Is Rithm Capital Stock a Good Investment?
Rithm Capital Investment Advice | RITM |
- Examine Rithm Capital's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Rithm Capital's leadership team and their track record. Good management can help Rithm Capital navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Asset Management & Custody Banks space and any emerging trends that could impact Rithm Capital's business and its evolving consumer preferences.
- Compare Rithm Capital's performance and market position to its competitors. Analyze how Rithm Capital is positioned in terms of product offerings, innovation, and market share.
- Check if Rithm Capital pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Rithm Capital's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Rithm Capital Corp stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Rithm Capital Corp is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Rithm Capital Stock
Researching Rithm Capital's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 48.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 0.85. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Rithm Capital Corp has Price/Earnings To Growth (PEG) ratio of 0.44. The entity last dividend was issued on the 1st of October 2024. The firm had 1:2 split on the 20th of October 2014.
To determine if Rithm Capital is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Rithm Capital's research are outlined below:
| Rithm Capital Corp generated a negative expected return over the last 90 days | |
| On 1st of November 2024 Rithm Capital paid $ 0.25 per share dividend to its current shareholders | |
| Latest headline from finance.yahoo.com: Rithm Capital Corp. Among the Cheap REITs with Huge Upside |
Rithm Capital Quarterly Good Will |
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Rithm Capital uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Rithm Capital Corp. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Rithm Capital's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 14th of February 2024 Upcoming Quarterly Report | View | |
| 2nd of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 14th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Rithm Capital's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Rithm Capital's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2013-06-12 | 2013-03-31 | 0.14 | 0.12 | -0.02 | 14 | ||
2023-02-08 | 2022-12-31 | 0.3 | 0.33 | 0.03 | 10 | ||
2022-11-02 | 2022-09-30 | 0.29 | 0.32 | 0.03 | 10 | ||
2020-07-22 | 2020-06-30 | 0.3 | 0.34 | 0.04 | 13 | ||
2014-11-06 | 2014-09-30 | 0.39 | 0.43 | 0.04 | 10 | ||
2014-08-06 | 2014-06-30 | 0.36 | 0.4 | 0.04 | 11 | ||
2024-07-31 | 2024-06-30 | 0.42 | 0.47 | 0.05 | 11 | ||
2014-03-20 | 2013-12-31 | 0.33 | 0.28 | -0.05 | 15 |
Know Rithm Capital's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Rithm Capital is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Rithm Capital Corp backward and forwards among themselves. Rithm Capital's institutional investor refers to the entity that pools money to purchase Rithm Capital's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Balyasny Asset Management Llc | 2024-06-30 | 3.8 M | Wellington Management Company Llp | 2024-06-30 | 2.6 M | Allianz Asset Management Ag | 2024-06-30 | 2.5 M | Northern Trust Corp | 2024-06-30 | 2.5 M | Arrowstreet Capital Limited Partnership | 2024-06-30 | 2.5 M | Citadel Advisors Llc | 2024-06-30 | 2.4 M | Advisors Capital Management, Llc | 2024-06-30 | 2.2 M | Macquarie Group Ltd | 2024-06-30 | 2.2 M | Bluecrest Capital Management Ltd. | 2024-06-30 | 2.1 M | Vanguard Group Inc | 2024-06-30 | 45.7 M | Blackrock Inc | 2024-06-30 | 26.9 M |
Rithm Capital's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 5.45 B.Market Cap |
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Rithm Capital's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.02 | 0.04 | |
| Return On Capital Employed | (0.01) | (0.01) | |
| Return On Assets | 0.02 | 0.03 | |
| Return On Equity | 0.09 | 0.12 |
Determining Rithm Capital's profitability involves analyzing its financial statements and using various financial metrics to determine if Rithm Capital is a good buy. For example, gross profit margin measures Rithm Capital's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Rithm Capital's profitability and make more informed investment decisions.
Evaluate Rithm Capital's management efficiency
Rithm Capital Corp has return on total asset (ROA) of 0.0151 % which means that it generated a profit of $0.0151 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.0776 %, meaning that it created $0.0776 on every $100 dollars invested by stockholders. Rithm Capital's management efficiency ratios could be used to measure how well Rithm Capital manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Rithm Capital's Return On Tangible Assets are very stable compared to the past year. As of the 4th of November 2024, Return On Assets is likely to grow to 0.03, though Return On Capital Employed is likely to grow to (0.01). At this time, Rithm Capital's Other Assets are very stable compared to the past year. As of the 4th of November 2024, Intangible Assets is likely to grow to about 9.2 B, while Non Current Assets Total are likely to drop about 44.4 K.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 14.73 | 11.54 | |
| Tangible Book Value Per Share | (3.79) | (3.60) | |
| Enterprise Value Over EBITDA | (125.31) | (119.05) | |
| Price Book Value Ratio | 0.73 | 1.34 | |
| Enterprise Value Multiple | (125.31) | (119.05) | |
| Price Fair Value | 0.73 | 1.34 | |
| Enterprise Value | 28 B | 29.4 B |
Understanding the operational decisions made by Rithm Capital management offers insights into its financial robustness. This evaluation is crucial for assessing the stock's investment potential.
