Critical Comparison: Rithm Property Trust (RPT) versus Its Peers

Rithm Property Trust (NYSE:RPT) is one of 26 publicly-traded companies in the “REAL ESTATE INVESTMENT TRUSTS” industry, but how does it compare to its competitors? We will compare Rithm Property Trust to related companies based on the strength of its analyst recommendations, valuation, risk, dividends, institutional ownership, profitability and earnings.

Insider and Institutional Ownership

58.6% of Rithm Property Trust shares are owned by institutional investors. Comparatively, 39.0% of shares of all “REAL ESTATE INVESTMENT TRUSTS” companies are owned by institutional investors. 0.3% of Rithm Property Trust shares are owned by company insiders. Comparatively, 15.6% of shares of all “REAL ESTATE INVESTMENT TRUSTS” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Rithm Property Trust and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Rithm Property Trust	$52.80 million	$1.47 million	-42.29
Rithm Property Trust Competitors	$150.63 million	-$39.82 million	-2.55

Rithm Property Trust’s competitors have higher revenue, but lower earnings than Rithm Property Trust. Rithm Property Trust is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Rithm Property Trust and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rithm Property Trust	2.79%	1.34%	0.32%
Rithm Property Trust Competitors	-199.14%	-33.35%	-5.62%

Analyst Recommendations

This is a summary of recent recommendations and price targets for Rithm Property Trust and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rithm Property Trust	1	0	0	0	1.00
Rithm Property Trust Competitors	90	689	167	1	2.08

As a group, “REAL ESTATE INVESTMENT TRUSTS” companies have a potential upside of 22.21%. Given Rithm Property Trust’s competitors stronger consensus rating and higher probable upside, analysts clearly believe Rithm Property Trust has less favorable growth aspects than its competitors.

Dividends

Rithm Property Trust pays an annual dividend of $1.44 per share and has a dividend yield of 10.0%. Rithm Property Trust pays out -423.5% of its earnings in the form of a dividend. As a group, “REAL ESTATE INVESTMENT TRUSTS” companies pay a dividend yield of 7.0% and pay out 262.4% of their earnings in the form of a dividend. Rithm Property Trust is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Risk & Volatility

Rithm Property Trust has a beta of 1.29, meaning that its stock price is 29% more volatile than the S&P 500. Comparatively, Rithm Property Trust’s competitors have a beta of 1.21, meaning that their average stock price is 21% more volatile than the S&P 500.

Summary

Rithm Property Trust beats its competitors on 8 of the 14 factors compared.

Rithm Property Trust Company Profile

Rithm Property Trust Inc is a real estate investment trust (REIT) externally managed by an affiliate of Rithm Capital Corp. (Rithm). The company focuses on commercial real estate-focused investment, including originating, acquiring and managing portfolios of CMBS, commercial real property, commercial mortgage loans and other CRE investments. It has two reportable operating segments: Residential and Commercial. The majority of the company’s revenue is derived from the Residential segment, which is focused on managing a portfolio that includes residential mortgage assets, including whole mortgage loans, RMBS and beneficial interests.