Ready Capital (NYSE:RC) Stock Passes Below Two Hundred Day Moving Average - Should You Sell?

Shares of Ready Capital Corp (NYSE:RC - Get Free Report) crossed below its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $2.24 and traded as low as $1.7902. Ready Capital shares last traded at $1.8650, with a volume of 941,372 shares.

Wall Street Analysts Forecast Growth

Several brokerages have commented on RC. Piper Sandler 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 report on Monday, March 2nd. Weiss Ratings reiterated a "sell (d)" rating on shares of Ready Capital in a research report on Thursday, January 22nd. Four equities research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, Ready Capital presently has an average rating of "Reduce" and an average price target of $2.81.

Ready Capital Trading Up 3.0%

The stock's 50 day moving average price is $1.73 and its 200-day moving average price is $2.24. The company has a quick ratio of 1.48, a current ratio of 1.48 and a debt-to-equity ratio of 0.90. The stock has a market capitalization of $303.77 million, a PE ratio of -1.27 and a beta of 1.45.

Ready Capital (NYSE:RC - Get Free Report) last posted its earnings results on Thursday, February 26th. The real estate investment trust reported ($0.09) earnings per share for the quarter, beating the consensus estimate of ($0.11) by $0.02. Ready Capital had a negative net margin of 39.55% and a negative return on equity of 10.29%. The company had revenue of $207.55 million during the quarter, compared to analysts' expectations of $133.50 million. On average, sell-side analysts expect that Ready Capital Corp will post -0.47 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 Thursday, April 30th. Shareholders of record on Tuesday, March 31st will be paid a $0.01 dividend. This represents a $0.04 dividend on an annualized basis and a yield of 2.1%. The ex-dividend date is Tuesday, March 31st. Ready Capital's dividend payout ratio is currently -2.72%.

Insider Buying and Selling

In other news, Director Gilbert E. Nathan acquired 30,000 shares of Ready Capital stock in a transaction on Friday, March 6th. The shares were bought at an average cost of $1.95 per share, for a total transaction of $58,500.00. Following the acquisition, the director directly owned 216,358 shares of the company's stock, valued at $421,898.10. This trade represents a 16.10% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at this hyperlink. 1.10% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Private Management Group Inc. grew its position in Ready Capital by 197.0% during the 4th quarter. Private Management Group Inc. now owns 4,806,088 shares of the real estate investment trust's stock worth $10,477,000 after purchasing an additional 3,188,135 shares during the last quarter. Invesco Ltd. raised its position in Ready Capital by 21.2% during the third quarter. Invesco Ltd. now owns 4,239,678 shares of the real estate investment trust's stock worth $16,408,000 after acquiring an additional 742,226 shares during the period. Geode Capital Management LLC grew its holdings in shares of Ready Capital by 1.5% during the fourth quarter. Geode Capital Management LLC now owns 3,725,675 shares of the real estate investment trust's stock worth $8,123,000 after buying an additional 53,592 shares in the last quarter. Charles Schwab Investment Management Inc. grew its holdings in shares of Ready Capital by 14.1% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 3,249,324 shares of the real estate investment trust's stock valued at $7,084,000 after purchasing an additional 402,173 shares during the period. Finally, UBS Group AG grew its holdings in shares of Ready Capital by 161.4% in the fourth quarter. UBS Group AG now owns 3,155,403 shares of the real estate investment trust's stock valued at $6,879,000 after purchasing an additional 1,948,208 shares during the period. Hedge funds and other institutional investors own 55.87% of the company's stock.

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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