Rithm Capital's (RITM) "Buy" Rating Reaffirmed at JonesTrading

Key Points

• JonesTrading reaffirmed its Buy rating on Rithm Capital with a $13.50 price target, implying roughly 36.7% upside, and the consensus from 7 Buys/1 Hold yields an average target of $14.06.
• Rithm reported Q1 revenue of $1.38B (above consensus) and highlighted strong platform metrics—Newrez ~19% operating ROE, Genesis ~80% y/y origination growth and AUM ~$60B—but GAAP/adjusted EPS of $0.51 slightly missed estimates and MSR/origination volatility remains a key risk.
• Shares trade near $9.88, well below analyst targets; the company has a market cap of $5.51B and a P/E of 9.49, presenting potential valuation appeal if operational momentum continues despite near-term sentiment pressure.

Rithm Capital (NYSE:RITM - Get Free Report)'s stock had its "buy" rating reaffirmed by investment analysts at JonesTrading in a research report issued to clients and investors on Tuesday,Benzinga reports. They currently have a $13.50 price target on the real estate investment trust's stock. JonesTrading's price target would indicate a potential upside of 36.71% from the company's previous close.

Other equities research analysts have also recently issued reports about the company. UBS Group decreased their price target on Rithm Capital from $15.00 to $14.50 and set a "buy" rating on the stock in a research report on Friday, April 10th. BTIG Research reiterated a "buy" rating and set a $16.00 price target on shares of Rithm Capital in a research report on Friday, April 10th. Capital One Financial set a $12.50 price target on Rithm Capital in a research report on Thursday, April 9th. Piper Sandler decreased their price target on Rithm Capital from $15.00 to $14.00 and set an "overweight" rating on the stock in a research report on Thursday, April 2nd. Finally, Weiss Ratings reissued a "hold (c+)" rating on shares of Rithm Capital in a report on Monday, December 29th. Seven investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $14.06.

Rithm Capital Stock Performance

Shares of NYSE RITM traded down $0.25 during midday trading on Tuesday, hitting $9.88. The company's stock had a trading volume of 4,348,923 shares, compared to its average volume of 10,721,456. The stock has a fifty day moving average price of $9.80 and a 200 day moving average price of $10.66. Rithm Capital has a one year low of $8.43 and a one year high of $12.74. The company has a current ratio of 0.58, a quick ratio of 0.58 and a debt-to-equity ratio of 2.20. The firm has a market capitalization of $5.51 billion, a price-to-earnings ratio of 9.49 and a beta of 1.19.

Rithm Capital (NYSE:RITM - Get Free Report) last posted its quarterly earnings results on Tuesday, April 28th. The real estate investment trust reported $0.51 EPS for the quarter, missing analysts' consensus estimates of $0.52 by ($0.01). Rithm Capital had a return on equity of 19.74% and a net margin of 15.55%.The company had revenue of $1.38 billion during the quarter, compared to the consensus estimate of $1.25 billion. On average, research analysts forecast that Rithm Capital will post 2.31 EPS for the current fiscal year.

Institutional Investors Weigh In On Rithm Capital

Several hedge funds have recently bought and sold shares of the stock. CoreCap Advisors LLC increased its stake in Rithm Capital by 99.2% in the fourth quarter. CoreCap Advisors LLC now owns 2,295 shares of the real estate investment trust's stock valued at $25,000 after acquiring an additional 1,143 shares during the last quarter. Los Angeles Capital Management LLC bought a new position in Rithm Capital in the fourth quarter valued at $26,000. Bessemer Group Inc. increased its stake in Rithm Capital by 658.9% in the third quarter. Bessemer Group Inc. now owns 2,656 shares of the real estate investment trust's stock valued at $30,000 after acquiring an additional 2,306 shares during the last quarter. Atlantic Union Bankshares Corp bought a new stake in Rithm Capital in the 3rd quarter worth approximately $31,000. Finally, FNY Investment Advisers LLC bought a new stake in Rithm Capital in the 4th quarter worth approximately $31,000. 44.92% of the stock is currently owned by institutional investors.

Rithm Capital News Summary

Here are the key news stories impacting Rithm Capital this week:

• Positive Sentiment: Q1 revenue and segment strength — Rithm reported revenue of $1.38B (above consensus) and strong segment-level results that analysts flagged as a reason for optimism. Rithm Capital stock edges up on strong Q1 segment revenues
• Positive Sentiment: Operational wins at key platforms — Management highlighted Newrez’s ~19% annualized operating ROE, Genesis’s ~80% y/y origination growth and AUM rising to ~$60B, supporting durable fee and origination franchises. Rithm Capital Corp. Announces First Quarter 2026 Results
• Positive Sentiment: Analyst backing — Some firms (e.g., BTIG) retained bullish views and consensus price-targets imply substantial upside, which can support investor confidence. BTIG Keeps Their Buy Rating on Rithm Capital (RITM)
• Neutral Sentiment: Strategic repositioning — Rithm rebranded its Paramount Group to Elecor Properties to emphasize a modern workplace/real assets strategy; important long-term but not an immediate earnings driver. Rithm Capital’s Paramount Group Rebrands as Elecor Properties
• Neutral Sentiment: Earnings-call context — The full transcript discusses portfolio metrics, MSR assumptions and capital allocation; useful for modeling but not an instant catalyst. Rithm Capital Corp. (RITM) Q1 2026 Earnings Call Transcript
• Negative Sentiment: EPS miss — GAAP/adjusted EPS of $0.51 slightly missed consensus (~$0.52–$0.53), which pressured near-term sentiment despite the revenue beat. Rithm (RITM) Lags Q1 Earnings Estimates
• Negative Sentiment: Mortgage servicing/origination sensitivity — Commentary and previews highlighted MSR valuations and origination volatility as ongoing risk factors that can swing earnings and ROE in coming quarters. Rithm Capital Q1 preview: Mortgage origination, MSR valuations in spotlight

About Rithm Capital

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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