Rithm Capital (NYSE:RITM) Stock Rating Upgraded by Wall Street Zen

Key Points

• Wall Street Zen upgraded Rithm Capital from “sell” to “hold,” while the broader analyst consensus remains “Moderate Buy” with a $13.20 target price.
• Rithm Capital reported quarterly EPS of $0.60, beating estimates of $0.50, although revenue of $1.28 billion fell short of the $1.43 billion consensus forecast.
• Shares opened at $9.88, near their 50-day average of $9.27 and below the 12-month high of $12.74; institutional investors own 44.92% of the stock, while an insider recently sold 80,922 shares.

Rithm Capital (NYSE:RITM - Get Free Report) was upgraded by analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a report released on Saturday.

Several other research analysts have also recently commented on the stock. Wedbush decreased their target price on shares of Rithm Capital from $14.00 to $12.50 and set an "outperform" rating for the company in a research report on Friday, May 1st. Compass Point started coverage on Rithm Capital in a report on Monday, June 8th. They issued a "buy" rating and a $14.00 price objective for the company. Piper Sandler lowered their target price on Rithm Capital from $14.00 to $12.50 and set an "overweight" rating on the stock in a research report on Thursday, July 2nd. Royal Bank Of Canada reduced their price target on Rithm Capital from $14.00 to $13.00 and set an "outperform" rating for the company in a research report on Friday, May 1st. Finally, UBS Group decreased their price target on Rithm Capital from $15.00 to $14.50 and set a "buy" rating for the company in a research note on Friday, April 10th. Ten equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat, Rithm Capital currently has an average rating of "Moderate Buy" and a consensus target price of $13.20.

Rithm Capital Price Performance

Shares of RITM opened at $9.88 on Friday. Rithm Capital has a 12 month low of $8.43 and a 12 month high of $12.74. The company has a debt-to-equity ratio of 2.19, a current ratio of 0.90 and a quick ratio of 1.28. The stock has a fifty day moving average price of $9.27 and a 200 day moving average price of $9.84. The company has a market cap of $5.52 billion, a P/E ratio of 16.47 and a beta of 1.14.

Rithm Capital (NYSE:RITM - Get Free Report) last posted its earnings results on Tuesday, July 28th. The real estate investment trust reported $0.60 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.50 by $0.10. Rithm Capital had a return on equity of 19.86% and a net margin of 9.20%.The company had revenue of $1.28 billion for the quarter, compared to analysts' expectations of $1.43 billion. On average, research analysts forecast that Rithm Capital will post 2.22 earnings per share for the current year.

Insider Buying and Selling at Rithm Capital

In other news, Director David Saltzman sold 80,922 shares of the company's stock in a transaction on Wednesday, May 20th. The stock was sold at an average price of $9.25, for a total value of $748,528.50. Following the completion of the sale, the director owned 44,248 shares in the company, valued at $409,294. This represents a 64.65% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. 0.57% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Rithm Capital

A number of institutional investors and hedge funds have recently bought and sold shares of RITM. AQR Capital Management LLC raised its holdings in shares of Rithm Capital by 20.4% in the 1st quarter. AQR Capital Management LLC now owns 77,625 shares of the real estate investment trust's stock worth $889,000 after purchasing an additional 13,166 shares in the last quarter. NewEdge Advisors LLC grew its position in Rithm Capital by 5.3% in the first quarter. NewEdge Advisors LLC now owns 31,311 shares of the real estate investment trust's stock worth $359,000 after buying an additional 1,585 shares during the last quarter. Goldman Sachs Group Inc. grew its position in Rithm Capital by 75.6% in the first quarter. Goldman Sachs Group Inc. now owns 1,539,483 shares of the real estate investment trust's stock worth $17,627,000 after buying an additional 662,585 shares during the last quarter. Geneos Wealth Management Inc. grew its position in Rithm Capital by 14.3% in the first quarter. Geneos Wealth Management Inc. now owns 7,031 shares of the real estate investment trust's stock worth $81,000 after buying an additional 881 shares during the last quarter. Finally, M&T Bank Corp increased its holdings in shares of Rithm Capital by 13.9% in the second quarter. M&T Bank Corp now owns 26,173 shares of the real estate investment trust's stock valued at $296,000 after buying an additional 3,200 shares in the last quarter. 44.92% of the stock is owned by institutional investors and hedge funds.

Rithm Capital Company Profile

Rithm Capital Corporation is a specialty finance company that originates, acquires and manages structured credit investments collateralized by real estate assets in the United States. The company focuses primarily on senior floating-rate loans secured by multifamily, commercial, industrial and single-family rental properties, aiming to deliver attractive risk-adjusted yields through a diversified portfolio of floating-rate real estate debt.

In addition to senior loans, Rithm Capital invests in residential mortgage-backed securities, including agency and non-agency pools, as well as other real estate-related credit instruments.

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