased at an average price of $5.07 per share, for a total transaction of $131,571.57. Following the completion of the transaction, the director owned 231,369 shares in the company, valued at $1,173,040.83. The trade was a 12.63% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which is available through this hyperlink. 4.20% of the stock is owned by insiders.

Institutional Trading of Arbor Realty Trust

Hedge funds have recently modified their holdings of the company. Legal & General Group Plc purchased a new stake in shares of Arbor Realty Trust in the 2nd quarter worth approximately $2,326,000. Bank of America Corp DE bought a new position in shares of Arbor Realty Trust during the 2nd quarter worth approximately $1,892,000. Deutsche Bank AG acquired a new stake in Arbor Realty Trust in the second quarter valued at approximately $1,122,000. BlackRock Inc. purchased a new position in Arbor Realty Trust in the second quarter worth $143,448,000. Finally, Bank of New York Mellon Corp acquired a new position in shares of Arbor Realty Trust during the second quarter worth $7,702,000. 57.25% of the stock is owned by hedge funds and other institutional investors.

Arbor Realty Trust Company Profile

Arbor Realty Trust, Inc is a real estate investment trust that provides financing for multifamily and other commercial real estate properties. The company originates, acquires, and invests in a range of structured finance products, including bridge loans, mezzanine loans, preferred equity investments, and other real estate-related debt investments.

Through its lending platforms and subsidiaries, Arbor Realty Trust also provides agency lending services for multifamily properties. These activities include originating and servicing loans through programs associated with Fannie Mae, Freddie Mac, and the U.S.