Walker & Dunlop (WD) could see a slow start to the year with interest rate volatility limiting demand following the company's outlook, Wedbush said in a report Tuesday.
The report said the commercial real estate finance company saw a meaningful amount of its clients with assets secured by a floating rate loan that want to convert to a fixed rate loan in Q4.
In order to convert to that fixed loan, many of the transactions require a cash-in refinancing from the current borrower or partnership structure, the note said.
"Many borrowers were not willing to put more cash into those deals during F4Q24 and that hesitancy has continued thus far in F1Q25," the report said.
"As a result of that commentary and WD's indication that the GSEs may be off to the typical slow start for the year, we are lowering our EPS and revenue estimates," Wedbush said.
Wedbush cut its price target to $105 from $115 while keeping its neutral rating.
Price: 84.72, Change: -1.72, Percent Change: -1.99
免責聲明：投資有風險，本文並非投資建議，以上內容不應被視為任何金融產品的購買或出售要約、建議或邀請，作者或其他用戶的任何相關討論、評論或帖子也不應被視為此類內容。本文僅供一般參考，不考慮您的個人投資目標、財務狀況或需求。TTM對信息的準確性和完整性不承擔任何責任或保證，投資者應自行研究並在投資前尋求專業建議。