Real estate services firm Newmark (NASDAQ: NMRK) met Wall Street’s revenue expectations in Q4 CY2025, with sales up 15.3% year on year to $1.01 billion. The company’s full-year revenue guidance of $3.75 billion at the midpoint came in 3.1% above analysts’ estimates. Its non-GAAP profit of $0.68 per share was 3.3% above analysts’ consensus estimates.
Is now the time to buy Newmark? Find out by accessing our full research report, it’s free.
Newmark (NMRK) Q4 CY2025 Highlights:
- Revenue: $1.01 billion vs analyst estimates of $1.00 billion (15.3% year-on-year growth, in line)
- Adjusted EPS: $0.68 vs analyst estimates of $0.66 (3.3% beat)
- Adjusted EBITDA: $214 million vs analyst estimates of $214.7 million (21.3% margin, in line)
- Adjusted EPS guidance for the upcoming financial year 2026 is $1.87 at the midpoint, in line with analyst estimates
- EBITDA guidance for the upcoming financial year 2026 is $655 million at the midpoint, in line with analyst expectations
- Operating Margin: 12.3%, up from 10% in the same quarter last year
- Free Cash Flow Margin: 60.5%, up from 45.4% in the same quarter last year
- Market Capitalization: $2.66 billion
Company Overview
Founded in 1929, Newmark (NASDAQ: NMRK) provides commercial real estate services, including leasing advisory, global corporate services, investment sales and capital markets, property and facilities management, valuation and advisory, and consulting.
Revenue Growth
A company’s long-term sales performance can indicate its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Over the last five years, Newmark grew its sales at a 11.6% annual rate. Though this growth is acceptable on an absolute basis, we need to see more than just topline growth for the consumer discretionary sector, which can display significant earnings volatility. This means our bar for the sector is particularly high, reflecting the non-essential and hit-driven nature of the products and services offered. Additionally, five-year CAGR starts around Covid, when revenue was depressed then rebounded.
We at StockStory place the most emphasis on long-term growth, but within consumer discretionary, a stretched historical view may miss a company riding a successful new product or trend. Newmark’s annualized revenue growth of 15.5% over the last two years is above its five-year trend, which is encouraging. 
This quarter, Newmark’s year-on-year revenue growth was 15.3%, and its $1.01 billion of revenue was in line with Wall Street’s estimates.
Looking ahead, sell-side analysts expect revenue to grow 9.8% over the next 12 months, a deceleration versus the last two years. This projection doesn't excite us and suggests its products and services will face some demand challenges.
Microsoft, Alphabet, Coca-Cola, Monster Beverage—all began as under-the-radar growth stories riding a massive trend. We’ve identified the next one: a profitable AI semiconductor play Wall Street is still overlooking. Go here for access to our full report.
Operating Margin
Newmark’s operating margin might fluctuated slightly over the last 12 months but has remained more or less the same, averaging 5.5% over the last two years. This profitability was inadequate for a consumer discretionary business and caused by its suboptimal cost structure.
In Q4, Newmark generated an operating margin profit margin of 12.3%, up 2.3 percentage points year on year. This increase was a welcome development and shows it was more efficient.
Earnings Per Share
Revenue trends explain a company’s historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions.
Newmark’s weak 11.7% annual EPS growth over the last five years aligns with its revenue performance. On the bright side, this tells us its incremental sales were profitable.
In Q4, Newmark reported adjusted EPS of $0.68, up from $0.55 in the same quarter last year. This print beat analysts’ estimates by 3.3%. Over the next 12 months, Wall Street expects Newmark’s full-year EPS of $1.62 to grow 14.4%.
Key Takeaways from Newmark’s Q4 Results
We were impressed by Newmark’s optimistic full-year revenue guidance, which blew past analysts’ expectations. We were also glad its EPS outperformed Wall Street’s estimates. Overall, we think this was a decent quarter with some key metrics above expectations. Investors were likely hoping for more, and shares traded down 1.1% to $14.56 immediately following the results.
Big picture, is Newmark a buy here and now? The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here (it’s free).
