Ready Capital (NYSE:RC) Hits New 12-Month Low – What’s Next?

Shares of Ready Capital Co. (NYSE:RC) hit a new 52-week low during mid-day trading on Monday . The company traded as low as $7.23 and last traded at $7.25, with a volume of 332251 shares changing hands. The stock had previously closed at $7.31.

Analyst Ratings Changes

Several research firms have issued reports on RC. Wedbush reiterated a “neutral” rating and set a $9.00 price objective on shares of Ready Capital in a research note on Monday, August 12th. Piper Sandler dropped their target price on shares of Ready Capital from $9.50 to $8.00 and set a “neutral” rating for the company in a research report on Monday, September 16th. BTIG Research began coverage on shares of Ready Capital in a research note on Friday, July 19th. They set a “neutral” rating on the stock. Finally, Keefe, Bruyette & Woods lowered their price objective on Ready Capital from $8.00 to $7.75 and set an “underperform” rating for the company in a research report on Monday, August 12th. One research analyst has rated the stock with a sell rating, seven have assigned a hold rating and one has issued a buy rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $9.38.

Ready Capital Stock Performance

The stock has a fifty day moving average of $8.14 and a 200-day moving average of $8.47. The firm has a market capitalization of $1.20 billion, a P/E ratio of 4.43 and a beta of 1.41. The company has a quick ratio of 1.69, a current ratio of 1.69 and a debt-to-equity ratio of 0.52.

Ready Capital (NYSE:RC) last issued its quarterly earnings results on Wednesday, August 7th. The real estate investment trust reported $0.07 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.26 by ($0.19). The business had revenue of $234.12 million during the quarter, compared to analyst estimates of $61.77 million. Ready Capital had a negative net margin of 5.67% and a positive return on equity of 7.32%. During the same quarter in the previous year, the firm posted $0.35 earnings per share. On average, research analysts anticipate that Ready Capital Co. will post 0.98 EPS for the current year.

Ready Capital Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, October 31st. Investors of record on Monday, September 30th will be paid a $0.25 dividend. The ex-dividend date is Monday, September 30th. This represents a $1.00 annualized dividend and a yield of 14.02%. Ready Capital’s dividend payout ratio (DPR) is currently 62.11%.

Institutional Investors Weigh In On Ready Capital

Large investors have recently added to or reduced their stakes in the business. CWM LLC boosted its holdings in shares of Ready Capital by 94.6% during the second quarter. CWM LLC now owns 3,361 shares of the real estate investment trust’s stock worth $27,000 after acquiring an additional 1,634 shares during the period. EntryPoint Capital LLC acquired a new stake in shares of Ready Capital during the first quarter worth $40,000. MCF Advisors LLC acquired a new position in shares of Ready Capital in the first quarter valued at about $42,000. Xponance Inc. acquired a new stake in Ready Capital in the 2nd quarter worth about $84,000. Finally, Cadence Bank bought a new stake in Ready Capital in the 1st quarter valued at about $91,000. Institutional investors own 55.87% of the company’s stock.

Ready Capital Company Profile

Ready Capital Corporation operates as a real estate finance company in the United States. It operates through two segments: LMM Commercial Real Estate and Small Business Lending. The company originates, acquires, finances, and services lower-to-middle-market (LLM) commercial real estate loans, small business administration (SBA) loans, residential mortgage loans, construction loans, and mortgage-backed securities collateralized primarily by LLM loans, or other real estate-related investments.