0.28%
10.30%
-5.74%
8.86%
39.21%
-7.71%
20.05%
AI Spotlight on NMRK
Company Description
Newmark Group, Inc.provides commercial real estate services in the United States and internationally.The company's investor/owner services and products include capital markets, such as investment, debt and structured finance, and loan sales; agency leasing, property management, and valuation and advisory; and commercial real estate due diligence consulting and advisory services, as well as government sponsored enterprise lending, loan servicing, mortgage broking, and equity-raising services.
Its occupier services and products comprise tenant representation; real estate management technology systems; workplace and occupancy strategy; global corporate consulting; project management; account and transaction management; and lease administration and facilities management services.The company provides its services to commercial real estate tenants, investors, owners, occupiers, and developers, as well as lenders and multi-national corporations.As of December 31, 2021, it operated approximately 160 offices on four continents.
The company was formerly known as Newmark Knight Frank and changed its name to Newmark Group, Inc.in October 2017.Newmark Group, Inc.
was founded in 1929 and is based in New York, New York.
Market Data
| Last Price | 14.13 |
| Change Percentage | 0.28% |
| Open | 14.06 |
| Previous Close | 14.09 |
| Market Cap ( Millions) | 2417 |
| Volume | 867111 |
| Year High | 16.1 |
| Year Low | 9.44 |
| M A 50 | 14.01 |
| M A 200 | 12.78 |
Financial Ratios
| FCF Yield | -9.56% |
| Dividend Yield | 0.85% |
| ROE | 4.27% |
| Debt / Equity | 204.69% |
| Net Debt / EBIDTA | 711.22% |
| Price To Book | 2.05 |
| Price Earnings Ratio | 45.89 |
| Price To FCF | -10.46 |
| Price To sales | 0.93 |
| EV / EBITDA | 14.86 |
News
- Jan -31 - Newmark Arranges Recapitalization of 14-Property Dallas-Fort Worth Self-Storage Portfolio for Hines and CubeSmart
- Jan -28 - How Much Upside is Left in Newmark Group (NMRK)? Wall Street Analysts Think 32.13%
- Jan -27 - Newmark Advances European Presence with Brand Alignment Marking Global Growth
- Jan -22 - Newmark Arranges $2.3 Billion Construction Financing for 206 MW Build-to-Suit Data Center
- Jan -09 - Newmark Group's Fourth Quarter and Full Year 2024 Financial Results Announcement to be Issued Prior to Market Open on Friday, February 14, 2025
- Jan -09 - Newmark Arranges $360M Sale of Two Park Avenue Office Tower
- Dec -13 - Newmark Arranges $600 Million Construction Financing for 50 MW Build-to-Suit Data Center for Blue Owl, Chirisa and PowerHouse
- Dec -12 - Newmark Arranges $400 Million Financing Facility for PORT 32 Marinas
- Dec -11 - Newmark Arranges $525 Million Refinancing for Flexible Living Apartment Portfolio Operated by Sentral
- Dec -10 - Newmark Named Best Real Estate Consultant by Euromoney
- Dec -09 - Newmark Arranges $1.75 Billion Refinancing for Two of Fontainebleau Development's Award-Winning Florida Resorts
- Nov -21 - Newmark's Executive Chairman Howard W. Lutnick Nominated for U.S. Secretary of Commerce
- Nov -21 - Newmark Facilitates Sale of 427,799-SF Office Campus in Dallas' Sought-After Preston Center Submarket
- Nov -13 - Newmark Advises URW in €172.5 Million Office Sale
- Nov -08 - Newmark Group: Beat-And-Raise Q3 Supports A Buy
- Nov -05 - Newmark Advises on Sale of Iconic W Hotel South Beach
- Nov -05 - Newmark Group, Inc. (NMRK) Q3 2024 Earnings Call Transcript
- Nov -05 - Newmark Group (NMRK) Q3 Earnings Top Estimates
- Nov -05 - Newmark Reports Third Quarter 2024 Financial Results
- Nov -04 - Newmark Arranges $315 Million Refinancing for National Self-Storage Portfolio
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Leasing and Other Commissions
Expected Growth : 5.5 %
What the company do ?
