May. 10 at 3:35 AM
$ABR
ABR Is About to Turn the Corner and Move Higher
Arbor Realty Trust (ABR) sold off sharply after its Q1 dividend reset to
$0.17/share, but the move looks like an overreaction.
The reset creates a sustainable 9.4% yield while freeing capital for debt resolutions and buybacks (already
$30M repurchased in Q1). Non-performing assets dropped
$100M and management targets slashing REO to
$250-300M by year-end, removing a major earnings drag.
New originations are accelerating amid a stabilizing multifamily market with rising rents and falling supply. At
$7.20, ABR trades at just 0.6× book value with analysts’ targets implying 50%+ upside.
The worst is behind it. Cleaner books, sustainable payout, and improving fundamentals position ABR for a strong rebound into 2027.