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Arbor Realty Trust (ABR) Gains But Lags Market: What You Should Know

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In the latest trading session, Arbor Realty Trust (ABR - Free Report) closed at $11.91, marking a +0.76% move from the previous day. The stock lagged the S&P 500's daily gain of 1.3%. At the same time, the Dow added 0.98%, and the tech-heavy Nasdaq gained 7.48%.

Heading into today, shares of the real estate investment trust had lost 23.94% over the past month, lagging the Finance sector's loss of 10.17% and the S&P 500's loss of 2.95% in that time.

Investors will be hoping for strength from Arbor Realty Trust as it approaches its next earnings release. On that day, Arbor Realty Trust is projected to report earnings of $0.46 per share, which would represent a year-over-year decline of 16.36%. Our most recent consensus estimate is calling for quarterly revenue of $321.07 million, up 92.6% from the year-ago period.

ABR's full-year Zacks Consensus Estimates are calling for earnings of $1.90 per share and revenue of $1.31 billion. These results would represent year-over-year changes of -14.8% and +38.54%, respectively.

Investors should also note any recent changes to analyst estimates for Arbor Realty Trust. 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.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 3.93% higher. Arbor Realty Trust currently has a Zacks Rank of #1 (Strong Buy).

Valuation is also important, so investors should note that Arbor Realty Trust has a Forward P/E ratio of 6.21 right now. For comparison, its industry has an average Forward P/E of 6.52, which means Arbor Realty Trust is trading at a discount to the group.

The REIT and Equity Trust industry is part of the Finance sector. This group has a Zacks Industry Rank of 157, putting it in the bottom 38% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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