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By David Kirakosyan
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.
NexPoint Residential Trust (NYSE:NXRT) is a publicly traded REIT, primarily focused on acquiring, owning and operating well-located middle-income multifamily properties with “value-add” potential in large cities and suburban submarkets of large cities, primarily in the Southeastern and Southwestern U.S.
It is set to report its Q1 2025 earnings on April 29. Wall Street analysts expect the company to post EPS of $0.77, up from $0.75 in the prior-year period. According to Benzinga Pro, quarterly revenue is expected to reach $63.29 million, down from $67.60 million a year earlier.
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The company's stock traded at approximately $14.44 per share 10 years ago. If you had invested $10,000, you could have bought roughly 693 shares. Currently, shares trade at $33.19, meaning your investment's value could have grown to $22,985 from stock price appreciation alone. However, NexPoint Residential also paid dividends during these 10 years.
NexPoint Residential's dividend yield is currently 6.15%. Over the last 10 years, it has paid about $12.90 in dividends per share, which means you could have made $8,933 from dividends alone.
Summing up $22,985 and $8,933, we end up with the final value of your investment, which is $31,918. This is how much you could have made if you had invested $10,000 in NexPoint Residential stock 10 years ago. This means a total return of 219.18%. In comparison, S&P 500 total return for the same period was 191.30%.
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NexPoint Residential has a consensus rating of "Hold" and a price target of $52.50 based on the ratings of 10 analysts. The price target implies more than 58% potential upside from the current stock price.
On Feb. 25, the company announced its Q4 2024 earnings, posting core FFO of $0.68, compared to the consensus estimate of $0.66, and revenues of $63.80 million, compared to the consensus of $63.40 million, as reported by Benzinga.
The company provided its full-year 2025 guidance, expecting core FFO attributable to common stockholders of $71.15 million, or $2.70 per diluted share.
Given the historical stock price appreciation and expected upside potential, growth-focused investors may find NexPoint Residential stock attractive. Furthermore, they can benefit from the company's solid dividend yield of 6.15% and consistent hikes. NexPoint Residential has raised its dividend consecutively for the last 10 years.
Check out this article by Benzinga for three more stocks offering high dividend yields.
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