Putnam Investments LLC Increases Stake in Rithm Capital Corp. (NYSE:RITM)

Putnam Investments LLC lifted its stake in Rithm Capital Corp. (NYSE:RITM) by 68.2% in the 1st quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 1,035,109 shares of the real estate investment trust’s stock after purchasing an additional 419,845 shares during the quarter. Putnam Investments LLC owned about 0.21% of Rithm Capital worth $8,281,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently modified their holdings of the stock. City Holding Co. acquired a new position in Rithm Capital in the 1st quarter worth approximately $28,000. National Bank of Canada FI acquired a new position in Rithm Capital in the 1st quarter worth approximately $34,000. Lazard Asset Management LLC acquired a new position in Rithm Capital in the 4th quarter worth approximately $34,000. American International Group Inc. acquired a new position in Rithm Capital in the 4th quarter worth approximately $36,000. Finally, Advisory Services Network LLC increased its holdings in Rithm Capital by 55.5% in the 1st quarter. Advisory Services Network LLC now owns 4,929 shares of the real estate investment trust’s stock worth $39,000 after buying an additional 1,760 shares during the period. 44.58% of the stock is owned by hedge funds and other institutional investors.

Rithm Capital Price Performance

Rithm Capital stock opened at $10.07 on Friday. The company’s fifty day moving average price is $9.97 and its 200 day moving average price is $8.93. Rithm Capital Corp. has a 1 year low of $6.86 and a 1 year high of $10.45. The stock has a market capitalization of $4.87 billion, a P/E ratio of 7.69 and a beta of 1.81. The company has a debt-to-equity ratio of 0.09, a quick ratio of 0.66 and a current ratio of 0.66.

Rithm Capital (NYSE:RITM) last released its quarterly earnings results on Monday, July 31st. The real estate investment trust reported $0.62 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.34 by $0.28. The firm had revenue of $1.04 billion for the quarter, compared to analysts’ expectations of $880.65 million. Rithm Capital had a net margin of 20.61% and a return on equity of 14.96%. The firm’s revenue for the quarter was up 32.5% compared to the same quarter last year. During the same quarter last year, the company earned $0.31 EPS. As a group, equities research analysts anticipate that Rithm Capital Corp. will post 1.64 earnings per share for the current fiscal year.

Rithm Capital Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, July 28th. Shareholders of record on Monday, July 3rd were issued a $0.25 dividend. The ex-dividend date was Friday, June 30th. This represents a $1.00 dividend on an annualized basis and a yield of 9.93%. Rithm Capital’s payout ratio is currently 76.34%.

Wall Street Analyst Weigh In

Several brokerages recently weighed in on RITM. Piper Sandler increased their price target on shares of Rithm Capital from $10.00 to $10.50 in a report on Monday, August 7th. JMP Securities raised their price objective on shares of Rithm Capital from $10.00 to $10.50 and gave the stock an “outperform” rating in a research note on Friday, July 21st. Royal Bank of Canada reaffirmed an “outperform” rating and set a $12.00 price objective on shares of Rithm Capital in a research note on Friday, August 18th. Raymond James raised their price objective on shares of Rithm Capital from $11.50 to $12.00 and gave the stock an “outperform” rating in a research note on Wednesday, August 30th. Finally, Wedbush reaffirmed an “outperform” rating and set a $12.00 price objective on shares of Rithm Capital in a research note on Thursday, August 3rd. One investment analyst has rated the stock with a hold rating and six have assigned a buy rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $11.25.

Rithm Capital Profile

Rithm Capital Corp. operates as an investment manager that operates a vertically integrated mortgage platform and invests in real estate and related properties in the United States and Europe. The company provides capital and services to the real estate and financial services sectors. Its investment portfolio comprises mortgage servicing related assets, residential securities and loans, and single-family rental loans.