Rithm Capital Target of Unusually Large Options Trading (NYSE:RITM)

Rithm Capital Corp. (NYSE:RITM - Get Free Report) was the target of some unusual options trading activity on Wednesday. Stock traders purchased 3,280 put options on the company. This is an increase of 49% compared to the average volume of 2,203 put options.

Institutional Investors Weigh In On Rithm Capital

Institutional investors have recently made changes to their positions in the stock. Geneos Wealth Management Inc. raised its holdings in Rithm Capital by 14.3% during the first quarter. Geneos Wealth Management Inc. now owns 7,031 shares of the real estate investment trust's stock worth $81,000 after purchasing an additional 881 shares during the last quarter. Sheaff Brock Investment Advisors LLC raised its stake in shares of Rithm Capital by 8.8% during the 1st quarter. Sheaff Brock Investment Advisors LLC now owns 11,725 shares of the real estate investment trust's stock worth $134,000 after buying an additional 945 shares during the last quarter. 1620 Investment Advisors Inc. raised its stake in shares of Rithm Capital by 2.1% during the 4th quarter. 1620 Investment Advisors Inc. now owns 46,035 shares of the real estate investment trust's stock worth $499,000 after buying an additional 960 shares during the last quarter. Private Advisor Group LLC boosted its position in shares of Rithm Capital by 2.0% in the 1st quarter. Private Advisor Group LLC now owns 50,461 shares of the real estate investment trust's stock worth $578,000 after buying an additional 974 shares in the last quarter. Finally, Fourth Dimension Wealth LLC grew its stake in Rithm Capital by 50.0% in 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 last quarter. 44.92% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several research firms have recently commented on RITM. Wedbush restated an "outperform" rating and set a $14.00 price target on shares of Rithm Capital in a research report on Monday, May 19th. BTIG Research reissued a "buy" rating and set a $16.00 target price on shares of Rithm Capital in a research note on Friday, April 25th. Piper Sandler upgraded Rithm Capital from a "neutral" rating to an "overweight" rating and upped their price target for the stock from $12.50 to $14.00 in a report on Monday, April 28th. UBS Group decreased their price objective on Rithm Capital from $14.00 to $13.00 and set a "buy" rating for the company in a research note on Wednesday, April 16th. Finally, Jones Trading reiterated a "buy" rating and issued a $12.50 price target on shares of Rithm Capital in a research note on Tuesday, April 29th. Eight research analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Buy" and an average price target of $13.56.

Rithm Capital Stock Up 0.9%

Rithm Capital stock traded up $0.11 during mid-day trading on Wednesday, hitting $11.22. The company had a trading volume of 1,458,663 shares, compared to its average volume of 4,460,964. The business has a fifty day moving average of $10.99 and a 200 day moving average of $11.22. Rithm Capital has a 1 year low of $9.13 and a 1 year high of $12.19. The company has a quick ratio of 0.35, a current ratio of 0.35 and a debt-to-equity ratio of 1.68. The stock has a market cap of $5.95 billion, a price-to-earnings ratio of 9.35 and a beta of 1.26.

Rithm Capital (NYSE:RITM - Get Free Report) last posted its earnings results on Friday, April 25th. The real estate investment trust reported $0.52 EPS for the quarter, topping analysts' consensus estimates of $0.45 by $0.07. The business had revenue of $28.89 million for the quarter, compared to analysts' expectations of $1.27 billion. Rithm Capital had a return on equity of 18.38% and a net margin of 15.06%. During the same quarter in the previous year, the firm earned $0.48 earnings per share. On average, sell-side analysts expect that Rithm Capital will post 1.93 earnings per share for the current fiscal year.

Rithm Capital Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 30th. Investors of record on Monday, March 31st were paid a $0.25 dividend. The ex-dividend date of this dividend was Monday, March 31st. This represents a $1.00 dividend on an annualized basis and a dividend yield of 8.92%. Rithm Capital's dividend payout ratio (DPR) is presently 83.33%.

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.

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