Rithm Capital (NYSE:RITM) Lowered to Sell Rating by Wall Street Zen

Rithm Capital (NYSE:RITM) was downgraded by research analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a report issued on Monday.

Several other equities analysts have also weighed in on the company. JonesTrading reaffirmed a “buy” rating and issued a $13.50 price objective on shares of Rithm Capital in a research note on Tuesday, April 28th. BTIG Research dropped their target price on shares of Rithm Capital from $16.00 to $13.00 and set a “buy” rating for the company in a research report on Tuesday, June 16th. Royal Bank Of Canada cut their price target on shares of Rithm Capital from $14.00 to $13.00 and set an “outperform” rating on the stock in a report 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 on the stock in a research report on Friday, May 1st. Finally, UBS Group dropped their price objective on shares of Rithm Capital from $15.00 to $14.50 and set a “buy” rating for the company in a research report on Friday, April 10th. Ten analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $13.20.

Rithm Capital Trading Down 0.3%

Shares of Rithm Capital stock opened at $9.07 on Monday. The company has a fifty day simple moving average of $9.38 and a 200-day simple moving average of $10.08. Rithm Capital has a 12-month low of $8.43 and a 12-month high of $12.74. The company has a current ratio of 1.28, a quick ratio of 1.28 and a debt-to-equity ratio of 4.02. The stock has a market cap of $5.06 billion, a price-to-earnings ratio of 8.32 and a beta of 1.14.

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

Insider Activity at Rithm Capital

In related news, Director David Saltzman sold 80,922 shares of the stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $9.25, for a total transaction of $748,528.50. Following the sale, the director owned 44,248 shares in the company, valued at $409,294. This represents a 64.65% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 0.57% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the stock. Norges Bank acquired a new position in Rithm Capital in the fourth quarter worth approximately $77,067,000. Qube Research & Technologies Ltd lifted its position in shares of Rithm Capital by 80.7% during the 3rd quarter. Qube Research & Technologies Ltd now owns 7,890,987 shares of the real estate investment trust’s stock valued at $89,878,000 after acquiring an additional 3,524,330 shares during the last quarter. Principal Financial Group Inc. lifted its position in shares of Rithm Capital by 17,546.2% during the 1st quarter. Principal Financial Group Inc. now owns 2,693,696 shares of the real estate investment trust’s stock valued at $25,536,000 after acquiring an additional 2,678,431 shares during the last quarter. UBS Group AG boosted its stake in shares of Rithm Capital by 127.9% during the 3rd quarter. UBS Group AG now owns 3,718,822 shares of the real estate investment trust’s stock worth $42,357,000 after acquiring an additional 2,087,282 shares in the last quarter. Finally, Balyasny Asset Management L.P. boosted its stake in shares of Rithm Capital by 52.1% during the 3rd quarter. Balyasny Asset Management L.P. now owns 5,939,093 shares of the real estate investment trust’s stock worth $67,646,000 after acquiring an additional 2,033,973 shares in the last quarter. 44.92% of the stock is currently owned by institutional investors.

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.