Wedbush Reiterates “Outperform” Rating for Rithm Capital (NYSE:RITM)

Wedbush reiterated their outperform rating on shares of Rithm Capital (NYSE:RITM) in a research report released on Thursday,RTT News reports. The brokerage currently has a $14.00 price target on the real estate investment trust’s stock. Wedbush also issued estimates for Rithm Capital’s Q1 2025 earnings at $0.50 EPS, Q2 2025 earnings at $0.45 EPS, Q3 2025 earnings at $0.46 EPS, Q4 2025 earnings at $0.49 EPS and FY2026 earnings at $1.95 EPS.

A number of other equities analysts have also weighed in on RITM. Royal Bank of Canada reissued an “outperform” rating and issued a $13.00 price objective on shares of Rithm Capital in a research report on Tuesday, August 13th. JMP Securities raised their target price on shares of Rithm Capital from $11.00 to $12.50 and gave the company a “market outperform” rating in a research note on Friday, July 19th. One research analyst has rated the stock with a hold rating and eight have assigned a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $12.78.

Rithm Capital Stock Performance

Shares of RITM stock opened at $10.78 on Thursday. The firm’s 50 day moving average price is $11.08 and its 200-day moving average price is $11.16. The company has a debt-to-equity ratio of 1.63, a quick ratio of 0.49 and a current ratio of 1.35. Rithm Capital has a one year low of $9.68 and a one year high of $12.02. The firm has a market cap of $5.60 billion, a P/E ratio of 10.89 and a beta of 1.80.

Rithm Capital (NYSE:RITM) last announced its quarterly earnings data on Tuesday, October 29th. The real estate investment trust reported $0.54 EPS for the quarter, beating analysts’ consensus estimates of $0.42 by $0.12. The company had revenue of $619.51 million for the quarter, compared to the consensus estimate of $1.11 billion. Rithm Capital had a net margin of 14.99% and a return on equity of 17.54%. During the same period in the prior year, the firm posted $0.58 EPS. As a group, equities research analysts predict that Rithm Capital will post 1.89 EPS for the current year.

Rithm Capital Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, November 1st. Shareholders of record on Tuesday, October 1st were given a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 9.28%. The ex-dividend date of this dividend was Tuesday, October 1st. Rithm Capital’s dividend payout ratio (DPR) is currently 101.01%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Moran Wealth Management LLC acquired a new stake in shares of Rithm Capital in the 3rd quarter valued at approximately $266,000. Moors & Cabot Inc. increased its stake in Rithm Capital by 3.1% during the 3rd quarter. Moors & Cabot Inc. now owns 80,459 shares of the real estate investment trust’s stock valued at $913,000 after purchasing an additional 2,428 shares in the last quarter. Advisors Asset Management Inc. increased its stake in Rithm Capital by 2.3% during the 3rd quarter. Advisors Asset Management Inc. now owns 119,344 shares of the real estate investment trust’s stock valued at $1,355,000 after purchasing an additional 2,654 shares in the last quarter. LMR Partners LLP bought a new stake in Rithm Capital during the 3rd quarter valued at $7,378,000. Finally, Seelaus Asset Management LLC increased its stake in Rithm Capital by 6.9% during the 3rd quarter. Seelaus Asset Management LLC now owns 36,979 shares of the real estate investment trust’s stock valued at $420,000 after purchasing an additional 2,377 shares in the last quarter. 44.92% of the stock is owned by institutional investors and hedge funds.

About Rithm Capital

Rithm Capital Corp. operates as an asset manager focused on real estate, credit, and financial services. It operates through Origination and Servicing, Investment Portfolio, Mortgage Loans Receivable, and Asset Management segments. Its investment portfolio primarily comprises of mortgage servicing rights (MSR), and MSR financing receivables, title, appraisal and property preservation, excess MSRs, and services advance investments; real estate securities, call rights, SFR properties, and residential mortgage loans; consumer and business purpose loans; and asset management related investments.