Insider Selling: Rithm Capital (NYSE:RITM) Director Sells $748,528.50 in Stock

Rithm Capital Corp. (NYSE:RITM) Director David Saltzman sold 80,922 shares of Rithm Capital stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $9.25, for a total transaction of $748,528.50. Following the sale, the director directly owned 44,248 shares of the company’s stock, valued at $409,294. The trade was a 64.65% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink.

Rithm Capital Stock Up 0.1%

Rithm Capital stock opened at $9.27 on Monday. The stock has a market cap of $5.17 billion, a P/E ratio of 8.50 and a beta of 1.17. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 4.02. Rithm Capital Corp. has a twelve month low of $8.43 and a twelve month high of $12.74. The company’s 50-day moving average price is $9.59 and its two-hundred day moving average price is $10.49.

Rithm Capital (NYSE:RITM) last released its quarterly earnings results on Tuesday, April 28th. The real estate investment trust reported $0.51 earnings per share for the quarter, missing the consensus estimate of $0.53 by ($0.02). The company had revenue of $1.38 billion during the quarter, compared to the consensus estimate of $1.27 billion. Rithm Capital had a net margin of 14.44% and a return on equity of 19.48%. As a group, analysts expect that Rithm Capital Corp. will post 2.27 EPS for the current year.

Rithm Capital Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, April 30th. Shareholders of record on Monday, April 6th were issued a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 10.8%. The ex-dividend date of this dividend was Monday, April 6th. Rithm Capital’s dividend payout ratio is currently 91.74%.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. CoreCap Advisors LLC increased its stake in Rithm Capital by 99.2% in the fourth quarter. CoreCap Advisors LLC now owns 2,295 shares of the real estate investment trust’s stock valued at $25,000 after acquiring an additional 1,143 shares during the last quarter. Los Angeles Capital Management LLC bought a new position in Rithm Capital in the fourth quarter valued at approximately $26,000. Bessemer Group Inc. increased its stake in Rithm Capital by 658.9% in the third quarter. Bessemer Group Inc. now owns 2,656 shares of the real estate investment trust’s stock valued at $30,000 after acquiring an additional 2,306 shares during the last quarter. Atlantic Union Bankshares Corp bought a new position in Rithm Capital in the third quarter valued at approximately $31,000. Finally, FNY Investment Advisers LLC bought a new position in Rithm Capital in the fourth quarter valued at approximately $31,000. 44.92% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

RITM has been the topic of several research analyst reports. JonesTrading reissued a “buy” rating and issued a $13.50 price target on shares of Rithm Capital in a report on Tuesday, April 28th. Wall Street Zen cut shares of Rithm Capital from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Wedbush lowered their target price on shares of Rithm Capital from $14.00 to $12.50 and set an “outperform” rating on the stock in a report on Friday, May 1st. Citizens Jmp raised their target price on shares of Rithm Capital from $12.50 to $13.50 and gave the stock a “market outperform” rating in a report on Wednesday, May 20th. Finally, Citigroup reaffirmed an “outperform” rating on shares of Rithm Capital in a report on Wednesday. Nine analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $13.61.

About Rithm Capital

Rithm Capital Corporation is a specialty finance company that originates, acquires and manages structured credit investments collateralized by real estate assets in the United States. The company focuses primarily on senior floating-rate loans secured by multifamily, commercial, industrial and single-family rental properties, aiming to deliver attractive risk-adjusted yields through a diversified portfolio of floating-rate real estate debt.

In addition to senior loans, Rithm Capital invests in residential mortgage-backed securities, including agency and non-agency pools, as well as other real estate-related credit instruments.