NexPoint Residential Trust Inc
NYSE:NXRT

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NexPoint Residential Trust Inc
NYSE:NXRT
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Price: 28.92 USD 0.1% Market Closed
Market Cap: $737.2m

EV/IC

1.2
Current
1%
Cheaper
vs 3-y average of 1.2

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
1.2
=
Enterprise Value
$2.2B
/
Invested Capital
$1.9B

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
1.2
=
Enterprise Value
$2.2B
/
Invested Capital
$1.9B

Valuation Scenarios

NexPoint Residential Trust Inc is trading below its 3-year average

If EV/IC returns to its 3-Year Average (1.2), the stock would be worth $29.22 (1% upside from current price).

Statistics
Positive Scenarios
3/4
Maximum Downside
-9%
Maximum Upside
+21%
Average Upside
4%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 1.2 $28.92
0%
3-Year Average 1.2 $29.22
+1%
5-Year Average 1.3 $29.67
+3%
Industry Average 1.1 $26.36
-9%
Country Average 1.5 $35.13
+21%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
Close

Market Distribution

In line with most companies in the United States of America
Percentile
43nd
Based on 11 657 companies
43nd percentile
1.2
Low
0 — 0.9
Typical Range
0.9 — 2.9
High
2.9 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 0.9
Median 1.5
70th Percentile 2.9
Max 566 432.7

NexPoint Residential Trust Inc
Glance View

Market Cap
737.2m USD
Industry
Real Estate

NexPoint Residential Trust Inc., a prominent player in the real estate investment trust (REIT) sector, has carved out a distinctive niche by focusing primarily on acquiring, owning, and operating multifamily properties across the Southeastern and Southwestern United States. With a strategic emphasis on middle-market, workforce housing, NexPoint aims to capitalize on demographic trends that favor cost-effective living solutions in relatively affordable sunbelt states. By targeting urban and suburban markets with strong job growth, population increases, and favorable economic conditions, NexPoint positions itself wisely in a space where demand consistently outstrips supply. This focus has proven to be resilient against economic ebbs and flows, bolstered by a growing market need for rental housing at moderate price points, especially among young professionals and working-class families who seek quality residences within reach of major metropolitan areas. NexPoint's business model hinges on an integral approach to both capital and operational efficiency. By acquiring properties at competitive prices and enhancing their value through targeted renovations and amenity improvements, the company seeks to elevate its assets' attractiveness and, in turn, their rental income potential. This revitalization strategy not only boosts occupancy rates but also allows NexPoint to command higher rental premiums, driving steady revenue growth. Moreover, the company diligently manages its portfolio with a keen focus on operational cost control, ensuring that the increase in rental revenue efficiently trickles down to bolster the bottom line. Through strategic asset repositioning and adept financial management, NexPoint Residential Trust Inc. not only navigates the complexities of the real estate market but also endeavors to deliver sustained value to its stakeholders.

NXRT Intrinsic Value
74.52 USD
Undervaluation 61%
Intrinsic Value
Price $28.92
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