Ready Capital (NYSE:RC) Announces Quarterly Earnings Results, Misses Estimates By $0.96 EPS

Ready Capital (NYSE:RC) posted its quarterly earnings data on Thursday. The real estate investment trust reported ($0.94) earnings per share for the quarter, missing the consensus estimate of $0.02 by ($0.96), Zacks reports. The company had revenue of $85.43 million during the quarter, compared to the consensus estimate of $149.14 million. Ready Capital had a negative return on equity of 6.93% and a negative net margin of 47.30%.

Ready Capital Stock Performance

NYSE RC traded down $0.06 on Friday, reaching $2.94. The stock had a trading volume of 5,460,592 shares, compared to its average volume of 2,324,347. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.61 and a quick ratio of 1.61. The company has a market cap of $482.31 million, a P/E ratio of -1.54 and a beta of 1.45. The firm has a fifty day moving average of $3.69 and a two-hundred day moving average of $4.09. Ready Capital has a 1-year low of $2.66 and a 1-year high of $7.64.

Ready Capital Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Friday, October 31st. Investors of record on Tuesday, September 30th were paid a $0.125 dividend. The ex-dividend date was Tuesday, September 30th. This represents a $0.50 annualized dividend and a yield of 17.0%. Ready Capital’s payout ratio is -27.03%.

Institutional Investors Weigh In On Ready Capital

Institutional investors have recently modified their holdings of the business. Marshall Wace LLP bought a new position in Ready Capital during the second quarter worth about $6,542,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Ready Capital by 9.4% in the 2nd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,924,767 shares of the real estate investment trust’s stock valued at $8,411,000 after purchasing an additional 164,918 shares during the period. JPMorgan Chase & Co. grew its position in shares of Ready Capital by 144.3% during the 3rd quarter. JPMorgan Chase & Co. now owns 230,977 shares of the real estate investment trust’s stock worth $894,000 after purchasing an additional 136,423 shares in the last quarter. Quantinno Capital Management LP increased its holdings in shares of Ready Capital by 441.9% during the second quarter. Quantinno Capital Management LP now owns 113,665 shares of the real estate investment trust’s stock worth $497,000 after purchasing an additional 92,690 shares during the period. Finally, Jump Financial LLC acquired a new stake in shares of Ready Capital in the second quarter valued at approximately $367,000. Institutional investors own 55.87% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on RC. UBS Group dropped their target price on Ready Capital from $4.00 to $3.50 and set a “neutral” rating for the company in a research report on Tuesday, October 14th. B. Riley reduced their price objective on shares of Ready Capital from $6.00 to $4.00 and set a “neutral” rating on the stock in a research note on Monday, August 11th. Wall Street Zen lowered Ready Capital from a “hold” rating to a “sell” rating in a research report on Saturday, August 16th. Zacks Research raised shares of Ready Capital from a “strong sell” rating to a “hold” rating in a research note on Tuesday, October 14th. Finally, Keefe, Bruyette & Woods reduced their target price on shares of Ready Capital from $3.75 to $3.50 and set an “underperform” rating for the company in a report on Thursday, October 9th. One investment analyst has rated the stock with a Buy rating, five have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Reduce” and a consensus price target of $5.30.

Ready Capital Company Profile

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.