Rithm Capital (NYSE:RITM) Reaches New 52-Week High – Should You Buy?

Rithm Capital Corp. (NYSE:RITM) hit a new 52-week high during trading on Friday . The company traded as high as $12.61 and last traded at $12.73, with a volume of 25502 shares trading hands. The stock had previously closed at $12.56.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on RITM shares. Jones Trading lifted their target price on shares of Rithm Capital from $12.50 to $13.50 and gave the stock a “buy” rating in a research report on Tuesday, July 29th. Keefe, Bruyette & Woods upped their target price on Rithm Capital from $13.50 to $14.00 and gave the company an “outperform” rating in a research note on Tuesday, July 29th. UBS Group raised their price target on Rithm Capital from $14.00 to $16.00 and gave the stock a “buy” rating in a research report on Wednesday. Wedbush reaffirmed an “outperform” rating and set a $14.00 price objective on shares of Rithm Capital in a research note on Wednesday, August 6th. Finally, Royal Bank Of Canada lifted their price objective on Rithm Capital from $13.00 to $14.00 and gave the stock an “outperform” rating in a research report on Friday, August 1st. One investment analyst has rated the stock with a Strong Buy rating and eight have given a Buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Buy” and an average target price of $14.25.

Rithm Capital Price Performance

The company has a 50 day moving average of $12.11 and a 200 day moving average of $11.52. The stock has a market capitalization of $6.68 billion, a price-to-earnings ratio of 9.70 and a beta of 1.30. The company has a quick ratio of 0.40, a current ratio of 0.40 and a debt-to-equity ratio of 1.63.

Rithm Capital (NYSE:RITM) last issued its quarterly earnings results on Monday, July 28th. The real estate investment trust reported $0.54 EPS for the quarter, topping the consensus estimate of $0.51 by $0.03. The firm had revenue of $1.22 billion during the quarter, compared to analyst estimates of $1.18 billion. Rithm Capital had a net margin of 16.72% and a return on equity of 18.89%. As a group, equities research analysts forecast that Rithm Capital Corp. will post 1.93 EPS for the current fiscal year.

Rithm Capital Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, July 31st. Stockholders of record on Monday, June 30th were given a $0.25 dividend. The ex-dividend date of this dividend was Monday, June 30th. This represents a $1.00 annualized dividend and a dividend yield of 7.9%. Rithm Capital’s dividend payout ratio is presently 76.92%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in RITM. KBC Group NV increased its holdings in Rithm Capital by 24.0% during the 1st quarter. KBC Group NV now owns 22,846 shares of the real estate investment trust’s stock worth $262,000 after purchasing an additional 4,423 shares during the last quarter. Edgestream Partners L.P. grew its position in shares of Rithm Capital by 341.5% during the first quarter. Edgestream Partners L.P. now owns 688,882 shares of the real estate investment trust’s stock worth $7,888,000 after buying an additional 532,866 shares in the last quarter. Amalgamated Bank grew its position in shares of Rithm Capital by 5.9% during the first quarter. Amalgamated Bank now owns 27,064 shares of the real estate investment trust’s stock worth $310,000 after buying an additional 1,502 shares in the last quarter. Bleakley Financial Group LLC raised its holdings in Rithm Capital by 197.1% in the first quarter. Bleakley Financial Group LLC now owns 36,428 shares of the real estate investment trust’s stock valued at $417,000 after acquiring an additional 24,166 shares in the last quarter. Finally, Northern Trust Corp boosted its stake in Rithm Capital by 29.6% during the 4th quarter. Northern Trust Corp now owns 3,284,237 shares of the real estate investment trust’s stock valued at $35,568,000 after acquiring an additional 750,656 shares during the last quarter. 44.92% of the stock is currently owned by hedge funds and other 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.