Leasing and Other Commissions from Newmark Group, Inc. refers to fees earned from leasing transactions and other services provided to clients, such as property management and consulting.
Why we expect these perspectives ?
Newmark Group's 5.5% growth in Leasing and Other Commissions is driven by increasing demand for commercial real estate services, expansion into new markets, and strategic acquisitions. Additionally, the company's diversified revenue streams, including leasing, investment sales, and mortgage brokerage, contribute to its growth. Furthermore, Newmark's strong brand reputation and experienced professionals also support its growth momentum.
Segment n°2 -> Management Services
Expected Growth : 5.0 %
What the company do ?
Newmark Group's Management Services provide comprehensive real estate management solutions, including property management, project management, and advisory services to maximize asset value.
Why we expect these perspectives ?
Newmark Group's Management Services segment growth of 5.0% is driven by increasing demand for outsourced real estate services, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on technology-enabled services, such as data analytics and portfolio management, is attracting clients seeking to optimize their real estate portfolios.
Segment n°3 -> Investment
Expected Growth : 7.0 %
What the company do ?
Newmark Group, Inc. invested $500 million in a strategic partnership to expand its commercial real estate services and technology capabilities.
Why we expect these perspectives ?
Newmark Group, Inc.'s 7.0% growth is driven by increasing demand for commercial real estate services, expansion into new markets, and strategic acquisitions. Additionally, the company's diversified revenue streams, including leasing, capital markets, and property management, contribute to its growth. Furthermore, investments in technology and data analytics enhance operational efficiency and drive revenue growth.
Segment n°4 -> Servicing Fees and Other
Expected Growth : 4.5 %
What the company do ?
Servicing Fees and Other from Newmark Group, Inc. refers to fees earned from servicing commercial mortgage loans and other miscellaneous income.
Why we expect these perspectives ?
Newmark Group's 4.5% growth in Servicing Fees and Other is driven by increasing demand for commercial mortgage servicing, expansion of its investment sales and debt placement businesses, and growth in its asset management platform. Additionally, the company's strategic acquisitions and partnerships have contributed to the growth, along with a favorable interest rate environment and strong property market fundamentals.
Segment n°5 -> Mortgage Brokerage and Debt Placement
Expected Growth : 6.5 %
What the company do ?
Newmark Group's Mortgage Brokerage and Debt Placement segment provides financing solutions, loan sales, and debt placement services to commercial real estate investors and developers.
Why we expect these perspectives ?
Newmark Group's Mortgage Brokerage and Debt Placement segment growth of 6.5% is driven by increasing demand for commercial mortgage brokerage services, expansion of debt placement capabilities, and strategic partnerships. Additionally, the segment benefits from a strong pipeline of transactions, favorable interest rate environment, and growing demand for capital markets services.
Segment n°6 -> Fair Value of Expected Net Future Cash Flows from Servicing Recognized at Commitment, Net
Expected Growth : 5.8 %
What the company do ?
The Fair Value of Expected Net Future Cash Flows from Servicing Recognized at Commitment, Net represents the present value of future cash flows from servicing mortgage loans, recognized at the time of loan commitment, net of associated costs and expenses, as reported by Newmark Group, Inc.
Why we expect these perspectives ?
Newmark Group, Inc.'s 5.8% growth in Fair Value of Expected Net Future Cash Flows from Servicing Recognized at Commitment is driven by increasing commercial property transactions, expansion of mortgage servicing rights, and strategic acquisitions. Additionally, the company's diversified revenue streams, strong brand reputation, and cost-saving initiatives contribute to its growth momentum.
Segment n°7 -> Loan Originations Related Fees and Sales Premiums, Net
Expected Growth : 6.2 %
What the company do ?
Loan Originations Related Fees and Sales Premiums, Net from Newmark Group, Inc. refers to the revenue generated from loan origination fees and sales premiums, net of related costs.
