Rithm Property Trust (NYSE:RPT) Posts Earnings Results, Beats Expectations By $0.03 EPS

Rithm Property Trust (NYSE:RPT) issued its quarterly earnings results on Tuesday. The company reported ($0.01) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.04) by $0.03, FiscalAI reports. The business had revenue of $4.06 million during the quarter. Rithm Property Trust had a return on equity of 1.27% and a net margin of 5.52%.

Here are the key takeaways from Rithm Property Trust’s conference call:

• Rithm Property Trust reached breakeven earnings after management reduced legacy losses, cleaned up the balance sheet and sold down noncore assets. Book value was $30.17 per share versus $30.33 in the prior quarter, while the company paid a $0.36 dividend, implying a roughly 10% yield.
• The company invested $117 million in Genesis-originated residential and multifamily transitional loans during and after the quarter. Management characterized these as senior, short-duration, high-coupon assets generating approximately a 14% levered return, with a 9.1% gross weighted-average coupon.
• Rithm withdrew a planned public equity offering after the stock price weakened and short selling increased, saying issuance at a substantial discount to book value would not serve shareholders. Additional capital is needed to materially grow the platform, although management said it may use preferred equity, debt or other structures.
• Management is evaluating alternatives to maximize shareholder value if another capital raise cannot be completed, including share repurchases, M&A, a tender offer or potentially folding the vehicle back into Rithm. Executives expect a decision or action during 2026, no later than year-end.
• The trust reports no legacy commercial real estate exposure and retains more than $50 million of equity liquidity after recent deployment. Management said Genesis provides a sizable pipeline of potential mid-teens-return assets, though growth will remain constrained without new capital.

Rithm Property Trust Trading Up 2.6%

Shares of RPT stock opened at $12.19 on Wednesday. The firm has a market capitalization of $94.72 million, a price-to-earnings ratio of -42.04 and a beta of 1.24. The company has a quick ratio of 1.13, a current ratio of 1.13 and a debt-to-equity ratio of 0.93. The company’s 50-day moving average price is $13.83. Rithm Property Trust has a 12 month low of $9.80 and a 12 month high of $17.94.

Rithm Property Trust Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Stockholders of record on Tuesday, July 7th will be paid a dividend of $0.36 per share. This represents a $1.44 dividend on an annualized basis and a dividend yield of 11.8%. The ex-dividend date of this dividend is Tuesday, July 7th. Rithm Property Trust’s dividend payout ratio (DPR) is presently -496.55%.

Institutional Investors Weigh In On Rithm Property Trust

A number of institutional investors have recently made changes to their positions in RPT. Royal Bank of Canada raised its position in shares of Rithm Property Trust by 750.6% during the first quarter. Royal Bank of Canada now owns 7,723 shares of the company’s stock worth $103,000 after acquiring an additional 6,815 shares during the last quarter. Bank of New York Mellon Corp raised its holdings in Rithm Property Trust by 8.3% during the 1st quarter. Bank of New York Mellon Corp now owns 17,240 shares of the company’s stock worth $231,000 after purchasing an additional 1,328 shares during the last quarter. Renaissance Technologies LLC lifted its position in shares of Rithm Property Trust by 21.9% in the 1st quarter. Renaissance Technologies LLC now owns 60,017 shares of the company’s stock worth $804,000 after purchasing an additional 10,800 shares during the period. Finally, Family Manage LLC boosted its stake in shares of Rithm Property Trust by 0.6% in the 1st quarter. Family Manage LLC now owns 157,804 shares of the company’s stock valued at $2,113,000 after purchasing an additional 972 shares during the last quarter. Institutional investors own 58.60% of the company’s stock.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on RPT shares. Wall Street Zen upgraded shares of Rithm Property Trust from a “strong sell” rating to a “sell” rating in a research report on Sunday, May 10th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Rithm Property Trust in a report on Monday, July 6th. One research analyst has rated the stock with a Sell rating, According to data from MarketBeat, the stock presently has an average rating of “Sell”.

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.