NexPoint Diversified Real Estate Trust (NXDT.PA) stock analysis
Close on Oct 30, 2026Market cap $210.30MP/E –Yield 15.15%
StockData Score
Prices as of Oct 30, 2026How the score works
Weak6 of 30 checks passed
NexPoint Diversified Real Estate Trust passes 6 of the 30 checks behind our score; 16 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 3/6
- Growth
- 0/6
- Past performance
- 0/6
- Financial health
- 0/6
- Dividend
- 3/6
What stands out
Margin of safety over 20%
The price is 20.8% below fair value, more than the 20% cushion we look for.
Trading below fair value
The share price of $3.96 is below our fair value estimate of $5.00.
P/B below the industry
NexPoint Diversified Real Estate Trust's price-to-book of 0.31 is below the Miscellaneous Investing median of 1.20.
Pays a dividend
NexPoint Diversified Real Estate Trust paid dividends worth 12.1% of the share price over the last twelve months.
What to watch
Return on equity under 15%
Return on equity was -10.3% over the last twelve months and averaged -1.7% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was -0.1%, below the 10% that usually covers the cost of capital.
Interest not well covered
Operating income covers interest expense -0.1 times; we look for at least 5.
Elevated bankruptcy risk
The Altman Z-score is -0.08; above 3 is the safe zone and below 1.8 the distress zone.
Valuation3/6
P/E against its history
Not enough price and earnings history to compare.
P/E against the industry
Needs positive earnings and enough profitable companies in the industry.
EV/EBITDA above its 5-year median
NexPoint Diversified Real Estate Trust's EV/EBITDA of 12.6 is above its 5-year median of 10.9.
P/B below the industry
NexPoint Diversified Real Estate Trust's price-to-book of 0.31 is below the Miscellaneous Investing median of 1.20.
Trading below fair value
The share price of $3.96 is below our fair value estimate of $5.00.
Margin of safety over 20%
The price is 20.8% below fair value, more than the 20% cushion we look for.
Growth0/6
Revenue growth over 3 years
Needs three years of positive revenue.
EPS growth over 3 years
Needs positive EPS three years ago and today.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing slower than the industry
Revenue grew -20.5% over the last twelve months; the Miscellaneous Investing median is 4.4%.
Company guidance
No outlook found in earnings releases from the last twelve months.
Gross margin trend
This company does not report gross profit.
Past performance0/6
Return on equity under 15%
Return on equity was -10.3% over the last twelve months and averaged -1.7% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was -0.1%, below the 10% that usually covers the cost of capital.
Return on equity below the industry
NexPoint Diversified Real Estate Trust's return on equity of -10.3% is below the Miscellaneous Investing median of 3.4%.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin against its history
Needs five years of revenue and net income.
Net margin below the industry
NexPoint Diversified Real Estate Trust's net margin of -94.2% is below the Miscellaneous Investing median of 11.4%.
Financial health0/6
Debt level
Needs debt and equity figures.
Debt trend
Needs a balance sheet from five years ago with positive equity.
Debt coverage
Needs operating cash flow.
Interest not well covered
Operating income covers interest expense -0.1 times; we look for at least 5.
Short-term liquidity
The balance sheet is not split into current and non-current items.
Elevated bankruptcy risk
The Altman Z-score is -0.08; above 3 is the safe zone and below 1.8 the distress zone.
Dividend3/6
Pays a dividend
NexPoint Diversified Real Estate Trust paid dividends worth 12.1% of the share price over the last twelve months.
Yield above Treasuries
The 12.1% yield is above the 4.4% on a 1-year Treasury.
Yield in the top quarter
The top quarter of US dividend payers yield 4.0% or more; NexPoint Diversified Real Estate Trust yields 12.1%.
Dividend stability
Fewer than five years of dividend history.
Earnings cover
Needs dividends paid and net income.
Cash-flow cover
Needs dividends paid and free cash flow.
Fair value
How we estimate itOur estimate per share
$5.00
The share price is 21% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| EV/EBITDA | 10.7× | 10.9× | 10.5× | $3.39 | 78% |
| P/B | 0.8× | 0.3× | 1.2× | $10.62 | 22% |
| Fair value | $5.00 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- EV/EBITDA at month end
- Own 5-year median 10.9
- Miscellaneous Investing median 10.5
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
High risk
- Average value traded per day
- $862.84K
- Value traded per 1% price move
- $469.98K
Downside
Medium risk
- Typical loss in a bad month
- 16.5%
- Volatility (annualized)
- 64%
- Sharpe ratio, 1 year
- 0.27
- Beta to the S&P 500 (5Y)
- 0.84
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2020 to 2025
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +3.3% | – | – | – | |
| Dividend per share | 0.0% | – | – | – |
Returns and balance sheet
6 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2020 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | – | – | -16.9% | |
| Return on assets | – | – | -11.3% | |
| Interest coverage | – | – | -0.1× | |
| Diluted shares | – | – | 46M |
Cash use needs five years of cash flow figures
NexPoint Diversified Real Estate Trust does not report operating cash flow and capital expenditure for each of the last five fiscal years.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | -151.4% | 0.07× | 1.50× | -16.9% |
| FY2024 | -61.7% | 0.07× | 1.35× | -6.0% |
| FY2023 | -192.6% | 0.05× | 1.22× | -12.8% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero-$130.19M
- Cash generatingOperating cash flow above zero$9.17M
- Return on assets improvedROA up on the prior year-4.7% → -10.6%
- Earnings backed by cashOperating cash flow above net income$9.17M vs -$130.19M
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose– → –
- No dilutionShare count did not rise40M → 46M
- Gross margin improvedGross margin up on the prior year– → –
- More efficientAsset turnover rose0.08 → 0.07