Granite Point Mortgage Trust: GPMT explores strategic alternatives, incl. sale & capital raise; approves 1-for-10 reverse split

UBS Fast Take on Granite Point Mortgage Trust (GPMT.N). After a ~65% YTD decline and a dividend cut, GPMT is accelerating strategic options as rates pressure CRE valuations. The approved 1-for-10 reverse split addresses listing concerns; the Board may see a transaction or asset sale as a better path than loan resolution. The company is a real estate investment trust focused primarily on directly originating, investing in and managing senior commercial mortgage loans and other debt. The primary risk to GPMT, in terms of both earnings and book value, is an increase in credit costs; rising problem assets hurt earnings through non-accrual of interest income, less productive use of capital and interest-rate modification, while higher loss provisions pressure book value. UBS values GPMT on a price-to-book multiple informed by an industry P/B vs. ROE regression. UBS maintains a Neutral rating with a 12-month price target of US$1.50 versus a share price of US$0.84 on 23 Sep 2026.