Rithm Capital Corp. $RITM Shares Sold by Hsbc Holdings PLC

Hsbc Holdings PLC cut its stake in Rithm Capital Corp. (NYSE:RITM) by 22.0% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 189,672 shares of the real estate investment trust’s stock after selling 53,532 shares during the period. Hsbc Holdings PLC’s holdings in Rithm Capital were worth $2,075,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently modified their holdings of RITM. Curi Capital LLC boosted its stake in shares of Rithm Capital by 0.7% during the 2nd quarter. Curi Capital LLC now owns 120,262 shares of the real estate investment trust’s stock worth $1,358,000 after acquiring an additional 829 shares in the last quarter. Geneos Wealth Management Inc. raised its holdings in Rithm Capital by 14.3% during the first quarter. Geneos Wealth Management Inc. now owns 7,031 shares of the real estate investment trust’s stock worth $81,000 after purchasing an additional 881 shares during the last quarter. City Holding Co. raised its holdings in Rithm Capital by 35.1% during the fourth quarter. City Holding Co. now owns 3,850 shares of the real estate investment trust’s stock worth $42,000 after purchasing an additional 1,000 shares during the last quarter. Westbourne Investment Advisors Inc. boosted its position in Rithm Capital by 1.8% during the fourth quarter. Westbourne Investment Advisors Inc. now owns 55,500 shares of the real estate investment trust’s stock worth $605,000 after purchasing an additional 1,000 shares in the last quarter. Finally, Fort Sheridan Advisors LLC grew its holdings in Rithm Capital by 0.3% in the fourth quarter. Fort Sheridan Advisors LLC now owns 367,164 shares of the real estate investment trust’s stock valued at $4,002,000 after purchasing an additional 1,000 shares during the last quarter. 44.92% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity

In related news, Director David Saltzman sold 80,922 shares of the company’s stock in a transaction that occurred on Wednesday, May 20th. The shares were sold at an average price of $9.25, for a total transaction of $748,528.50. Following the transaction, the director owned 44,248 shares of the company’s stock, valued at approximately $409,294. This represents a 64.65% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Insiders own 0.57% of the company’s stock.

Analyst Ratings Changes

A number of brokerages have recently weighed in on RITM. Compass Point initiated coverage on Rithm Capital in a research report on Monday, June 8th. They issued a “buy” rating and a $14.00 price target for the company. Keefe, Bruyette & Woods decreased their price objective on shares of Rithm Capital from $14.00 to $13.00 and set an “outperform” rating on the stock in a research report on Friday, May 1st. Wedbush lowered their price objective on shares of Rithm Capital from $14.00 to $12.50 and set an “outperform” rating on the stock in a research note on Friday, May 1st. Wall Street Zen upgraded shares of Rithm Capital from a “sell” rating to a “hold” rating in a report on Sunday. Finally, Capital One Financial set a $12.50 target price on shares of Rithm Capital in a research report on Thursday, April 9th. Ten research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $13.35.

Rithm Capital Stock Performance

Rithm Capital stock opened at $9.42 on Tuesday. Rithm Capital Corp. has a fifty-two week low of $8.43 and a fifty-two week high of $12.74. The company has a market capitalization of $5.26 billion, a price-to-earnings ratio of 8.64 and a beta of 1.14. The stock has a fifty day moving average of $9.45 and a two-hundred day moving average of $10.14. The company has a debt-to-equity ratio of 4.02, a quick ratio of 1.28 and a current ratio of 1.28.

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

Rithm Capital Announces Dividend

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

Rithm Capital Profile

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.