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

Rithm Property Trust (NYSE:RPT) announced its quarterly earnings results on Tuesday. The company reported ($0.01) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.04) by $0.03, FiscalAI reports. Rithm Property Trust had a return on equity of 1.20% and a net margin of 5.87%.The business had revenue of $4.06 million for the quarter.

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 1.0%

RPT stock opened at $12.44 on Thursday. Rithm Property Trust has a 52 week low of $9.80 and a 52 week high of $17.94. The company has a market cap of $96.66 million, a P/E ratio of -47.85 and a beta of 1.24. The stock’s 50-day moving average is $13.79. The company has a debt-to-equity ratio of 0.93, a current ratio of 1.13 and a quick ratio of 1.13.

Rithm Property Trust Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Tuesday, July 7th will be paid a dividend of $0.36 per share. The ex-dividend date of this dividend is Tuesday, July 7th. This represents a $1.44 annualized dividend and a yield of 11.6%. Rithm Property Trust’s dividend payout ratio (DPR) is presently -496.55%.

Analyst Ratings Changes

RPT has been the subject of several analyst reports. Wedbush raised shares of Rithm Property Trust to a “strong-buy” rating in a report on Wednesday. Weiss Ratings restated a “sell (d)” rating on shares of Rithm Property Trust in a research report on Monday, July 6th. Finally, Wall Street Zen raised shares of Rithm Property Trust from a “strong sell” rating to a “sell” rating in a report on Sunday, May 10th. One investment analyst has rated the stock with a Strong Buy rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy”.

Institutional Investors Weigh In On Rithm Property Trust

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Bank of New York Mellon Corp raised its stake in shares of Rithm Property Trust by 8.3% in the 1st quarter. Bank of New York Mellon Corp now owns 17,240 shares of the company’s stock worth $231,000 after buying an additional 1,328 shares in the last quarter. Renaissance Technologies LLC grew its holdings in Rithm Property Trust by 21.9% during the first quarter. Renaissance Technologies LLC now owns 60,017 shares of the company’s stock worth $804,000 after acquiring an additional 10,800 shares during the period. Family Manage LLC raised its position in Rithm Property Trust by 0.6% in the first quarter. Family Manage LLC now owns 157,804 shares of the company’s stock worth $2,113,000 after acquiring an additional 972 shares in the last quarter. Finally, Royal Bank of Canada raised its position in Rithm Property Trust by 750.6% in 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 in the last quarter. Institutional investors own 58.60% of the company’s stock.

About Rithm Property Trust

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.