Nexpoint Real Estate Finance Inc (NREF)vsStarwood Property Trust Inc (STWD)
NREF
Nexpoint Real Estate Finance Inc
$15.80
+1.87%
REAL ESTATE · Cap: $363.94M
STWD
Starwood Property Trust Inc
$17.05
-0.23%
REAL ESTATE · Cap: $6.47B
Smart Verdict
WallStSmart Research — data-driven comparison
Starwood Property Trust Inc generates 273% more annual revenue ($580.84M vs $155.63M). NREF leads profitability with a 66.5% profit margin vs 60.5%. NREF trades at a lower P/E of 6.2x. STWD earns a higher WallStSmart Score of 59/100 (C).
NREF
Buy58
out of 100
Grade: C
STWD
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+63.3%
Fair Value
$40.54
Current Price
$15.80
$24.74 discount
Margin of Safety
+84.7%
Fair Value
$118.33
Current Price
$17.05
$101.28 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 67 of every $100 in revenue as profit
Strong operational efficiency at 69.4%
Reasonable price relative to book value
Keeps 61 of every $100 in revenue as profit
Attractively priced relative to earnings
Revenue surging 21.8% year-over-year
Areas to Watch
Smaller company, higher risk/reward
Revenue declined 4.8%
Earnings declined 39.2%
Distress zone — elevated risk
Expensive relative to growth rate
ROE of 5.3% — below average capital efficiency
Weak financial health signals
Earnings declined 60.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : NREF
The strongest argument for NREF centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 66.5% and operating margin at 69.4%.
Bull Case : STWD
The strongest argument for STWD centers on Price/Book, Profit Margin, P/E Ratio. Profitability is solid with margins at 60.5% and operating margin at 17.4%. Revenue growth of 21.8% demonstrates continued momentum.
Bear Case : NREF
The primary concerns for NREF are Market Cap, Revenue Growth, EPS Growth. Debt-to-equity of 5.68 is elevated, increasing financial risk.
Bear Case : STWD
The primary concerns for STWD are PEG Ratio, Return on Equity, Piotroski F-Score. Debt-to-equity of 3.47 is elevated, increasing financial risk.
Key Dynamics to Monitor
NREF profiles as a declining stock while STWD is a growth play — different risk/reward profiles.
NREF carries more volatility with a beta of 1.16 — expect wider price swings.
STWD is growing revenue faster at 21.8% — sustainability is the question.
NREF generates stronger free cash flow (9M), providing more financial flexibility.
Bottom Line
STWD scores higher overall (59/100 vs 58/100), backed by strong 60.5% margins and 21.8% revenue growth. NREF offers better value entry with a 63.3% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Nexpoint Real Estate Finance Inc
REAL ESTATE · REIT - MORTGAGE · USA
NexPoint Real Estate Finance, Inc. is a real estate finance company in the United States. The company is headquartered in Dallas, Texas.
Visit Website →Starwood Property Trust Inc
REAL ESTATE · REIT - MORTGAGE · USA
Starwood Property Trust, Inc. is a real estate investment trust (REIT) in the United States and Europe. The company is headquartered in Greenwich, Connecticut.
Compare with Other REIT - MORTGAGE Stocks
Want to dig deeper into these stocks?