Is Granite Point Stock a Good Investment?
Granite Point Investment Advice | GPMT |
- Examine Granite Point's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Granite Point's leadership team and their track record. Good management can help Granite Point navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Mortgage Real Estate Investment Trusts (REITs) space and any emerging trends that could impact Granite Point's business and its evolving consumer preferences.
- Compare Granite Point's performance and market position to its competitors. Analyze how Granite Point is positioned in terms of product offerings, innovation, and market share.
- Check if Granite Point pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Granite Point's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Granite Point Mortgage stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Granite Point Mortgage is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Good | Details | |
Volatility | Relatively risky | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | About Average | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Granite Point Stock
Researching Granite Point's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 51.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 0.26. Some equities with similar Price to Book (P/B) outperform the market in the long run. Granite Point Mortgage recorded a loss per share of 3.86. The entity last dividend was issued on the 1st of October 2024.
To determine if Granite Point is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Granite Point's research are outlined below:
| Granite Point appears to be risky and price may revert if volatility continues | |
| The company reported the previous year's revenue of 266.49 M. Net Loss for the year was (63.2 M) with profit before overhead, payroll, taxes, and interest of 10.7 M. | |
| On 15th of October 2024 Granite Point paid $ 0.05 per share dividend to its current shareholders | |
| Latest headline from bizjournals.com: Tech giant Cisco renews large suburban office lease |
Granite Point Quarterly Accounts Payable |
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Granite Point uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Granite Point Mortgage. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Granite Point's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 22nd of February 2024 Upcoming Quarterly Report | View | |
| 14th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 22nd of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Granite Point's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Granite Point's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2022-05-10 | 2022-03-31 | 0.04 | 0.05 | 0.01 | 25 | ||
2021-11-08 | 2021-09-30 | 0.1 | 0.09 | -0.01 | 10 | ||
2023-08-08 | 2023-06-30 | 0.14 | 0.12 | -0.02 | 14 | ||
2024-08-05 | 2024-06-30 | -0.21 | -0.18 | 0.03 | 14 | ||
2023-05-09 | 2023-03-31 | 0.16 | 0.2 | 0.04 | 25 | ||
2022-11-08 | 2022-09-30 | 0.21 | 0.17 | -0.04 | 19 | ||
2019-11-05 | 2019-09-30 | 0.38 | 0.34 | -0.04 | 10 | ||
2017-11-06 | 2017-09-30 | 0.33 | 0.28 | -0.05 | 15 |
Know Granite Point's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Granite Point is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Granite Point Mortgage backward and forwards among themselves. Granite Point's institutional investor refers to the entity that pools money to purchase Granite Point's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | D. E. Shaw & Co Lp | 2024-06-30 | 557.6 K | Northern Trust Corp | 2024-09-30 | 462.5 K | Camelot Funds, Llc | 2024-06-30 | 415.5 K | Amvescap Plc. | 2024-06-30 | 346.1 K | Two Sigma Advisers, Llc | 2024-06-30 | 308 K | Penserra Capital Management, Llc | 2024-06-30 | 259.1 K | Ameriprise Financial Inc | 2024-06-30 | 230.7 K | Cresset Asset Management, Llc | 2024-06-30 | 210.7 K | Palogic Value Management Lp | 2024-09-30 | 205.4 K | Blackrock Inc | 2024-06-30 | 5.3 M | Vanguard Group Inc | 2024-09-30 | 2.9 M |
Granite Point's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 173.35 M.Market Cap |
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Granite Point's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.02) | (0.02) | |
| Return On Capital Employed | 0.04 | 0.04 | |
| Return On Assets | (0.02) | (0.02) | |
| Return On Equity | (0.07) | (0.07) |
Determining Granite Point's profitability involves analyzing its financial statements and using various financial metrics to determine if Granite Point is a good buy. For example, gross profit margin measures Granite Point's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Granite Point's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Granite Point's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Granite Point Mortgage. Check Granite Point's Beneish M Score to see the likelihood of Granite Point's management manipulating its earnings.
