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Newmark Group Expected to Continue Growing in 2022

NMKR sports an over 55% year-over-year lead

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Newmark Group Inc (NASDAQ:NMRK) is down 1.9% to trade at $15.66 at last check. The equity bounced off the $14 level in late January, after cooling off from a Jan. 3, all-time high of $19.10, but this recent rally was cut short at the $18.50 mark. The shares are currently testing a floor at the $15.50 level, with long-time support at the 160-day moving average, while sporting a 55.2% year-over-year lead.

NMKR 160 Day

An unwinding of pessimism in the options pits could provide tailwinds for Newmark Group stock. This is per the equity's Schaeffer's put/call options ratio (SOIR) of 1.94, which stands higher than 77% of readings from the past year. In other words, these traders have been quite put-biased of late. 

From a fundamental point of view, Newmark stock offers a very intriguing valuation. NMRK trades at a forward price-earnings ratio of 5.74 and a price-sales ratio of 1.06.

The real estate company also generated strong top- and bottom-line figures in 2021. In fact, NMRK grew its annual revenues 53%, reporting $2.9 billion, and increased its net income a jaw-dropping 959%, growing from $70 million to $744.5 million. Additionally, Newmark Group is expected to grow earnings 9.8%, and sales 6.2% this year, which provides a safe but limited option for value investors.

 

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