Rithm Capital (NYSE:RITM) Announces Quarterly Earnings Results

Rithm Capital (NYSE:RITM) announced its earnings results on Tuesday. The real estate investment trust reported $0.51 EPS for the quarter, missing the consensus estimate of $0.53 by ($0.02), FiscalAI reports. Rithm Capital had a return on equity of 19.74% and a net margin of 15.55%.The company had revenue of $1.38 billion for the quarter, compared to analyst estimates of $1.25 billion.

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

• Rithm reported a solid quarter with $0.51 per diluted share (EAD), $289.6M in earnings (~17% ROE), GAAP net income of $67.8M, a book value of $7B ($12.51), ~ $1.4B of liquidity, and a $0.25 quarterly dividend (10.5% yield).
• Asset-management momentum continues: Sculptor raised a $4.6B real estate fund and ended Q1 with ~$37B AUM while Crestline contributes ~ $20B AUM, and the firm deployed >$2B in corporate credit plus >$1B in ABF investments in the quarter.
• Newrez performed strongly—~$274M pre-tax income (ex. MTM), ~19% ROE, $15.5B funded volume and an ~ $850B servicing portfolio—and expects material efficiency gains from AI/Valon and HomeVision partnerships (>$65M annual expense savings targeted).
• Elecor (formerly Paramount) shows leasing momentum and operational upside: a 9.9M sq ft core portfolio ~85.7% leased (NYC core >92%), identified roughly $40M of annual management EBITDA savings, and is executing JV financings and amenity-driven repositioning to lift rents and occupancy.
• Management admits the company is complex and may trade below sum-of-the-parts value, and industry headline risks (private-credit retail flows, consumer pressure, proposed build-to-rent rules) could create near-term investor confusion or valuation pressure despite stated opportunities.

Rithm Capital Stock Performance

RITM opened at $9.85 on Wednesday. The business’s 50-day simple moving average is $9.78 and its 200 day simple moving average is $10.65. Rithm Capital has a 52-week low of $8.43 and a 52-week high of $12.74. The company has a debt-to-equity ratio of 2.20, a quick ratio of 0.58 and a current ratio of 0.58. The firm has a market capitalization of $5.50 billion, a PE ratio of 9.47 and a beta of 1.19.

Rithm Capital Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, April 30th. Investors of record on Monday, April 6th will be given a $0.25 dividend. The ex-dividend date of this dividend is Monday, April 6th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 10.2%. Rithm Capital’s payout ratio is currently 96.15%.

Key Rithm Capital News

Here are the key news stories impacting Rithm Capital this week:

• Positive Sentiment: Management projects strong growth at Genesis with $6.5B–$7B 2026 production and a targeted $150M–$175M EBITDA, signaling meaningful near-term earnings leverage if origination momentum continues. Read More.
• Positive Sentiment: Operational highlights: Newrez reported a ~19% annualized operating ROE, Genesis posted ~80% YoY origination growth, and Rithm’s asset management platform grew to ≈$60B AUM — these metrics support organic earnings and fee income expansion. Read More.
• Positive Sentiment: Revenue beat — Q1 revenue came in at $1.38B vs. the ~$1.25B consensus, indicating stronger top-line activity across segments even as EPS slightly missed. Read More.
• Positive Sentiment: Analyst support: JonesTrading reaffirmed a Buy rating and set a $13.50 price target, which implies significant upside versus current levels and may underpin longer-term investor confidence. Read More.
• Neutral Sentiment: Strategic repositioning: Paramount Group rebranded as Elecor Properties to position the portfolio for the evolving office/workplace market — a strategic move that may improve long-term asset performance but has uncertain near-term valuation impact. Read More.
• Neutral Sentiment: Street expectations: Aggregated analyst price targets imply ~37% upside, which can support buy-side interest but depends on execution against guidance and macro conditions. Read More.
• Negative Sentiment: EPS miss: Rithm reported $0.51 EPS vs. $0.53 consensus (≈-2.9%), which combined with investor focus on earnings per share may be the principal near-term negative catalyst. Read More.
• Negative Sentiment: Relative underperformance: Commentary and data show RITM underperformed peers on the day, suggesting some investors rotated into names with cleaner beats or less execution risk. Read More.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on the stock. JonesTrading reissued a “buy” rating and set a $13.50 price objective on shares of Rithm Capital in a research report on Tuesday. BTIG Research reaffirmed a “buy” rating and issued a $16.00 price objective on shares of Rithm Capital in a research report on Friday, April 10th. Wall Street Zen raised shares of Rithm Capital from a “hold” rating to a “buy” rating in a research note on Saturday, March 7th. UBS Group dropped their price target on Rithm Capital from $15.00 to $14.50 and set a “buy” rating on the stock in a research note on Friday, April 10th. Finally, Capital One Financial set a $12.50 price target on Rithm Capital in a report on Thursday, April 9th. Seven equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $14.06.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the stock. State Street Corp boosted its holdings in shares of Rithm Capital by 5.3% in the 4th quarter. State Street Corp now owns 10,557,874 shares of the real estate investment trust’s stock valued at $117,701,000 after buying an additional 530,607 shares during the last quarter. Qube Research & Technologies Ltd increased its holdings in Rithm Capital by 80.7% during the third quarter. Qube Research & Technologies Ltd now owns 7,890,987 shares of the real estate investment trust’s stock worth $89,878,000 after buying an additional 3,524,330 shares during the last quarter. Wellington Management Group LLP increased its holdings in Rithm Capital by 3.7% during the fourth quarter. Wellington Management Group LLP now owns 6,256,883 shares of the real estate investment trust’s stock worth $68,200,000 after buying an additional 220,654 shares during the last quarter. Morgan Stanley raised its position in Rithm Capital by 15.9% during the fourth quarter. Morgan Stanley now owns 6,079,402 shares of the real estate investment trust’s stock worth $66,266,000 after acquiring an additional 835,086 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. raised its position in Rithm Capital by 5.0% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 5,967,984 shares of the real estate investment trust’s stock worth $65,051,000 after acquiring an additional 284,623 shares in the last quarter. Institutional investors and hedge funds own 44.92% of the company’s stock.

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.