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Stock Alert: New Residential Investment Corp Falls To 52-week Low

Shares of New Residential Investment Corp. (NRZ) are down more than 16 percent in Friday's morning trade at $3.54, after falling to a 52-week low of $3.26 earlier.

The shares have traded in a range of $3.26 to $17.66 in the past 52 weeks.

New Residential Investment is a New York-based real estate investment trust that is focused on investing in and managing residential mortgage related assets in the U.S. Wednesday, the company said it has entered into definitive agreements to sell about $6.1 billion face value of non-agency residential mortgage-backed securities to several buyers.

According to a report by Bloomberg citing a person with knowledge of the matter, the loans were sold at a discount.

The company said it does not expect these transactions to affect its previously reported estimated book value, which is expected to be down about 25 percent to 30 percent from $16.21 as of December 31, 2019.

The estimated book value is based primarily on management's estimates of the company's assets as of March 27, 2020 and not on third party valuations. "While mortgage assets have stabilized relative to recent weeks, our focus in this environment continues to be de-risking, increasing our liquidity and protecting our book value. In line with those goals, we sold a portfolio of non-agency securities and reduced our short-term financing exposure," said Michael Nierenberg, Chairman, Chief Executive Officer and President of New Residential.

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