Sterling Capital Management LLC Reduces Stock Holdings in Rithm Capital Corp. $RITM

Sterling Capital Management LLC lowered its stake in Rithm Capital Corp. (NYSE:RITM) by 80.9% during the 1st quarter, HoldingsChannel.com reports. The fund owned 36,809 shares of the real estate investment trust’s stock after selling 155,972 shares during the quarter. Sterling Capital Management LLC’s holdings in Rithm Capital were worth $349,000 at the end of the most recent quarter.

A number of other hedge funds have also added to or reduced their stakes in RITM. AQR Capital Management LLC boosted its stake in shares of Rithm Capital by 20.4% during the 1st quarter. AQR Capital Management LLC now owns 77,625 shares of the real estate investment trust’s stock valued at $889,000 after purchasing an additional 13,166 shares in the last quarter. NewEdge Advisors LLC raised its stake in Rithm Capital by 5.3% in the first quarter. NewEdge Advisors LLC now owns 31,311 shares of the real estate investment trust’s stock worth $359,000 after buying an additional 1,585 shares in the last quarter. Goldman Sachs Group Inc. lifted its holdings in Rithm Capital by 75.6% in the first quarter. Goldman Sachs Group Inc. now owns 1,539,483 shares of the real estate investment trust’s stock worth $17,627,000 after buying an additional 662,585 shares during the period. Geneos Wealth Management Inc. lifted its holdings in Rithm Capital by 14.3% in the first quarter. Geneos Wealth Management Inc. now owns 7,031 shares of the real estate investment trust’s stock worth $81,000 after buying an additional 881 shares during the period. Finally, M&T Bank Corp boosted its position in Rithm Capital by 13.9% during the 2nd quarter. M&T Bank Corp now owns 26,173 shares of the real estate investment trust’s stock valued at $296,000 after acquiring an additional 3,200 shares in the last quarter. 44.92% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

RITM has been the topic of a number of research analyst reports. Keefe, Bruyette & Woods reduced their target price on Rithm Capital from $14.00 to $13.00 and set an “outperform” rating on the stock in a report on Friday, May 1st. Compass Point began coverage on Rithm Capital in a research report on Monday, June 8th. They set a “buy” rating and a $14.00 price target on the stock. Capital One Financial set a $12.50 price target on Rithm Capital in a research note on Thursday, April 9th. UBS Group decreased their price objective on Rithm Capital from $15.00 to $14.50 and set a “buy” rating for the company in a report on Friday, April 10th. Finally, BTIG Research lowered their price objective on Rithm Capital from $16.00 to $13.00 and set a “buy” rating for the company in a research report on Tuesday, June 16th. Ten equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $13.20.

Insider Buying and Selling

In other news, Director David Saltzman sold 80,922 shares of the stock in a transaction on Wednesday, May 20th. The stock was sold at an average price of $9.25, for a total value of $748,528.50. Following the sale, the director directly owned 44,248 shares of the company’s stock, valued at approximately $409,294. This represents a 64.65% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 0.57% of the company’s stock.

Rithm Capital Price Performance

RITM stock opened at $9.07 on Friday. The firm has a 50 day moving average price of $9.38 and a 200-day moving average price of $10.09. Rithm Capital Corp. has a 52-week low of $8.43 and a 52-week high of $12.74. The firm has a market capitalization of $5.06 billion, a price-to-earnings ratio of 8.32 and a beta of 1.14. The company has a debt-to-equity ratio of 4.02, a quick ratio of 1.28 and a current ratio of 1.28.

Rithm Capital (NYSE:RITM) last posted 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 analysts’ expectations of $1.27 billion. Rithm Capital had a return on equity of 19.48% and a net margin of 14.44%. Equities research analysts forecast that Rithm Capital Corp. will post 2.27 EPS for the current fiscal year.

Rithm Capital Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Thursday, July 2nd will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 11.0%. The ex-dividend date of this dividend is Thursday, July 2nd. Rithm Capital’s payout ratio is 91.74%.

Rithm Capital Company Profile

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.