Ready Capital Corp (NYSE:RC) Given Average Rating of "Hold" by Brokerages

Key Points

• Ready Capital Corp has received an average rating of "Hold" from analysts, with one sell recommendation, five holds, and one buy.
• The company's stock reported a loss of $0.14 EPS in its last quarterly earnings, significantly missing analysts' estimates of a $0.01 loss.
• Ready Capital also declared a dividend of $0.125 per share, which equates to an annualized dividend yield of 12.3% despite a negative dividend payout ratio.

Shares of Ready Capital Corp (NYSE:RC - Get Free Report) have been assigned a consensus recommendation of "Hold" from the seven ratings firms that are covering the company, MarketBeat.com reports. One analyst has rated the stock with a sell rating, five have issued a hold rating and one has given a buy rating to the company. The average 12 month price target among brokers that have issued ratings on the stock in the last year is $5.9583.

RC has been the topic of a number of analyst reports. B. Riley reduced their target price on shares of Ready Capital from $6.00 to $4.00 and set a "neutral" rating on the stock in a research note on Monday. Keefe, Bruyette & Woods reduced their target price on shares of Ready Capital from $4.25 to $3.75 and set an "underperform" rating on the stock in a research note on Tuesday. Finally, UBS Group reduced their target price on shares of Ready Capital from $4.75 to $4.50 and set a "neutral" rating on the stock in a research note on Wednesday, May 21st.

Ready Capital Trading Up 1.7%

RC stock traded up $0.07 during trading on Friday, reaching $3.91. 2,110,581 shares of the stock were exchanged, compared to its average volume of 2,446,400. The company has a current ratio of 1.61, a quick ratio of 1.78 and a debt-to-equity ratio of 0.76. The business has a 50 day moving average price of $4.38 and a 200-day moving average price of $4.91. Ready Capital has a 1 year low of $3.77 and a 1 year high of $8.64. The firm has a market capitalization of $665.83 million, a price-to-earnings ratio of -2.12 and a beta of 1.47.

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

Ready Capital Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, July 31st. Investors of record on Monday, June 30th were issued a $0.125 dividend. The ex-dividend date was Monday, June 30th. This represents a $0.50 dividend on an annualized basis and a dividend yield of 12.8%. Ready Capital's payout ratio is -27.03%.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. grew its holdings in Ready Capital by 0.7% during the 1st quarter. Vanguard Group Inc. now owns 11,450,959 shares of the real estate investment trust's stock worth $58,285,000 after acquiring an additional 84,131 shares in the last quarter. Geode Capital Management LLC grew its holdings in Ready Capital by 1.5% during the 2nd quarter. Geode Capital Management LLC now owns 4,023,581 shares of the real estate investment trust's stock worth $17,585,000 after acquiring an additional 58,899 shares in the last quarter. Invesco Ltd. grew its holdings in Ready Capital by 16.1% during the 1st quarter. Invesco Ltd. now owns 3,618,181 shares of the real estate investment trust's stock worth $18,417,000 after acquiring an additional 502,162 shares in the last quarter. Charles Schwab Investment Management Inc. lifted its position in shares of Ready Capital by 0.4% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 2,276,719 shares of the real estate investment trust's stock worth $11,588,000 after buying an additional 10,134 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in shares of Ready Capital by 5.2% during the 4th quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,018,413 shares of the real estate investment trust's stock worth $13,766,000 after buying an additional 98,895 shares during the last quarter. Institutional investors and hedge funds own 55.87% of the company's stock.

Ready Capital Company Profile

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.