Rithm Capital (NYSE:RITM) Hits New 1-Year High – Here’s Why

Rithm Capital Corp. (NYSE:RITM) reached a new 52-week high on Friday . The company traded as high as $12.10 and last traded at $12.09, with a volume of 602407 shares changing hands. The stock had previously closed at $11.99.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. Wedbush reaffirmed an “outperform” rating and set a $14.00 target price on shares of Rithm Capital in a report on Thursday, November 7th. JMP Securities reaffirmed a “market outperform” rating and issued a $12.50 price objective on shares of Rithm Capital in a research note on Thursday, January 23rd. Piper Sandler increased their target price on shares of Rithm Capital from $11.50 to $12.50 and gave the company a “neutral” rating in a research report on Friday, February 7th. B. Riley upgraded shares of Rithm Capital to a “strong-buy” rating in a research report on Tuesday, January 7th. Finally, Keefe, Bruyette & Woods lifted their target price on shares of Rithm Capital from $13.00 to $13.50 and gave the stock an “outperform” rating in a research note on Tuesday, December 3rd. One analyst has rated the stock with a hold rating, six have issued a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the company currently has an average rating of “Buy” and an average target price of $12.94.

Rithm Capital Stock Up 0.2 %

The company has a current ratio of 1.35, a quick ratio of 1.35 and a debt-to-equity ratio of 1.63. The company has a market cap of $6.24 billion, a price-to-earnings ratio of 7.19 and a beta of 1.79. The stock’s 50-day moving average is $11.19 and its 200-day moving average is $11.15.

Rithm Capital (NYSE:RITM) last released its quarterly earnings data on Thursday, February 6th. The real estate investment trust reported $0.60 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.44 by $0.16. Rithm Capital had a net margin of 17.79% and a return on equity of 18.46%. On average, analysts anticipate that Rithm Capital Corp. will post 1.92 earnings per share for the current fiscal year.

Rithm Capital Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, January 31st. Stockholders of record on Tuesday, December 31st were issued a dividend of $0.25 per share. The ex-dividend date was Tuesday, December 31st. This represents a $1.00 annualized dividend and a dividend yield of 8.32%. Rithm Capital’s dividend payout ratio is 59.88%.

Hedge Funds Weigh In On Rithm Capital

A number of large investors have recently modified their holdings of the company. Vanguard Group Inc. increased its stake in Rithm Capital by 0.4% during the 4th quarter. Vanguard Group Inc. now owns 49,008,422 shares of the real estate investment trust’s stock valued at $530,761,000 after purchasing an additional 184,802 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of Rithm Capital by 0.9% during the fourth quarter. Geode Capital Management LLC now owns 8,494,199 shares of the real estate investment trust’s stock valued at $92,021,000 after buying an additional 79,142 shares during the last quarter. Norges Bank bought a new stake in shares of Rithm Capital during the fourth quarter worth about $76,082,000. Charles Schwab Investment Management Inc. lifted its position in Rithm Capital by 7.3% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 5,364,962 shares of the real estate investment trust’s stock valued at $60,892,000 after acquiring an additional 366,600 shares in the last quarter. Finally, JPMorgan Chase & Co. lifted its position in Rithm Capital by 119.1% in the 3rd quarter. JPMorgan Chase & Co. now owns 4,608,008 shares of the real estate investment trust’s stock valued at $52,301,000 after acquiring an additional 2,504,529 shares in the last quarter. 44.92% of the stock is currently owned by 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.