KBW Raises Arbor Realty Trust (ABR) Price Target While Staying Bearish on Shares

Arbor Realty Trust, Inc. (NYSE:ABR) is included among the 15 Best Stocks to Buy Now for Passive Income.

On March 4, Keefe Bruyette analyst Jade Rahmani raised the firm’s price recommendation on Arbor Realty Trust, Inc. (NYSE:ABR) to $8 from $7.50. The firm reiterated an Underperform rating on the shares.

During the Q4 2025 earnings call, Chairman, President and CEO Ivan Kaufman said Arbor Realty Trust is focused on resolving nonperforming and underperforming loans. He described these loans as a major factor that has been weighing on the company’s earnings. Kaufman said management has a clear plan to work through most of these troubled loans over the coming quarters. If that effort succeeds, he suggested it could restore as much as $100 million to the company’s annual income run rate, or about $0.48 per share.

He noted that the company ended the year with about $570 million in delinquent loans and around $500 million in real estate owned assets. Together, those figures bring total nonperforming assets to roughly $1.1 billion. Kaufman said that the amount declined by more than $130 million compared with the previous quarter. He added that the company expects to resolve about $100 million to $150 million in delinquencies by the end of March. Another $100 million to $150 million could potentially be addressed within the following 90 days.

Kaufman also spoke about the company’s share repurchase activity. He said Arbor Realty Trust bought back about $20 million of its stock in recent months under its repurchase program, at an average price of $7.40 per share. That price represents about 64% of book value.

Arbor Realty Trust, Inc. (NYSE:ABR) is a real estate investment trust and direct lender that provides loan origination and servicing for multifamily, single-family rental portfolios, and other commercial real estate assets. The company operates through two segments: Structured Business and Agency Business.

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