Why we expect these perspectives ?
The 6.2% growth in Loan Originations Related Fees and Sales Premiums from Newmark Group, Inc. is driven by increasing demand for commercial mortgage brokerage services, expansion into new markets, and strategic partnerships. Additionally, the company's investment in technology and digital platforms has enhanced its ability to originate and close loans efficiently, resulting in higher fees and premiums.
Newmark Group, Inc. Products
| Product Range | What is it ? |
|---|---|
| Leasing | Newmark Group's leasing services provide comprehensive solutions for tenants, landlords, and investors across various property types, including office, industrial, retail, and multifamily. |
| Investment Sales | Newmark's investment sales platform provides advisory services for buyers and sellers of commercial properties, including office buildings, shopping centers, and apartments. |
| Global Corporate Services | Newmark's global corporate services provide strategic consulting and transaction management services for corporate occupiers, including portfolio optimization and workplace strategy. |
| Valuation & Advisory | Newmark's valuation and advisory services provide independent and unbiased valuations, appraisals, and consulting services for commercial properties. |
| Project Management | Newmark's project management services provide comprehensive oversight and coordination of construction projects, including budgeting, scheduling, and quality control. |
| Property Management | Newmark's property management services provide comprehensive management and operational services for commercial properties, including accounting, budgeting, and maintenance. |
Newmark Group, Inc.'s Porter Forces
Threat Of Substitutes
Newmark Group, Inc. operates in a highly competitive industry, and there are many substitutes available to customers. However, the company's strong brand reputation and customer loyalty help to mitigate the threat of substitutes.
Bargaining Power Of Customers
Newmark Group, Inc. has a large customer base, but the customers have significant bargaining power due to the availability of substitutes and the company's dependence on a few large clients.
Bargaining Power Of Suppliers
Newmark Group, Inc. has a diverse supplier base, and the suppliers have limited bargaining power due to the company's large scale of operations and its ability to negotiate favorable terms.
Threat Of New Entrants
The threat of new entrants is moderate due to the high barriers to entry in the industry, including significant capital requirements and regulatory hurdles. However, new entrants can still disrupt the market with innovative business models.
Intensity Of Rivalry
The real estate services industry is highly competitive, with many established players competing for market share. Newmark Group, Inc. faces intense rivalry from its competitors, which can lead to downward pressure on prices and profit margins.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 47.74% |
| Debt Cost | 3.95% |
| Equity Weight | 52.26% |
| Equity Cost | 13.92% |
| WACC | 9.16% |
| Leverage | 91.37% |
Newmark Group, Inc. : Quality Control
Newmark Group, Inc. passed 2 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| RMAX | RE/MAX Holdings, Inc. operates as a franchisor of real estate and mortgage brokerage services in the United States, Canada, and internationally. The company operates through three segments: Real Estate, Mortgage, … |
| DOMA | Doma Holdings Inc. originates, underwrites, and provides title, escrow, and settlement services to homeowners, lenders, title agents, and real estate professionals. It operates through two segments, Distribution and Underwriting. The … |
| MMI | Marcus & Millichap, Inc., an investment brokerage company, provides real estate investment brokerage and financing services to sellers and buyers of commercial real estate in the United States and Canada. … |
| FRPH | FRP Holdings, Inc. engages in the real estate businesses in the United States. The company operates through four segments: Asset Management, Mining Royalty Lands, Development, and Stabilized Joint Venture. The … |
| MAYS | J.W. Mays, Inc. owns, operates, and leases commercial real estate properties in United States. Its properties are located in Brooklyn, Jamaica, Fishkill, Levittown, Massapequa of New York, and Circleville of … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Marcus Millichap
A-Score
1-Year Total Return ->
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Newmark
A-Score
1-Year Total Return ->
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Doma
A-Score
1-Year Total Return ->
4
RE/MAX
A-Score
1-Year Total Return ->
5
FRP Holdings
A-Score
1-Year Total Return ->
6
