Royal Bank Of Canada Raises Rithm Capital (NYSE:RITM) Price Target to $14.00

Key Points

• The price target for Rithm Capital (NYSE:RITM) has been raised to $14.00 by the Royal Bank of Canada, suggesting a potential upside of 16.23% from the previous close.
• Multiple analysts, including Keefe, Bruyette & Woods and UBS Group, have shown positive sentiment, with a majority of them rating the stock as an "outperform" or "buy."
• Rithm Capital recently reported $1.22 billion in revenue for the quarter, exceeding analysts' expectations, alongside an earnings per share of $0.54.

Rithm Capital (NYSE:RITM - Get Free Report) had its price target hoisted by equities research analysts at Royal Bank Of Canada from $13.00 to $14.00 in a research report issued on Friday,Benzinga reports. The firm presently has an "outperform" rating on the real estate investment trust's stock. Royal Bank Of Canada's price objective would suggest a potential upside of 14.99% from the company's previous close.

A number of other brokerages have also weighed in on RITM. Piper Sandler upgraded Rithm Capital from a "neutral" rating to an "overweight" rating and boosted their price objective for the stock from $12.50 to $14.00 in a research report on Monday, April 28th. UBS Group reissued a "buy" rating and issued a $14.00 price objective (up from $13.00) on shares of Rithm Capital in a research note on Tuesday, July 15th. Jones Trading increased their price target on Rithm Capital from $12.50 to $13.50 and gave the stock a "buy" rating in a report on Tuesday, July 29th. BTIG Research reiterated a "buy" rating and issued a $16.00 price target on shares of Rithm Capital in a report on Friday, April 25th. Finally, Wedbush restated an "outperform" rating and issued a $14.00 target price on shares of Rithm Capital in a report on Monday, May 19th. Eight equities research analysts have rated the stock with a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of "Buy" and a consensus target price of $14.00.

Rithm Capital Stock Performance

NYSE:RITM traded down $0.04 during mid-day trading on Friday, hitting $12.18. 871,485 shares of the stock were exchanged, compared to its average volume of 4,448,561. The stock has a market capitalization of $6.45 billion, a price-to-earnings ratio of 9.37 and a beta of 1.25. The firm's 50-day simple moving average is $11.59 and its 200 day simple moving average is $11.40. The company has a debt-to-equity ratio of 1.68, a quick ratio of 0.35 and a current ratio of 0.35. Rithm Capital has a fifty-two week low of $9.13 and a fifty-two week high of $12.59.

Rithm Capital (NYSE:RITM - Get Free Report) last posted its quarterly earnings data 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. Rithm Capital had a return on equity of 19.07% and a net margin of 16.72%. The firm had revenue of $1.22 billion for the quarter, compared to analyst estimates of $1.18 billion. As a group, equities analysts anticipate that Rithm Capital will post 1.93 EPS for the current fiscal year.

Institutional Investors Weigh In On Rithm Capital

Several institutional investors have recently bought and sold shares of RITM. Sigma Planning Corp raised its position in Rithm Capital by 28.6% during the 2nd quarter. Sigma Planning Corp now owns 128,117 shares of the real estate investment trust's stock valued at $1,446,000 after purchasing an additional 28,484 shares during the last quarter. Bridgewealth Advisory Group LLC purchased a new stake in shares of Rithm Capital in the 2nd quarter worth approximately $113,000. Strs Ohio boosted its stake in Rithm Capital by 5.8% during the 2nd quarter. Strs Ohio now owns 238,553 shares of the real estate investment trust's stock valued at $2,693,000 after purchasing an additional 13,092 shares during the last quarter. Savvy Advisors Inc. purchased a new stake in Rithm Capital during the 2nd quarter valued at $134,000. Finally, Keybank National Association OH boosted its stake in shares of Rithm Capital by 12.3% in the 2nd quarter. Keybank National Association OH now owns 49,240 shares of the real estate investment trust's stock worth $556,000 after buying an additional 5,400 shares during the last quarter. 44.92% of the stock is currently owned by hedge funds and other institutional investors.

Rithm Capital Company Profile

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.