Ready Capital Corp (NYSE:RC) Given Consensus Rating of "Reduce" by Analysts

Key Points

• Ready Capital has an average analyst rating of "Reduce", with three sell ratings and three hold ratings among six covering firms. The average 1-year price target is $2.625.
• The stock has been pressured recently, trading at $1.48 and near its 52-week low of $1.47. UBS also cut its price target to $2.00 and maintained a neutral view.
• The company recently reported a Q1 EPS loss of $0.33, wider than expected, though revenue came in above estimates at $130.55 million. Ready Capital also announced a $0.01 quarterly dividend, equivalent to a 2.7% yield.

Ready Capital Corp (NYSE:RC - Get Free Report) has been given an average rating of "Reduce" by the six research firms that are presently covering the firm, Marketbeat.com reports. Three equities research analysts have rated the stock with a sell recommendation and three have given a hold recommendation to the company. The average 1-year price objective among analysts that have issued ratings on the stock in the last year is $2.6250.

Several research firms recently commented on RC. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Ready Capital in a report on Tuesday, June 2nd. Zacks Research downgraded shares of Ready Capital from a "hold" rating to a "strong sell" rating in a research note on Monday, July 6th. Finally, UBS Group cut their price target on shares of Ready Capital from $2.50 to $2.00 and set a "neutral" rating for the company in a research report on Thursday, July 16th.

Institutional Investors Weigh In On Ready Capital

Several institutional investors have recently bought and sold shares of the stock. Allied Private Wealth LLC bought a new position in Ready Capital during the 2nd quarter worth approximately $66,000. Bank of America Corp DE lifted its position in Ready Capital by 65.2% in the first quarter. Bank of America Corp DE now owns 446,400 shares of the real estate investment trust's stock valued at $723,000 after purchasing an additional 176,229 shares during the last quarter. Royal Bank of Canada boosted its stake in shares of Ready Capital by 204.9% during the first quarter. Royal Bank of Canada now owns 24,888 shares of the real estate investment trust's stock valued at $40,000 after purchasing an additional 16,724 shares during the period. Cetera Investment Advisers boosted its stake in shares of Ready Capital by 47.9% during the first quarter. Cetera Investment Advisers now owns 40,134 shares of the real estate investment trust's stock valued at $65,000 after purchasing an additional 12,998 shares during the period. Finally, SG Americas Securities LLC grew its holdings in shares of Ready Capital by 48.0% in the first quarter. SG Americas Securities LLC now owns 56,748 shares of the real estate investment trust's stock worth $92,000 after purchasing an additional 18,396 shares during the last quarter. 55.87% of the stock is currently owned by hedge funds and other institutional investors.

Ready Capital Stock Down 0.3%

Shares of RC opened at $1.48 on Friday. The firm has a market cap of $243.70 million, a P/E ratio of -0.46 and a beta of 1.43. The stock has a 50 day simple moving average of $1.69 and a two-hundred day simple moving average of $1.81. The company has a debt-to-equity ratio of 0.95, a current ratio of 1.60 and a quick ratio of 1.60. Ready Capital has a 1 year low of $1.47 and a 1 year high of $4.53.

Ready Capital (NYSE:RC - Get Free Report) last posted its quarterly earnings results on Thursday, May 7th. The real estate investment trust reported ($0.33) EPS for the quarter, missing the consensus estimate of ($0.15) by ($0.18). The business had revenue of $130.55 million for the quarter, compared to analysts' expectations of $68.67 million. Ready Capital had a negative return on equity of 14.69% and a negative net margin of 102.10%. On average, analysts forecast that Ready Capital will post -0.94 earnings per share for the current fiscal year.

Ready Capital Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Stockholders of record on Tuesday, June 30th will be paid a $0.01 dividend. This represents a $0.04 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date of this dividend is Tuesday, June 30th. Ready Capital's payout ratio is -1.26%.

About Ready Capital

Ready Capital Corporation is a specialty finance real estate investment trust (REIT) that originates, acquires and manages commercial real estate loans and related assets. The company offers financing solutions across a variety of property types, including multifamily, office, retail, industrial, hospitality and mixed-use assets. Ready Capital focuses on delivering flexible loan structures to meet the diverse needs of borrowers in the small balance and middle-market sectors.

Through its small balance commercial real estate lending platform, Ready Capital provides loans typically ranging from $1 million to $15 million for acquisitions, refinancings, renovations and bridge financing.

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