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Rithm Capital NYSE:RITM Stock Report

Last Price

US$10.98

Market Cap

US$5.6b

7D

2.4%

1Y

7.9%

Updated

22 Nov, 2024

Data

Company Financials +

Rithm Capital Corp.

NYSE:RITM Stock Report

Market Cap: US$5.6b

RITM Stock Overview

Operates as an asset manager focused on real estate, credit, and financial services. More details

RITM fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance2/6
Financial Health2/6
Dividends2/6

Rewards

Trading at 34.8% below our estimate of its fair value

Earnings are forecast to grow 21.09% per year

Risk Analysis

Dividend of 9.11% is not well covered by earnings or free cash flows

Debt is not well covered by operating cash flow

Profit margins (16.1%) are lower than last year (23.8%)

Shareholders have been diluted in the past year


Community Narratives

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Narratives bring a range of perspectives from our community.

WA
WarrenAI
Based on Analyst Price Targets

Calculated Partnerships And Direct Lending Propel Growth Amid Market Challenges

Key Takeaways Strategic expansions and partnerships in real estate and financial services are expected to significantly boost earnings and shareholder returns. Integration of acquisitions and focus on technology in mortgage services will likely increase market share and enhance margins.
View narrative
US$13.05
FV
15.8% undervalued intrinsic discount
24.36%
Revenue growth p.a.
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5users have followed this narrative
2 days ago author updated this narrative

Rithm Capital Corp. Competitors

Starwood Property Trust

NYSE:STWD

US$6.7b

Arbor Realty Trust

NYSE:ABR

US$3.0b

AGNC Investment

NasdaqGS:AGNC

US$8.6b

MFA Financial

NYSE:MFA

US$1.1b

Price History & Performance

Summary of all time highs, changes and price drops for Rithm Capital
Historical stock prices
Current Share PriceUS$10.98
52 Week HighUS$12.02
52 Week LowUS$9.97
Beta1.79
11 Month Change3.98%
3 Month Change-5.10%
1 Year Change7.86%
33 Year Change-0.27%
5 Year Change-29.16%
Change since IPO-18.79%

Recent News & Updates

Rithm Capital: High-Yield Bargain Opportunity

Aug 14

Recent updates

Rithm Capital: High-Yield Bargain Opportunity

Aug 14

Rithm: A Bargain With Rich Dividend Yields

Aug 03

2 Rithm Capital Preferred Stocks Poised For Big Returns

May 29

Rithm: Get Paid 8.79% As Investors Await Its Transition

May 16

Rithm Capital: Look Beyond The ~9% Dividend Yield

Mar 26

Rithm Capital: This 10% Yield Is On Sale

Feb 22

Rithm Capital: Recent Acquisitions Support Its High-Dividend Yield

Jan 10

Rithm Capital: A Magnificent, Bargain-Priced 10% Yield

Nov 23

Rithm Capital: Deep Value, 11% Covered Yield, 26% BV Discount

Oct 31

Rithm Capital PFD D: Maybe No Longer The Best Choice - Swap Time?

Oct 18

Should You Buy Rithm Capital For Its 11% Yield?

Oct 04

Rithm Capital: The Dividend Lesson

Sep 26

Rithm Capital: This 9.8% Yielding Mortgage Trust Now Has A Catalyst

Jul 27

Rithm Capital: I Sold The Preferreds To Buy The 11% Yielding Commons

Jun 14

Rithm Capital: This Huge 12% Mortgage Yield Is Sustainable

May 25

Rithm Capital: Out-Of-Touch 21% BV Discount For A Covered 10.5% Yield

Feb 20

Rithm Capital Non-GAAP EPS of $0.33 beats by $0.04, revenue of $762.4M beats by $12.26M

Feb 08

Rithm Capital: Your Next Purchase Could Yield You 11.9%

Dec 22

Rithm Capital declares $0.25 dividend

Dec 15

Rithm Capital: The Preferreds Move Better

Dec 07

Rithm Capital: Don't Become A Panic Seller Now

Oct 19

Rithm Capital's 11.2% Yield: You Have No Excuse For Not Buying

Sep 19

Rithm's Newrez unit introduces 40-year fixed interest-only non-QM mortgage

Sep 01

Shareholder Returns

RITMUS Mortgage REITsUS Market
7D2.4%1.5%2.2%
1Y7.9%1.4%31.7%

Return vs Industry: RITM exceeded the US Mortgage REITs industry which returned 1.4% over the past year.

Return vs Market: RITM underperformed the US Market which returned 31.7% over the past year.

Price Volatility

Is RITM's price volatile compared to industry and market?
RITM volatility
RITM Average Weekly Movement2.7%
Mortgage REITs Industry Average Movement3.4%
Market Average Movement6.3%
10% most volatile stocks in US Market15.8%
10% least volatile stocks in US Market3.1%

Stable Share Price: RITM has not had significant price volatility in the past 3 months compared to the US market.

Volatility Over Time: RITM's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20116,570Michael Nierenbergwww.rithmcap.com

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.

Rithm Capital Corp. Fundamentals Summary

How do Rithm Capital's earnings and revenue compare to its market cap?
RITM fundamental statistics
Market capUS$5.61b
Earnings (TTM)US$484.30m
Revenue (TTM)US$3.01b

11.8x

P/E Ratio

1.9x

P/S Ratio

Is RITM overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
RITM income statement (TTM)
RevenueUS$3.01b
Cost of RevenueUS$0
Gross ProfitUS$3.01b
Other ExpensesUS$2.52b
EarningsUS$484.30m

Last Reported Earnings

Sep 30, 2024

Next Earnings Date

n/a

Earnings per share (EPS)0.93
Gross Margin100.00%
Net Profit Margin16.11%
Debt/Equity Ratio387.3%

How did RITM perform over the long term?

See historical performance and comparison

Dividends

9.1%

Current Dividend Yield

100%

Payout Ratio