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Tpg Re Finance (TRTX)
NYSE:TRTX
US Market
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Tpg Re Finance (TRTX) AI Stock Analysis

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TRTX

Tpg Re Finance

(NYSE:TRTX)

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Neutral 57 (OpenAI - 5.2)
Rating:57Neutral
Price Target:
$8.00
▲(3.76% Upside)
Action:Reiterated
Date:08/18/26
The score is driven primarily by a mixed financial profile: profitability and cash flow are solid, but high leverage and declining revenue keep financial performance constrained. Earnings-call commentary was broadly constructive on liquidity, funding stability, and credit quality, which supports the outlook. Offsetting these positives, technical signals remain weak, while valuation is helped by a reasonable P/E and very high dividend yield.
Positive Factors
Strong credit quality and diversified collateral
A fully performing portfolio and lower office concentration reduce credit and property-cycle risk. The shift toward multifamily and industrial collateral, alongside a stable risk rating and CECL reserve, supports more durable asset quality.
Negative Factors
High leverage limits financial flexibility
The debt-heavy capital structure leaves less room to absorb property-value declines, credit losses, or funding disruption. Rising leverage also increases sensitivity of shareholder returns and dividend capacity to borrowing costs and portfolio performance.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong credit quality and diversified collateral
A fully performing portfolio and lower office concentration reduce credit and property-cycle risk. The shift toward multifamily and industrial collateral, alongside a stable risk rating and CECL reserve, supports more durable asset quality.
Read all positive factors

Tpg Re Finance (TRTX) vs. SPDR S&P 500 ETF (SPY)

Tpg Re Finance Business Overview & Revenue Model

Company Description
TPG RE Finance Trust, Inc. (TRTX) operates as a financial institution primarily engaged in the commercial real estate sector within the United States. Its core business involves generating, purchasing, and actively overseeing a variety of debt ins...
How the Company Makes Money
TRTX primarily makes money by earning interest income and fee income from its commercial real estate debt investments. Its core revenue stream is net interest income: the interest collected on its loan portfolio (typically floating-rate first mort...

Tpg Re Finance Earnings Call Summary

Earnings Call Date:Jul 28, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 03, 2026
Earnings Call Sentiment Positive
The call emphasized multiple strategic and financial strengths: portfolio growth (15% YoY net asset growth), strong liquidity and diversified, longer-dated funding (85.2% non-mark-to-market, weighted avg cost 1.83%), stable credit metrics (100% performing, CECL 179 bps), and a meaningful reduction in office exposure to 4.3%. At the same time, management noted near-term headwinds from elevated rates, transaction timing variability (concentrated closings and repayments), and fees from the capital markets activity that caused some quarter-level drag. Overall, the positive portfolio and balance-sheet developments and the clear path for further deployment and monetization outweigh the timing and market challenges discussed on the call.
Positive Updates
Strong Origination and Portfolio Growth
Closed $466 million of new loan investments in Q2 and an additional $72 million subsequent to quarter end; $1.7 billion of new loan investments closed over the past year, driving $551.4 million (15%) net asset growth year-over-year.
Negative Updates
Market Headwinds and Rate Volatility
Elevated interest rates and ongoing rate volatility continue to suppress transaction activity and widen the gap between buyer and seller expectations, restricting lending demand primarily to refinancing opportunities.
Read all updates
Q2-2026 Updates
Negative
Strong Origination and Portfolio Growth
Closed $466 million of new loan investments in Q2 and an additional $72 million subsequent to quarter end; $1.7 billion of new loan investments closed over the past year, driving $551.4 million (15%) net asset growth year-over-year.
Read all positive updates
Company Guidance
Management's guidance focused on disciplined, prudential growth and balance‑sheet strength: they reiterated a target leverage zone of 3.5x–3.75x (current total leverage 3.32x), cited ~$380M of executed term sheets as near‑term deployment visibility, and said they expect to monetize/recycle part of the REO portfolio this year (may do 1–2 selective office deals by year‑end); share repurchases remain an active tool with $9.3M authorization remaining. Liquidity and funding metrics supporting that guidance include near‑term liquidity of $488.2M (cash $65.6M; undrawn secured capacity $317.4M; $100M revolver; CRE CLO reinvestment $5.2M), $186M of unencumbered loans eligible to pledge, $1.8B total financing capacity, a liability mix 85.2% non‑mark‑to‑market across 11 sources, weighted average cost of funds 1.83%, and new corporate/secured financings including a $400M 7‑year TLB at 99.75/2.75% spread and a $100M revolver at 2.00% spread. Portfolio/earnings metrics cited: Q2 originations $466M (3 loans) at 2.79% weighted credit spread (+$72M post‑quarter; $1.7B over past year), net assets $4.3B (Q/Q +$190.4M, YoY +$551.4M), loan portfolio 100% performing, weighted risk rating 3.0, CECL reserve 179 bps ($80.7M), 76.4% multifamily/industrial and office 4.3%, and year‑to‑date distributable earnings $37.1M ($0.48/share) covering the $0.48 dividend.

