Walker & Dunlop (NYSE:WD) Trading Down 5.9% – What’s Next?

Walker & Dunlop, Inc. (NYSE:WD)’s share price traded down 5.9% during mid-day trading on Tuesday . The company traded as low as $46.71 and last traded at $46.9710. 215,205 shares changed hands during trading, a decline of 32% from the average session volume of 317,810 shares. The stock had previously closed at $49.92.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on WD shares. Jefferies Financial Group started coverage on shares of Walker & Dunlop in a research report on Friday, December 19th. They set a “buy” rating and a $75.00 price target on the stock. Keefe, Bruyette & Woods lowered their target price on Walker & Dunlop from $80.00 to $65.00 and set an “outperform” rating on the stock in a report on Friday, February 27th. Citigroup restated a “market outperform” rating on shares of Walker & Dunlop in a research report on Friday, December 5th. Finally, Weiss Ratings downgraded Walker & Dunlop from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday, March 3rd. Four equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Walker & Dunlop presently has a consensus rating of “Moderate Buy” and a consensus price target of $81.25.

Walker & Dunlop Trading Down 6.0%

The firm has a market cap of $1.60 billion, a price-to-earnings ratio of 28.70 and a beta of 1.57. The stock’s fifty day moving average price is $60.53 and its 200-day moving average price is $70.13.

Walker & Dunlop (NYSE:WD) last issued its quarterly earnings data on Thursday, February 26th. The financial services provider reported $0.28 earnings per share for the quarter, missing the consensus estimate of $1.46 by ($1.18). The business had revenue of $340.02 million during the quarter, compared to analysts’ expectations of $343.66 million. Walker & Dunlop had a return on equity of 6.81% and a net margin of 4.56%.The company’s revenue was down .4% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.32 earnings per share. Analysts predict that Walker & Dunlop, Inc. will post 4.97 earnings per share for the current year.

Walker & Dunlop Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, March 27th. Investors of record on Friday, March 13th will be given a dividend of $0.68 per share. This represents a $2.72 dividend on an annualized basis and a dividend yield of 5.8%. The ex-dividend date of this dividend is Friday, March 13th. This is a positive change from Walker & Dunlop’s previous quarterly dividend of $0.67. Walker & Dunlop’s dividend payout ratio is 163.41%.

Insider Transactions at Walker & Dunlop

In related news, Director Ernest Michael Freedman bought 5,000 shares of the firm’s stock in a transaction on Thursday, March 5th. The shares were bought at an average price of $49.21 per share, with a total value of $246,050.00. Following the completion of the transaction, the director directly owned 6,097 shares of the company’s stock, valued at $300,033.37. This represents a 455.79% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 3.66% of the company’s stock.

Institutional Investors Weigh In On Walker & Dunlop

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Norges Bank acquired a new position in shares of Walker & Dunlop in the 2nd quarter worth approximately $30,422,000. Deprince Race & Zollo Inc. increased its holdings in Walker & Dunlop by 59.9% in the 4th quarter. Deprince Race & Zollo Inc. now owns 859,072 shares of the financial services provider’s stock valued at $51,673,000 after purchasing an additional 321,734 shares during the last quarter. Balyasny Asset Management L.P. acquired a new stake in Walker & Dunlop in the 2nd quarter valued at approximately $15,147,000. Two Sigma Investments LP raised its position in Walker & Dunlop by 238.2% in the third quarter. Two Sigma Investments LP now owns 284,067 shares of the financial services provider’s stock valued at $23,754,000 after purchasing an additional 200,074 shares during the period. Finally, Tributary Capital Management LLC lifted its stake in Walker & Dunlop by 93.2% during the third quarter. Tributary Capital Management LLC now owns 325,282 shares of the financial services provider’s stock worth $27,200,000 after purchasing an additional 156,944 shares in the last quarter. 80.97% of the stock is owned by hedge funds and other institutional investors.

About Walker & Dunlop

Walker & Dunlop is one of the largest providers of commercial real estate finance in the United States, specializing in the origination, servicing and sale of loans secured by multifamily, seniors housing, healthcare, student housing and manufactured housing properties. The firm offers a full suite of debt and equity solutions, including agency financing through Fannie Mae and Freddie Mac, HUD and FHA-insured loans, bridge and construction financing, mezzanine debt, preferred equity, and investment sales advisory.

With roots dating back to 1937 and its headquarters in Bethesda, Maryland, Walker & Dunlop has expanded its platform through both organic growth and strategic acquisitions.