SG Americas Securities LLC Increases Stake in Rithm Capital Corp. $RITM

SG Americas Securities LLC boosted its position in shares of Rithm Capital Corp. (NYSE:RITM) by 133.5% in the third quarter, HoldingsChannel.com reports. The fund owned 1,649,394 shares of the real estate investment trust’s stock after acquiring an additional 942,986 shares during the quarter. SG Americas Securities LLC’s holdings in Rithm Capital were worth $18,787,000 as of its most recent filing with the SEC.

Several other hedge funds also recently added to or reduced their stakes in RITM. Cullen Frost Bankers Inc. acquired a new position in shares of Rithm Capital in the 2nd quarter valued at $30,000. Mather Group LLC. purchased a new stake in Rithm Capital during the 3rd quarter valued at about $33,000. Optimum Investment Advisors increased its holdings in shares of Rithm Capital by 200.0% in the third quarter. Optimum Investment Advisors now owns 3,000 shares of the real estate investment trust’s stock valued at $34,000 after purchasing an additional 2,000 shares during the last quarter. Ameritas Advisory Services LLC purchased a new position in shares of Rithm Capital during the 2nd quarter worth $43,000. Finally, GAMMA Investing LLC raised its stake in Rithm Capital by 19.1% during the second quarter. GAMMA Investing LLC now owns 5,528 shares of the real estate investment trust’s stock worth $62,000 after purchasing an additional 887 shares during the period. 44.92% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Rithm Capital

In related news, insider David Zeiden sold 19,285 shares of Rithm Capital stock in a transaction on Friday, November 14th. The shares were sold at an average price of $11.11, for a total value of $214,256.35. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Michael Nierenberg sold 301,548 shares of the business’s stock in a transaction dated Wednesday, November 5th. The stock was sold at an average price of $11.00, for a total value of $3,317,028.00. Additional details regarding this sale are available in the official SEC disclosure. 0.44% of the stock is owned by corporate insiders.

Rithm Capital Stock Up 2.1%

RITM opened at $11.39 on Friday. The company has a debt-to-equity ratio of 1.52, a quick ratio of 0.45 and a current ratio of 0.45. Rithm Capital Corp. has a 1 year low of $9.13 and a 1 year high of $12.74. The firm has a 50 day moving average price of $11.13 and a 200 day moving average price of $11.56. The company has a market cap of $6.31 billion, a PE ratio of 7.85 and a beta of 1.21.

Rithm Capital (NYSE:RITM) last released its earnings results on Thursday, October 30th. The real estate investment trust reported $0.54 EPS for the quarter, hitting analysts’ consensus estimates of $0.54. The company had revenue of $1.11 billion for the quarter, compared to the consensus estimate of $1.07 billion. Rithm Capital had a return on equity of 18.82% and a net margin of 17.08%. Sell-side analysts expect that Rithm Capital Corp. will post 1.93 earnings per share for the current year.

Rithm Capital Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, January 30th. Stockholders of record on Wednesday, December 31st will be given a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 8.8%. The ex-dividend date of this dividend is Wednesday, December 31st. Rithm Capital’s dividend payout ratio (DPR) is 68.97%.

Analyst Upgrades and Downgrades

Several brokerages have weighed in on RITM. BTIG Research reaffirmed a “buy” rating and set a $16.00 target price on shares of Rithm Capital in a research note on Wednesday, September 17th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Rithm Capital in a research report on Monday, December 29th. Keefe, Bruyette & Woods restated an “outperform” rating on shares of Rithm Capital in a research report on Thursday, December 18th. Piper Sandler reissued an “overweight” rating and issued a $15.50 price objective on shares of Rithm Capital in a report on Monday, December 22nd. Finally, UBS Group began coverage on Rithm Capital in a report on Thursday. They issued a “buy” rating and a $16.00 target price on the stock. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and one has issued a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Buy” and a consensus price target of $14.44.

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.