Tpg Re Finance Financial Statement Overview

Summary
Profitability and cash conversion are improving (Income Statement 58; Cash Flow 60), but the balance sheet is a meaningful constraint (Balance Sheet 46) with high debt versus equity and limited flexibility. Revenue contraction and leverage sensitivity keep the overall financial profile moderate.
Income Statement
58
Neutral
Balance Sheet
46
Neutral
Cash Flow
60
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue266.79M332.57M350.93M390.17M305.71M240.72M
Gross Profit220.66M263.75M281.81M356.85M275.10M217.59M
EBITDA268.10M262.38M291.14M162.39M101.22M224.70M
Net Income58.04M60.32M74.33M-116.63M-60.07M138.55M
Balance Sheet
Total Assets4.60B4.41B3.73B4.21B5.55B5.22B
Cash, Cash Equivalents and Short-Term Investments66.21M88.27M190.16M206.38M254.05M260.63M
Total Debt3.51B3.29B2.57B3.04B4.16B3.71B
Total Liabilities3.55B3.34B2.62B3.09B4.22B3.75B
Stockholders Equity1.04B1.07B1.11B1.12B1.32B1.46B
Cash Flow
Free Cash Flow82.89M84.22M106.81M74.76M95.44M132.17M
Operating Cash Flow92.64M90.36M112.13M80.13M100.50M132.17M
Investing Cash Flow-552.64M-789.71M440.51M1.10B-452.56M-342.90M
Financing Cash Flow359.79M597.13M-569.18M-1.22B345.34M152.10M

Tpg Re Finance Technical Analysis

Technical Analysis Sentiment
Negative
Last Price7.71
Price Trends
50DMA
8.25
Negative
100DMA
8.18
Negative
200DMA
8.17
Negative
Market Momentum
MACD
-0.14
Positive
RSI
32.47
Neutral
STOCH
16.16
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRTX, the sentiment is Negative. The current price of 7.71 is below the 20-day moving average (MA) of 7.94, below the 50-day MA of 8.25, and below the 200-day MA of 8.17, indicating a bearish trend. The MACD of -0.14 indicates Positive momentum. The RSI at 32.47 is Neutral, neither overbought nor oversold. The STOCH value of 16.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRTX.

Tpg Re Finance Risk Analysis

Tpg Re Finance disclosed 124 risk factors in its most recent earnings report. Tpg Re Finance reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Tpg Re Finance Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
65
Neutral
$2.17B12.193.79%4.94%3.15%1.96%
57
Neutral
$598.80M13.965.45%11.14%3.78%-15.19%
55
Neutral
$704.23M18.644.45%14.21%11.14%-54.56%
51
Neutral
$448.48M-2.30-16.70%11.58%-19.57%-397.76%
48
Neutral
$328.73M-0.53-37.62%10.54%-67.55%-82.70%
47
Neutral
$592.89M-216.430.59%14.63%20.85%91.76%
43
Neutral
$241.25M-0.43-35.83%79.83%-27.98%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TRTX
Tpg Re Finance
7.71
-0.55
-6.67%
RWT
Redwood
4.61
-0.64
-12.21%
RC
Ready Capital
1.84
-2.18
-54.25%
KREF
Kkr Real Estate Finance
7.55
-0.90
-10.67%
FBRT
Franklin BSP Realty Trust
8.45
-1.66
-16.44%
CMTG
Claros Mortgage Trust
1.66
-1.83
-52.44%

Tpg Re Finance Corporate Events

Business Operations and StrategyFinancial DisclosuresRegulatory Filings and Compliance
TPG RE Finance Updates Investors at Nareit REITweek 2026
Neutral
Jun 1, 2026
On June 1, 2026, TPG RE Finance Trust disclosed that Chief Executive Officer Doug Bouquard and the executive management team would meet investors during Nareit’s REITweek 2026 Investor Conference to discuss the company’s strategy and o...
Executive/Board ChangesShareholder Meetings
TPG RE Finance Shareholders Reelect Board, Approve Pay
Positive
May 21, 2026
At its May 19, 2026 annual meeting of stockholders, TPG RE Finance Trust shareholders elected eight directors to serve until the 2027 annual meeting, reaffirming the company’s existing board leadership structure. The vote tallies show broad,...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 18, 2026