Wolverine Asset Management LLC Boosts Stock Position in Ready Capital Corp (NYSE:RC)

Key Points

• Wolverine Asset Management LLC significantly increased its stake in Ready Capital Corp by 152.5%, owning 555,556 shares, valued at approximately $2.83 million.
• Ready Capital recently reported a loss of $0.14 EPS for the quarter, significantly missing analysts' expectations and indicating challenges in its financial performance.
• The company declared a quarterly dividend of $0.125 per share, resulting in a substantial annualized yield of 12.3% despite having a negative payout ratio.

Wolverine Asset Management LLC increased its position in Ready Capital Corp (NYSE:RC - Free Report) by 152.5% during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 555,556 shares of the real estate investment trust's stock after acquiring an additional 335,502 shares during the period. Wolverine Asset Management LLC owned approximately 0.32% of Ready Capital worth $2,828,000 at the end of the most recent reporting period.

A number of other large investors have also modified their holdings of the company. Shorepoint Capital Partners LLC lifted its position in shares of Ready Capital by 2.4% in the fourth quarter. Shorepoint Capital Partners LLC now owns 64,500 shares of the real estate investment trust's stock worth $440,000 after purchasing an additional 1,500 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank raised its position in Ready Capital by 6.1% during the first quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 45,288 shares of the real estate investment trust's stock valued at $231,000 after acquiring an additional 2,606 shares in the last quarter. Spire Wealth Management raised its position in Ready Capital by 4.6% during the first quarter. Spire Wealth Management now owns 95,283 shares of the real estate investment trust's stock valued at $485,000 after acquiring an additional 4,157 shares in the last quarter. PNC Financial Services Group Inc. raised its position in Ready Capital by 29.4% during the first quarter. PNC Financial Services Group Inc. now owns 19,665 shares of the real estate investment trust's stock valued at $100,000 after acquiring an additional 4,472 shares in the last quarter. Finally, Squarepoint Ops LLC raised its position in Ready Capital by 11.7% during the fourth quarter. Squarepoint Ops LLC now owns 42,964 shares of the real estate investment trust's stock valued at $293,000 after acquiring an additional 4,486 shares in the last quarter. Institutional investors and hedge funds own 55.87% of the company's stock.

Ready Capital Stock Up 0.7%

Shares of NYSE RC traded up $0.03 during trading hours on Wednesday, hitting $3.87. The company had a trading volume of 1,401,147 shares, compared to its average volume of 2,441,586. The stock has a market capitalization of $659.01 million, a P/E ratio of -2.09 and a beta of 1.47. The company has a quick ratio of 1.78, a current ratio of 1.61 and a debt-to-equity ratio of 0.76. Ready Capital Corp has a 1-year low of $3.77 and a 1-year high of $8.64. The firm's 50 day moving average is $4.38 and its 200-day moving average is $4.91.

Ready Capital (NYSE:RC - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The real estate investment trust reported ($0.14) EPS for the quarter, missing the consensus estimate of ($0.01) by ($0.13). The company had revenue of ($9.77) million during the quarter, compared to analyst estimates of $167.26 million. Ready Capital had a negative net margin of 40.59% and a positive return on equity of 3.76%. On average, analysts expect that Ready Capital Corp will post 0.93 earnings per share for the current fiscal year.

Ready Capital Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, July 31st. Stockholders of record on Monday, June 30th were issued a $0.125 dividend. This represents a $0.50 annualized dividend and a dividend yield of 12.9%. The ex-dividend date of this dividend was Monday, June 30th. Ready Capital's dividend payout ratio is presently -27.03%.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on RC shares. Keefe, Bruyette & Woods cut their price objective on Ready Capital from $4.25 to $3.75 and set an "underperform" rating for the company in a report on Tuesday. UBS Group cut their price target on Ready Capital from $4.75 to $4.50 and set a "neutral" rating for the company in a report on Wednesday, May 21st. Finally, B. Riley dropped their price objective on Ready Capital from $6.00 to $4.00 and set a "neutral" rating for the company in a report on Monday. One analyst has rated the stock with a sell rating, five have issued a hold rating and one has assigned a buy rating to the stock. According to MarketBeat.com, Ready Capital has a consensus rating of "Hold" and a consensus target price of $5.96.

About Ready Capital

Ready Capital Corporation operates as a real estate finance company in the United States. It operates through two segments: LMM Commercial Real Estate and Small Business Lending. The company originates, acquires, finances, and services lower-to-middle-market (LLM) commercial real estate loans, small business administration (SBA) loans, residential mortgage loans, construction loans, and mortgage-backed securities collateralized primarily by LLM loans, or other real estate-related investments.