BTIG Research Reaffirms "Buy" Rating for Rithm Capital (NYSE:RITM)

Key Points

• BTIG Research has maintained a buy rating for Rithm Capital (NYSE:RITM), with a price target of $16.00, indicating a potential upside of 32.67% from the current levels.
• Rithm Capital reported $0.54 EPS for its latest quarter, surpassing analyst expectations and posting a revenue of $1.22 billion.
• Analysts have a consensus rating of Buy for the stock, with an average price target of $14.25 among multiple investment firms.

BTIG Research reaffirmed their buy rating on shares of Rithm Capital (NYSE:RITM - Free Report) in a research report sent to investors on Wednesday,Benzinga reports. BTIG Research currently has a $16.00 price target on the real estate investment trust's stock.

Other equities research analysts have also issued research reports about the company. Royal Bank Of Canada upped their price objective on Rithm Capital from $13.00 to $14.00 and gave the stock an "outperform" rating in a research report on Friday, August 1st. Keefe, Bruyette & Woods raised their target price on Rithm Capital from $13.50 to $14.00 and gave the stock an "outperform" rating in a research report on Tuesday, July 29th. Wedbush reiterated an "outperform" rating and issued a $14.00 target price on shares of Rithm Capital in a research note on Wednesday, August 6th. UBS Group boosted their price target on Rithm Capital from $14.00 to $16.00 and gave the stock a "buy" rating in a report on Wednesday, September 3rd. Finally, Jones Trading boosted their price target on Rithm Capital from $12.50 to $13.50 and gave the company a "buy" rating in a research report on Tuesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating and eight have assigned a Buy rating to the stock. According to MarketBeat, the company currently has an average rating of "Buy" and an average target price of $14.25.

Rithm Capital Stock Down 1.5%

Rithm Capital stock traded down $0.18 during mid-day trading on Wednesday, reaching $12.11. The stock had a trading volume of 9,328,730 shares, compared to its average volume of 5,309,136. The company has a debt-to-equity ratio of 1.63, a current ratio of 0.40 and a quick ratio of 0.40. The company has a market capitalization of $6.42 billion, a price-to-earnings ratio of 9.32 and a beta of 1.30. The company has a 50-day moving average price of $12.26 and a two-hundred day moving average price of $11.55. Rithm Capital has a one year low of $9.13 and a one year high of $12.74.

Rithm Capital (NYSE:RITM - Get Free Report) last released its earnings results on Monday, July 28th. The real estate investment trust reported $0.54 EPS for the quarter, topping analysts' consensus estimates of $0.51 by $0.03. The company had revenue of $1.22 billion for the quarter, compared to analysts' expectations of $1.18 billion. Rithm Capital had a net margin of 16.72% and a return on equity of 18.89%. On average, analysts expect that Rithm Capital will post 1.93 EPS for the current fiscal year.

Rithm Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 31st. Stockholders of record on Wednesday, October 1st will be issued a $0.25 dividend. The ex-dividend date is Wednesday, October 1st. This represents a $1.00 annualized dividend and a dividend yield of 8.3%. Rithm Capital's dividend payout ratio (DPR) is presently 76.92%.

Institutional Trading of Rithm Capital

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. SouthState Corp bought a new stake in shares of Rithm Capital in the first quarter worth $25,000. Cullen Frost Bankers Inc. bought a new stake in Rithm Capital in the 2nd quarter worth about $30,000. Fourth Dimension Wealth LLC grew its position in shares of Rithm Capital by 50.0% during the 1st quarter. Fourth Dimension Wealth LLC now owns 3,000 shares of the real estate investment trust's stock valued at $34,000 after acquiring an additional 1,000 shares during the period. Ameritas Advisory Services LLC bought a new position in Rithm Capital in the 2nd quarter worth approximately $43,000. Finally, SVB Wealth LLC bought a new position in Rithm Capital in the 1st quarter valued at $57,000. Institutional investors own 44.92% of the company's stock.

About Rithm Capital

Rithm Capital Corp. operates as an asset manager focused on real estate, credit, and financial services. It operates through Origination and Servicing, Investment Portfolio, Mortgage Loans Receivable, and Asset Management segments. Its investment portfolio primarily comprises of mortgage servicing rights (MSR), and MSR financing receivables, title, appraisal and property preservation, excess MSRs, and services advance investments; real estate securities, call rights, SFR properties, and residential mortgage loans; consumer and business purpose loans; and asset management related investments.