NMRK Earnings Prediction
The chart below shows how NMRK performed 10 days before and after its earnings report, based on data from the past quarters. Typically, NMRK sees a -1.12% change in stock price 10 days leading up to the earnings, and a +5.45% change 10 days following the report. On the earnings day itself, the stock moves by -0.51%. This data can give you a slight idea of what to expect for the next quarter's release.
NMRK Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
883.69M
19.24%
35.52%
Gross Margin
--
--
--
Operating Margin
11.79%
0.43%
383.20%
Net Margin
7.25%
0.69%
94.37%
EPS
0.18
-14.29%
157.14%
No Data Available
NMRK Earnings Analysis
Newmark Group Inc Corporation (NMRK.O) Earnings Conference Call
Positive
Strong Revenue Performance: Newmark achieved an 18.8% revenue growth to $888.3 million, demonstrating strong performance across all business lines despite challenging comparisons.
Management Revenue Growth: Management and servicing revenues increased by 21.1%, marking the sixth consecutive period of year-on-year improvement.
Capital Markets Revenue Surge: Capital markets revenues grew by 20%, with a notable 113.2% increase in total capital markets volumes excluding the Signature transaction, significantly outpacing industry growth metrics.
Earnings and EBITDA Growth: Adjusted EPS rose by 19.6% to $0.55, and adjusted EBITDA increased by 10.1% to $182.9 million, reflecting strong operational performance.
Projected Revenue and Earnings Growth: The company anticipates strong revenue and earnings growth in 2025, with total revenues expected to be between $2.9 billion and $3.1 billion, representing a 9% increase at the midpoint.
Adjusted EBITDA Target 2026: Newmark's adjusted EBITDA target for 2026 is at least $630 million, indicating confidence in continued growth and margin expansion.
U.S. Debt Market Share Growth: The company has successfully increased its U.S. debt market share by approximately 300 basis points to 9%, a significant improvement from 1.5% in 2015, validating its strategic investments in talent and platform.
Sustained Growth Momentum: Newmark's robust pipeline across all major business lines suggests sustained momentum and growth opportunities in the upcoming year.
Negative
Rising Compensation Expenses: Compensation expenses increased by 13.4%, indicating rising costs associated with higher commission-based revenues and growth in management and servicing businesses.
Rising Non-Compensation Expenses: Non-compensation expenses rose by 8.2%, reflecting higher pass-through costs and increased warehouse interest expense, which could impact overall profitability.
Q4 Performance Challenges: The company faced a challenging fourth quarter comparison due to the significant $39.5 billion Signature transaction from the previous year, which may skew year-over-year performance assessments.
Market Challenges Ahead: Despite strong revenue growth, the company is still navigating market headwinds that could affect future performance, particularly in capital markets and leasing.
2025 Revenue Growth Outlook: The outlook for 2025 anticipates only a 9% revenue increase at the midpoint, which may not meet investor expectations for more aggressive growth given the current market conditions.
NMRK FAQs
How does NMRK typically perform around its earnings report dates?
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NMRK Earning Call Sentiment
Earnings call transcript: Newmark Group Q4 2024 beats expectations, stock surges
NMRK.O
1.44%Positive
The earnings call reveals strong financial performance with record high revenue, positive EPS growth, and strong cash flow. The guidance is optimistic, expecting revenue and EPS growth. Share repurchases indicate confidence in the stock. Despite competitive and economic uncertainties, management is optimistic about growth and addressing challenges. The market cap suggests moderate volatility, leading to a positive stock price prediction.
