2024-05-01 04:46:51 ET
Summary
- Commercial real estate debt is making a comeback, with investors buying $25 billion of new commercial mortgage-backed securities this year.
- S&P Global reported 14% revenue growth in Q1, driven by transaction revenue in the Ratings division and increased subscription revenue.
- The company is upbeat about its future, with higher revenue growth, stronger margins, and higher EPS anticipated. However, the stock price may see a correction in the months ahead.
Introduction
I have good news!
Bloomberg reported that commercial real estate debt is making a comeback.
Investors have bought close to $25 billion of new commercial mortgage-backed securities so far this year. That's 170% more compared to the same period in 2023.
Last year, CMBS issuance suffered from the bankruptcies of smaller regional banks, a steep uptrend in interest rates, and a halt in commercial property demand. Now, some of these headwinds are fading - despite no signs of a sudden decline in interest rates....
Read the full article on Seeking Alpha
For further details see:
From Ratings To Riches: Why S&P Global Deserves A Spot In Your Portfolio