Walker & Dunlop, Inc. (WD) AI Stock Analysis

Established in 1937, Walker & Dunlop, Inc. is a US commercial real estate finance firm specializing in multifamily and commercial real estate financing products. The company originates, sells, and services first mortgages, second trusts, supplemental loans, construction loans, mezzanine financing, preferred equity, small-balance loans, and bridge loans. It participates extensively in Fannie Mae's Delegated Underwriting and Servicing (DUS) program for properties such as manufactured housing communities, student housing, affordable housing, and senior housing. Walker & Dunlop also serves as an intermediary placing commercial real estate debt with institutional capital providers, while providing capital structure advisory, loan negotiation, due diligence, transaction closing, and property sales brokerage services.

Walker & Dunlop's revenue reached $1.23B in FY2025, reflecting a 9.0% increase from $1.13B in FY2024, but net income dropped to $57.1M with a net margin of 4.6%, down from $265.8M and a 21.1% margin in FY2021. Its 5-year revenue CAGR from FY2020 to FY2025 was 2.6%. Profitability has compressed further over the trailing twelve months, showing an operating margin of 0.8% and a net profit margin of 3.3%. For the latest quarter ended June 30, 2026, quarterly revenue fell 10.0% year-over-year, while quarterly earnings declined 90.9% year-over-year.

As of June 30, 2026, Walker & Dunlop held $160.9M in cash and short-term investments against total debt of $2.21B, resulting in net debt of $2.04B and a debt-to-equity ratio of 1.29. The current ratio stood at 0.46, and total assets were $4.89B. In FY2025, operating cash flow was -$664.3M, and free cash flow was -$680.1M. Capital allocation in FY2025 included $15.8M in capital expenditures, $10.5M for share buybacks, and $91.8M in dividends paid.

Trading at $32.66, Walker & Dunlop has a market capitalization of $1.12B and an enterprise value of $3.36B. Its trailing P/E ratio is 29.2x, above the 12.1x median of its US-listed Financial Services peers, though its forward P/E of 11.0x aligns closely with the peer median of 10.8x. The company's price-to-sales ratio is 0.9x versus the peer median of 3.2x, while EV/EBITDA is 10.2x compared to the peer median of 11.7x. Over the past year, WD shares returned -57.2%, trailing the S&P 500 (SPY) return of 16.8%.

Walker & Dunlop pays a quarterly dividend with an annualized forward payout of $2.72 per share, representing an 8.33% dividend yield as of October 16, 2026. The company has paid dividends for 9 consecutive years, delivering a 5-year annualized dividend growth rate of 13.2%. Its reported dividend payout ratio is 73.0%, with its last ex-dividend date on August 20, 2026.

Wall Street coverage includes 1 Strong Buy, 2 Buy, and 1 Hold ratings. The mean price target is $48.33, indicating a 48.0% upside compared to the last close of $32.66. Analysts project full-year FY2026 revenue of $1.27B and EPS of $4.34, representing 24.1% EPS growth. Walker & Dunlop has beaten EPS estimates in 2 of the last 4 quarters, and its next earnings date is scheduled for November 5, 2026.

This page is an AI-written research summary of Walker & Dunlop, Inc. (WD). 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.

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