Ready Capital (NYSE:RC) Hits New 52-Week Low After Analyst Downgrade

Ready Capital Co. (NYSE:RC) shares reached a new 52-week low during mid-day trading on Thursday after UBS Group lowered their price target on the stock from $5.00 to $4.75. UBS Group currently has a neutral rating on the stock. Ready Capital traded as low as $4.19 and last traded at $4.21, with a volume of 3525273 shares trading hands. The stock had previously closed at $4.45.

A number of other equities research analysts have also recently issued reports on the company. Keefe, Bruyette & Woods reduced their price objective on Ready Capital from $6.25 to $4.00 and set an “underperform” rating for the company in a report on Wednesday, March 5th. B. Riley reiterated a “neutral” rating and set a $10.00 price objective (down previously from $12.00) on shares of Ready Capital in a research report on Tuesday, January 7th. Citizens Jmp cut shares of Ready Capital from an “outperform” rating to a “market perform” rating in a research report on Monday, March 3rd. Finally, Wedbush reaffirmed a “neutral” rating and set a $6.00 price target (down from $8.00) on shares of Ready Capital in a research report on Tuesday, March 4th. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating and one has assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average target price of $7.04.

Insider Transactions at Ready Capital

In other Ready Capital news, insider Adam Zausmer purchased 10,000 shares of the stock in a transaction dated Friday, March 7th. The stock was bought at an average price of $5.42 per share, with a total value of $54,200.00. Following the acquisition, the insider now owns 301,105 shares of the company’s stock, valued at approximately $1,631,989.10. This represents a 3.44 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this hyperlink. 1.09% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Sterling Capital Management LLC increased its holdings in Ready Capital by 822.8% in the 4th quarter. Sterling Capital Management LLC now owns 5,177 shares of the real estate investment trust’s stock worth $35,000 after purchasing an additional 4,616 shares in the last quarter. Steward Partners Investment Advisory LLC lifted its position in shares of Ready Capital by 3,075.0% during the 4th quarter. Steward Partners Investment Advisory LLC now owns 6,350 shares of the real estate investment trust’s stock valued at $43,000 after acquiring an additional 6,150 shares during the period. Avion Wealth bought a new position in Ready Capital in the fourth quarter worth approximately $47,000. Bfsg LLC acquired a new position in shares of Ready Capital during the first quarter valued at about $52,000. Finally, Ausdal Financial Partners Inc. bought a new stake in shares of Ready Capital during the fourth quarter worth about $68,000. Institutional investors own 55.87% of the company’s stock.

Ready Capital Price Performance

The company has a debt-to-equity ratio of 0.54, a current ratio of 1.67 and a quick ratio of 1.67. The firm has a market cap of $755.18 million, a P/E ratio of -6.28 and a beta of 1.23. The company has a fifty day moving average of $5.40 and a 200-day moving average of $6.49.

Ready Capital Cuts Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, April 30th. Shareholders of record on Monday, March 31st will be paid a $0.125 dividend. This represents a $0.50 dividend on an annualized basis and a yield of 11.38%. The ex-dividend date is Monday, March 31st. Ready Capital’s payout ratio is -18.94%.

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.