Ready Capital Corp (NYSE:RC) Receives Consensus Recommendation of “Reduce” from Analysts

Ready Capital Corp (NYSE:RC) has been assigned an average recommendation of “Reduce” from the eight brokerages that are presently covering the company, MarketBeat reports. Two investment analysts have rated the stock with a sell recommendation, five have given a hold recommendation and one has given a buy recommendation to the company. The average 1 year target price among analysts that have covered the stock in the last year is $4.95.

RC has been the topic of a number of recent research reports. Zacks Research raised Ready Capital from a “strong sell” rating to a “hold” rating in a report on Tuesday, October 14th. Wall Street Zen downgraded shares of Ready Capital from a “hold” rating to a “sell” rating in a research report on Saturday, August 16th. UBS Group reduced their target price on shares of Ready Capital from $3.50 to $2.75 and set a “neutral” rating for the company in a research note on Friday. B. Riley dropped their price target on shares of Ready Capital from $6.00 to $4.00 and set a “neutral” rating on the stock in a research note on Monday, August 11th. Finally, Weiss Ratings reissued a “sell (d)” rating on shares of Ready Capital in a report on Wednesday, October 8th.

Ready Capital Price Performance

Shares of NYSE:RC opened at $2.54 on Tuesday. Ready Capital has a one year low of $2.52 and a one year high of $7.64. The stock has a market capitalization of $411.00 million, a price-to-earnings ratio of -1.33 and a beta of 1.45. The company has a 50-day simple moving average of $3.49 and a 200-day simple moving average of $4.02. The company has a debt-to-equity ratio of 0.79, a quick ratio of 1.56 and a current ratio of 1.56.

Ready Capital (NYSE:RC) last released its quarterly earnings results on Tuesday, September 9th. The real estate investment trust reported ($0.10) earnings per share (EPS) for the quarter. Ready Capital had a negative return on equity of 7.02% and a negative net margin of 47.30%.The company had revenue of ($9.77) million for the quarter. On average, analysts predict that Ready Capital will post 0.93 EPS for the current year.

Ready Capital Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, October 31st. Investors of record on Tuesday, September 30th were paid a $0.125 dividend. The ex-dividend date was Tuesday, September 30th. This represents a $0.50 dividend on an annualized basis and a dividend yield of 19.7%. Ready Capital’s payout ratio is -26.18%.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of RC. Nomura Asset Management Co. Ltd. boosted its position in shares of Ready Capital by 163.6% during the 2nd quarter. Nomura Asset Management Co. Ltd. now owns 5,800 shares of the real estate investment trust’s stock worth $25,000 after purchasing an additional 3,600 shares in the last quarter. Larson Financial Group LLC purchased a new position in Ready Capital in the first quarter valued at about $27,000. US Bancorp DE lifted its position in shares of Ready Capital by 404.7% during the 1st quarter. US Bancorp DE now owns 6,021 shares of the real estate investment trust’s stock valued at $31,000 after acquiring an additional 4,828 shares during the period. Bogart Wealth LLC purchased a new stake in shares of Ready Capital during the 2nd quarter worth approximately $31,000. Finally, Northwestern Mutual Wealth Management Co. acquired a new stake in shares of Ready Capital in the 1st quarter worth approximately $32,000. Hedge funds and other institutional investors own 55.87% of the company’s stock.

About Ready Capital

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.