Rithm Capital (NYSE:RITM) Hits New 52-Week Low – Here’s What Happened

Rithm Capital Corp. (NYSE:RITM) reached a new 52-week low during trading on Wednesday . The stock traded as low as $9.11 and last traded at $9.0950, with a volume of 6197870 shares changing hands. The stock had previously closed at $9.36.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on RITM. Keefe, Bruyette & Woods reaffirmed an “outperform” rating on shares of Rithm Capital in a report on Thursday, December 18th. UBS Group set a $15.00 target price on Rithm Capital in a research note on Friday, February 6th. Wedbush assumed coverage on Rithm Capital in a research report on Monday, December 15th. They set an “outperform” rating and a $14.00 price target on the stock. Wall Street Zen raised shares of Rithm Capital from a “hold” rating to a “buy” rating in a report on Saturday, March 7th. Finally, Piper Sandler restated an “overweight” rating and issued a $15.00 price objective (down from $15.50) on shares of Rithm Capital in a research report on Wednesday, February 4th. Seven investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $14.50.

Rithm Capital Stock Performance

The firm has a market capitalization of $5.04 billion, a PE ratio of 8.74 and a beta of 1.21. The company has a quick ratio of 0.58, a current ratio of 0.58 and a debt-to-equity ratio of 2.20. The company has a 50-day moving average of $10.72 and a 200 day moving average of $11.11.

Rithm Capital (NYSE:RITM) last released its quarterly earnings results on Tuesday, February 3rd. The real estate investment trust reported $0.74 earnings per share for the quarter, beating the consensus estimate of $0.55 by $0.19. Rithm Capital had a return on equity of 19.74% and a net margin of 15.55%.The firm had revenue of $1.29 billion for the quarter, compared to analysts’ expectations of $1.24 billion. Equities research analysts predict that Rithm Capital Corp. will post 1.93 EPS for the current year.

Rithm Capital Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, January 30th. Shareholders of record on Wednesday, December 31st were given a dividend of $0.25 per share. The ex-dividend date was Wednesday, December 31st. This represents a $1.00 annualized dividend and a yield of 11.0%. Rithm Capital’s payout ratio is presently 96.15%.

Hedge Funds Weigh In On Rithm Capital

A number of institutional investors have recently made changes to their positions in RITM. CoreCap Advisors LLC lifted its holdings in shares of Rithm Capital by 99.2% during the 4th quarter. CoreCap Advisors LLC now owns 2,295 shares of the real estate investment trust’s stock worth $25,000 after acquiring an additional 1,143 shares during the last quarter. Los Angeles Capital Management LLC purchased a new stake in Rithm Capital during the fourth quarter valued at about $26,000. Bessemer Group Inc. raised its position in Rithm Capital by 658.9% during the third quarter. Bessemer Group Inc. now owns 2,656 shares of the real estate investment trust’s stock valued at $30,000 after purchasing an additional 2,306 shares in the last quarter. Atlantic Union Bankshares Corp bought a new stake in Rithm Capital during the third quarter worth about $31,000. Finally, Garton & Associates Financial Advisors LLC purchased a new position in shares of Rithm Capital in the 4th quarter worth about $31,000. Institutional investors own 44.92% of the company’s stock.

About Rithm Capital

Rithm Capital Corporation is a specialty finance company that originates, acquires and manages structured credit investments collateralized by real estate assets in the United States. The company focuses primarily on senior floating-rate loans secured by multifamily, commercial, industrial and single-family rental properties, aiming to deliver attractive risk-adjusted yields through a diversified portfolio of floating-rate real estate debt.

In addition to senior loans, Rithm Capital invests in residential mortgage-backed securities, including agency and non-agency pools, as well as other real estate-related credit instruments.