Rithm Capital is a diversified mREIT with significant exposure to the real estate sector, focusing on origination, servicing, and investment segments. Due to the extreme impact of external factors, at the time of writing, Rithm Capital is a hold from an intrinsic value perspective. Despite interest rate risks, Rithm's built-in hedges and diversified revenue sources provide stability, with ~25% consolidated operating margins after normalization.
In the most recent trading session, Rithm (RITM) closed at $11.34, indicating a -0.61% shift from the previous trading day.
Rithm (RITM) has been upgraded to a Zacks Rank #1 (Strong Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.
RITM, SSTK and TSN made it to the Zacks Rank #1 (Strong Buy) income stocks list on January 16, 2025.
Rithm (RITM) closed the most recent trading day at $10.96, moving -0.36% from the previous trading session.
Rithm (RITM) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.
Rithm Capital offers a highly sustainable 9% dividend yield, paying out less than half of its distributable profits, making it an attractive choice for passive income investors. The trust's focus on Mortgage Servicing Rights, which gain value with rising interest rates, aligns well with the central bank's slower rate cut trajectory. Rithm Capital's diversification into asset management and acquisitions, like Sculptor Capital Management, enhances its growth potential and reduces reliance on mortgage investments.
Rithm Capital has been named as a Top 10 Real Estate Investment Trust (REIT), according to Dividend Channel, which published its most recent ''DividendRank'' report. The report noted that among REITs, RITM shares displayed both attractive valuation metrics and strong profitability metrics.
This article compares RITM's recent dividend per share rates, yield percentages, and several dividend sustainability metrics to 19 mREIT peers. This includes an analysis of RITM's quarterly core earnings/earnings available for distribution (“EAD”) which directly impacts the company's dividend sustainability. This article also projects RITM's dividend sustainability for Q1 – Q2 2025.
Rithm (RITM) closed at $10.67 in the latest trading session, marking a -0.28% move from the prior day.
Rithm Capital offers a stable 9% yield, a strong dividend coverage profile, and a diversified revenue stream. The REIT has expanded through acquisitions, diversifying its portfolio beyond mortgage investments to include significant asset management operations. With a dividend coverage ratio of 2.2x, RITM provides a high safety margin for dividend investors, supporting its 9% yield.
Rithm (RITM) reachead $11.16 at the closing of the latest trading day, reflecting a +0.09% change compared to its last close.