Starwood Property Trust (STWD) Gains As Market Dips: What You Should Know
In the latest trading session, Starwood Property Trust (STWD) closed at $17.72, marking a +1.55% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.01%. Meanwhile, the Dow lost 0.23%, and the Nasdaq, a tech-heavy index, added 0.97%.
Coming into today, shares of the commercial real estate investment trust had lost 0.63% in the past month. In that same time, the Finance sector gained 6.87%, while the S&P 500 gained 6.23%.
Starwood Property Trust will be looking to display strength as it nears its next earnings release, which is expected to be May 4, 2023. On that day, Starwood Property Trust is projected to report earnings of $0.49 per share, which would represent a year-over-year decline of 35.53%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $500 million, up 70.07% from the year-ago period.
STWD's full-year Zacks Consensus Estimates are calling for earnings of $2.02 per share and revenue of $2.07 billion. These results would represent year-over-year changes of -11.4% and +41.32%, respectively.
Any recent changes to analyst estimates for Starwood Property Trust should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Starwood Property Trust is currently a Zacks Rank #4 (Sell).
Valuation is also important, so investors should note that Starwood Property Trust has a Forward P/E ratio of 8.64 right now. This represents a premium compared to its industry's average Forward P/E of 6.69.
The REIT and Equity Trust industry is part of the Finance sector. This group has a Zacks Industry Rank of 183, putting it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow STWD in the coming trading sessions, be sure to utilize Zacks.com.
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STARWOOD PROPERTY TRUST, INC. (STWD) : Free Stock Analysis Report
