NexPoint Diversified Real Estate Trust (NXDT) AI Stock Analysis
NXDT AI stock analysis summary
AI ResearchNexPoint Diversified Real Estate Trust (NXDT) is a diversified REIT investing across commercial real estate property types and capital structures. Over the trailing twelve months, the company generated $76.1M in revenue with a net profit margin of -88.1%. Its shares closed at $4.90, offering a forward dividend yield of 9.80%.
- Market cap
- $260.2M
- Revenue (TTM)
- $76.1M
- P/E
- —
- 1Y return
- 66.7% S&P 500 16.8%
- Avg. target
- —
Bull case
- NXDT provides an annualized forward dividend yield of 9.80% backed by 21 consecutive years of dividend payments.
- Shares delivered a 66.7% one-year return, outperforming the S&P 500 return of 16.8% over the same period.
- The stock trades at a price-to-book ratio of 0.4x with shareholders' equity of $714.8M as of June 30, 2026.
Bear case
- NXDT reported a net loss of -$125.1M in FY2025 and a trailing twelve months net profit margin of -88.1%.
- The trust faces a current ratio of 0.10 and net debt of $268.4M against cash holdings of just $11.7M as of June 30, 2026.
- Quarterly revenue fell 13.0% year-over-year in the latest quarter ending June 30, 2026.
What NexPoint Diversified Real Estate does
NexPoint Diversified Real Estate Trust (NXDT) operates as a diversified real estate investment trust listed on the New York Stock Exchange. The company aims to provide current income and capital appreciation by investing across various commercial real estate property types and throughout different tiers of the capital structure. Its holdings span mortgage debt, mezzanine debt, as well as common and preferred equity. Property sectors targeted include industrial, hospitality, net lease, retail, office, storage, healthcare, and residential rentals. Additionally, NXDT considers non-real estate securities to capture market opportunities under the guidance of external advisors.
Growth and profitability
NXDT has experienced significant top-line volatility over recent fiscal years. Annual revenue moved from $256.5M in FY2021 to $91.0M in FY2022, before dropping to -$59.4M in FY2023. Revenue recovered to $37.8M in FY2024 and expanded by 143.5% to $92.0M in FY2025. However, net losses persisted, totaling -$125.1M in FY2025 alongside an operating margin of -105.4%. For the trailing twelve months, revenue was $76.1M with an operating margin of 6.8%, a profit margin of -88.1%, and an EPS of -$1.49. In the quarter ended June 30, 2026, quarterly revenue fell 13.0% year-over-year.
Balance sheet and cash flow
As of June 30, 2026, NXDT held $11.7M in cash and short-term investments against total debt of $280.1M, resulting in net debt of $268.4M. Total assets stood at $1.04B, with shareholders' equity at $714.8M and a debt-to-equity ratio of 0.39. The company's current ratio was 0.10. During FY2025, operating cash flow and free cash flow were both $9.2M. Cash deployment in FY2025 included $10.6M paid in dividends and $2.4M allocated to share buybacks.
Valuation and performance
With a market capitalization of $260.2M and an enterprise value of $570.8M, NXDT trades at a price-to-book ratio of 0.4x and a price-to-sales multiple of 3.4x. This price-to-sales ratio sits slightly below the 3.7x median of its US-listed Real Estate peers. Its enterprise value to revenue ratio stands at 106.0x. Over the past year, NXDT shares gained 66.7%, outperforming the S&P 500 (SPY) return of 16.8%. However, its five-year return of -48.0% trails the 83.0% gain recorded by the S&P 500 over the same span.
NXDT dividend
NXDT pays a quarterly dividend with an annualized forward payout of $0.48 per share, representing a dividend yield of 9.80%. The company has maintained consecutive dividend payments for 21 years and has a payout ratio of 10.9%. Over the past five years, dividend growth annualized fell 13.7%. Its most recent ex-dividend date was September 15, 2026.
What analysts expect
Regarding its earnings track record, NXDT posted 2 EPS beats out of the last 4 quarters. The stock closed at $4.90 on October 16, 2026, trading between its 52-week low of $2.55 and 52-week high of $5.95. Its last close represents a 2.4% premium to its 200-day moving average. Specific analyst rating distributions, mean price targets, consensus earnings estimates, and upcoming earnings announcement dates are currently not detailed for the trust.
Key risks and what to watch
- The company's short-term liquidity is constrained, evidenced by a current ratio of 0.10 as of June 30, 2026.
- Annual revenue has shown severe historical fluctuation, declining from $256.5M in FY2021 to -$59.4M in FY2023 before reaching $92.0M in FY2025.
- The trust's share count expanded by 63.0% over the five-year period, diluting existing shareholders.
- The annualized five-year dividend growth rate fell 13.7%, reflecting downward pressure on historical distributions.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this NXDT AI stock analysis
This page is an AI-written research summary of NexPoint Diversified Real Estate Trust (NXDT). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: NXDT income statement, NXDT balance sheet, NXDT key metrics, NXDT chart. See the NXDT stock overview for the latest quote and news.
NXDT AI stock analysis FAQ
What is NXDT's current dividend yield?
NXDT offers an annualized forward dividend of $0.48 per share, which corresponds to a dividend yield of 9.80%. The trust has paid dividends for 21 consecutive years.
How much debt does NXDT hold?
As of June 30, 2026, NXDT held $280.1M in total debt and $11.7M in cash and short-term investments, leaving net debt at $268.4M. Its debt-to-equity ratio stood at 0.39.
Who owns NXDT stock?
Institutional investors own 51.5% of NXDT, while company insiders hold 27.3%. Short interest accounts for 2.3% of the float.
How has NXDT performed against the market?
Over the past year, NXDT gained 66.7% compared to a 16.8% return for the S&P 500. However, its five-year return stands at -48.0% compared to an 83.0% gain for the broader index.