Rithm Capital (NYSE:RITM) Sets New 12-Month High – Should You Buy?

Rithm Capital Corp. (NYSE:RITM)’s share price 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 trading hands. The stock had previously closed at $11.99.

Analysts Set New Price Targets

Several equities research analysts have commented on RITM shares. Wedbush reissued an “outperform” rating and set a $14.00 price target on shares of Rithm Capital in a research report on Thursday, November 7th. Piper Sandler upped their price objective on Rithm Capital from $11.50 to $12.50 and gave the stock a “neutral” rating in a research note on Friday, February 7th. B. Riley raised shares of Rithm Capital to a “strong-buy” rating in a research note on Tuesday, January 7th. Royal Bank of Canada reaffirmed an “outperform” rating and set a $13.00 price target on shares of Rithm Capital in a research report on Thursday, November 21st. Finally, Keefe, Bruyette & Woods lifted their price objective on shares of Rithm Capital from $13.00 to $13.50 and gave the company an “outperform” rating in a research report on Tuesday, December 3rd. One analyst has rated the stock with a hold rating, six have given a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus target price of $12.94.

Rithm Capital Price Performance

The company has a market capitalization of $6.24 billion, a P/E ratio of 7.19 and a beta of 1.79. The company has a debt-to-equity ratio of 1.63, a current ratio of 1.35 and a quick ratio of 1.35. The company’s 50-day moving average price is $11.19 and its two-hundred day moving average price is $11.15.

Rithm Capital (NYSE:RITM) last issued its quarterly earnings data on Thursday, February 6th. The real estate investment trust reported $0.60 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.44 by $0.16. Rithm Capital had a net margin of 17.79% and a return on equity of 18.46%. As a group, sell-side analysts expect that Rithm Capital Corp. will post 1.92 EPS for the current year.

Rithm Capital Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, January 31st. Investors of record on Tuesday, December 31st were paid a $0.25 dividend. The ex-dividend date of this dividend was Tuesday, December 31st. This represents a $1.00 annualized dividend and a yield of 8.32%. Rithm Capital’s dividend payout ratio (DPR) is presently 59.88%.

Institutional Investors Weigh In On Rithm Capital

A number of hedge funds and other institutional investors have recently modified their holdings of RITM. Truvestments Capital LLC bought a new position in Rithm Capital in the 3rd quarter valued at approximately $43,000. Wilmington Savings Fund Society FSB bought a new position in shares of Rithm Capital in the 3rd quarter valued at $43,000. Householder Group Estate & Retirement Specialist LLC boosted its holdings in shares of Rithm Capital by 86.7% during the 4th quarter. Householder Group Estate & Retirement Specialist LLC now owns 4,439 shares of the real estate investment trust’s stock valued at $48,000 after acquiring an additional 2,062 shares in the last quarter. Godsey & Gibb Inc. bought a new stake in Rithm Capital during the 3rd quarter worth $51,000. Finally, Quadrant Capital Group LLC increased its holdings in Rithm Capital by 35.2% in the 4th quarter. Quadrant Capital Group LLC now owns 4,655 shares of the real estate investment trust’s stock worth $50,000 after purchasing an additional 1,211 shares in the last quarter. Institutional investors and hedge funds own 44.92% of the company’s stock.

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.