Louisiana State Employees Retirement System Makes New $2.34 Million Investment in Rithm Capital Corp. $RITM

Louisiana State Employees Retirement System bought a new stake in shares of Rithm Capital Corp. (NYSE:RITM) during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor bought 246,500 shares of the real estate investment trust’s stock, valued at approximately $2,337,000.

A number of other institutional investors have also recently made changes to their positions in RITM. CoreCap Advisors LLC raised its holdings in shares of Rithm Capital by 99.2% during the fourth quarter. CoreCap Advisors LLC now owns 2,295 shares of the real estate investment trust’s stock valued at $25,000 after purchasing an additional 1,143 shares during the last quarter. Los Angeles Capital Management LLC purchased a new stake in Rithm Capital in the fourth quarter worth approximately $26,000. Garton & Associates Financial Advisors LLC bought a new stake in Rithm Capital in the 4th quarter worth approximately $31,000. FNY Investment Advisers LLC bought a new stake in Rithm Capital in the 4th quarter worth approximately $31,000. Finally, Torren Management LLC purchased a new stake in Rithm Capital during the 4th quarter valued at $35,000. Hedge funds and other institutional investors own 44.92% of the company’s stock.

Rithm Capital Price Performance

NYSE RITM opened at $9.42 on Tuesday. The company has a market capitalization of $5.26 billion, a PE ratio of 8.64 and a beta of 1.14. The company has a debt-to-equity ratio of 4.02, a quick ratio of 1.28 and a current ratio of 1.28. The business’s fifty day moving average is $9.45 and its 200 day moving average is $10.14. Rithm Capital Corp. has a fifty-two week low of $8.43 and a fifty-two week high of $12.74.

Rithm Capital (NYSE:RITM) last issued its quarterly earnings results on Tuesday, April 28th. The real estate investment trust reported $0.51 EPS for the quarter, missing analysts’ consensus estimates of $0.53 by ($0.02). Rithm Capital had a return on equity of 19.48% and a net margin of 14.44%.The company had revenue of $1.38 billion during the quarter, compared to analysts’ expectations of $1.27 billion. Sell-side analysts predict that Rithm Capital Corp. will post 2.27 earnings per share for the current year.

Rithm Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, July 31st. Investors of record on Thursday, July 2nd will be paid a dividend of $0.25 per share. The ex-dividend date is Thursday, July 2nd. This represents a $1.00 dividend on an annualized basis and a dividend yield of 10.6%. Rithm Capital’s payout ratio is 91.74%.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on the company. Piper Sandler dropped their price target on Rithm Capital from $15.00 to $14.00 and set an “overweight” rating on the stock in a research note on Thursday, April 2nd. UBS Group lowered their target price on Rithm Capital from $15.00 to $14.50 and set a “buy” rating on the stock in a report on Friday, April 10th. Wedbush cut their price target on Rithm Capital from $14.00 to $12.50 and set an “outperform” rating for the company in a research note on Friday, May 1st. Keefe, Bruyette & Woods reduced their price target on shares of Rithm Capital from $14.00 to $13.00 and set an “outperform” rating for the company in a research report on Friday, May 1st. Finally, BTIG Research dropped their price objective on shares of Rithm Capital from $16.00 to $13.00 and set a “buy” rating on the stock in a report on Tuesday, June 16th. Ten investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $13.35.

Insider Transactions at Rithm Capital

In related news, Director David Saltzman sold 80,922 shares of the stock in a transaction that occurred on Wednesday, May 20th. The shares were sold at an average price of $9.25, for a total value of $748,528.50. Following the completion of the sale, the director directly owned 44,248 shares of the company’s stock, valued at approximately $409,294. This represents a 64.65% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 0.57% 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.