Evaluate Granite Point's management efficiency
Granite Point Mortgage has return on total asset (ROA) of (0.0669) % which means that it has lost $0.0669 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (0.2331) %, meaning that it created substantial loss on money invested by shareholders. Granite Point's management efficiency ratios could be used to measure how well Granite Point manages its routine affairs as well as how well it operates its assets and liabilities. Return On Capital Employed is likely to gain to 0.04 in 2024, despite the fact that Return On Tangible Assets are likely to grow to (0.02). Liabilities And Stockholders Equity is likely to gain to about 3.3 B in 2024, whereas Total Current Liabilities is likely to drop slightly above 93.2 M in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 16.63 | 16.98 | |
| Tangible Book Value Per Share | 16.63 | 16.98 | |
| Enterprise Value Over EBITDA | 16.98 | 16.13 | |
| Price Book Value Ratio | 0.36 | 0.34 | |
| Enterprise Value Multiple | 16.98 | 16.13 | |
| Price Fair Value | 0.36 | 0.34 | |
| Enterprise Value | 2.1 B | 1.5 B |
Granite Point Mortgage has shown resilience through effective management strategies. Our analysis examines how these strategies influence financial outcomes and investor returns which helps in understanding the stock's long-term potential.
Dividend Yield 0.0576 | Forward Dividend Yield 0.0576 | Forward Dividend Rate 0.2 | Beta 1.816 |
Basic technical analysis of Granite Stock
As of the 21st of November, Granite Point retains the market risk adjusted performance of 0.4869, and Risk Adjusted Performance of 0.1386. Granite Point technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices.Granite Point's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Granite Point insiders, such as employees or executives, is commonly permitted as long as it does not rely on Granite Point's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Granite Point insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Granite Point's Outstanding Corporate Bonds
Granite Point issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Granite Point Mortgage uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Granite bonds can be classified according to their maturity, which is the date when Granite Point Mortgage has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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Understand Granite Point's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Granite Point's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1386 | |||
| Market Risk Adjusted Performance | 0.4869 | |||
| Mean Deviation | 2.32 | |||
| Semi Deviation | 2.16 | |||
| Downside Deviation | 2.56 | |||
| Coefficient Of Variation | 574.78 | |||
| Standard Deviation | 3.05 | |||
| Variance | 9.31 | |||
| Information Ratio | 0.1427 | |||
| Jensen Alpha | 0.4275 | |||
| Total Risk Alpha | 0.1749 | |||
| Sortino Ratio | 0.1699 | |||
| Treynor Ratio | 0.4769 | |||
| Maximum Drawdown | 15.56 | |||
| Value At Risk | (3.73) | |||
| Potential Upside | 6.55 | |||
| Downside Variance | 6.57 | |||
| Semi Variance | 4.68 | |||
| Expected Short fall | (2.76) | |||
| Skewness | 0.8144 | |||
| Kurtosis | 1.47 |
| Risk Adjusted Performance | 0.1386 | |||
| Market Risk Adjusted Performance | 0.4869 | |||
| Mean Deviation | 2.32 | |||
| Semi Deviation | 2.16 | |||
| Downside Deviation | 2.56 | |||
| Coefficient Of Variation | 574.78 | |||
| Standard Deviation | 3.05 | |||
| Variance | 9.31 | |||
| Information Ratio | 0.1427 | |||
| Jensen Alpha | 0.4275 | |||
| Total Risk Alpha | 0.1749 | |||
| Sortino Ratio | 0.1699 | |||
| Treynor Ratio | 0.4769 | |||
| Maximum Drawdown | 15.56 | |||
| Value At Risk | (3.73) | |||
| Potential Upside | 6.55 | |||
| Downside Variance | 6.57 | |||
| Semi Variance | 4.68 | |||
| Expected Short fall | (2.76) | |||
| Skewness | 0.8144 | |||
| Kurtosis | 1.47 |
Consider Granite Point's intraday indicators
Granite Point intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Granite Point stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Granite Point Corporate Filings
8K | 6th of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 9th of August 2024 Other Reports | ViewVerify | |
F4 | 21st of June 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 22nd of April 2024 Other Reports | ViewVerify |
Granite Stock media impact
Far too much social signal, news, headlines, and media speculation about Granite Point that are available to investors today. That information is available publicly through Granite media outlets and privately through word of mouth or via Granite internal channels. However, regardless of the origin, that massive amount of Granite data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Granite Point news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Granite Point relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Granite Point's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Granite Point alpha.
Granite Point Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Granite Point can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Additional Tools for Granite Stock Analysis
When running Granite Point's price analysis, check to measure Granite Point's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Granite Point is operating at the current time. Most of Granite Point's value examination focuses on studying past and present price action to predict the probability of Granite Point's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Granite Point's price. Additionally, you may evaluate how the addition of Granite Point to your portfolios can decrease your overall portfolio volatility.