Dividend Yield 0.0954 | Forward Dividend Yield 0.0954 | Forward Dividend Rate 1 | Beta 1.782 |
Basic technical analysis of Rithm Stock
As of the 4th of November, Rithm Capital holds the Risk Adjusted Performance of (0.04), coefficient of variation of (1,581), and Variance of 1.57. Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Rithm Capital, as well as the relationship between them. Please check Rithm Capital Corp market risk adjusted performance, information ratio, as well as the relationship between the Information Ratio and skewness to decide if Rithm Capital Corp is priced some-what accurately, providing market reflects its current price of 10.48 per share. Given that Rithm Capital has information ratio of (0.12), we recommend you to check out Rithm Capital Corp's recent market performance to make sure the company can sustain itself at a future point.Rithm Capital's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Rithm Capital insiders, such as employees or executives, is commonly permitted as long as it does not rely on Rithm Capital's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Rithm Capital insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Le Melle Patrice M over three weeks ago Acquisition by Le Melle Patrice M of 18360 shares of Rithm Capital subject to Rule 16b-3 | ||
Michael Nierenberg over three months ago Acquisition by Michael Nierenberg of 120000 shares of Rithm Capital at 16.37 subject to Rule 16b-3 | ||
Finnerty Kevin J over three months ago Acquisition by Finnerty Kevin J of 14066 shares of Rithm Capital subject to Rule 16b-3 | ||
Sloves Andrew over six months ago Acquisition by Sloves Andrew of 13423 shares of Rithm Capital subject to Rule 16b-3 | ||
Mcginnis Robert over six months ago Acquisition by Mcginnis Robert of 10549 shares of Rithm Capital subject to Rule 16b-3 | ||
Sivin Philip M over six months ago Acquisition by Sivin Philip M of 11682 shares of Rithm Capital subject to Rule 16b-3 | ||
Sloves Andrew over six months ago Acquisition by Sloves Andrew of 12178 shares of Rithm Capital subject to Rule 16b-3 |
Rithm Capital's Outstanding Corporate Bonds
Rithm Capital issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Rithm Capital Corp uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Rithm bonds can be classified according to their maturity, which is the date when Rithm Capital Corp has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
Understand Rithm Capital's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Rithm Capital's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.04) | |||
| Market Risk Adjusted Performance | (0.08) | |||
| Mean Deviation | 0.9027 | |||
| Coefficient Of Variation | (1,581) | |||
| Standard Deviation | 1.25 | |||
| Variance | 1.57 | |||
| Information Ratio | (0.12) | |||
| Jensen Alpha | (0.15) | |||
| Total Risk Alpha | (0.18) | |||
| Treynor Ratio | (0.09) | |||
| Maximum Drawdown | 6.76 | |||
| Value At Risk | (2.13) | |||
| Potential Upside | 1.68 | |||
| Skewness | (1.23) | |||
| Kurtosis | 3.13 |
| Risk Adjusted Performance | (0.04) | |||
| Market Risk Adjusted Performance | (0.08) | |||
| Mean Deviation | 0.9027 | |||
| Coefficient Of Variation | (1,581) | |||
| Standard Deviation | 1.25 | |||
| Variance | 1.57 | |||
| Information Ratio | (0.12) | |||
| Jensen Alpha | (0.15) | |||
| Total Risk Alpha | (0.18) | |||
| Treynor Ratio | (0.09) | |||
| Maximum Drawdown | 6.76 | |||
| Value At Risk | (2.13) | |||
| Potential Upside | 1.68 | |||
| Skewness | (1.23) | |||
| Kurtosis | 3.13 |
Consider Rithm Capital's intraday indicators
Rithm Capital intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Rithm Capital stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Rithm Capital Corporate Filings
8K | 29th of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 24th of October 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 25th of September 2024 Other Reports | ViewVerify | |
10K | 12th of August 2024 An amendment to a previously filed Form 10-K | ViewVerify |
Rithm Stock media impact
Far too much social signal, news, headlines, and media speculation about Rithm Capital that are available to investors today. That information is available publicly through Rithm media outlets and privately through word of mouth or via Rithm internal channels. However, regardless of the origin, that massive amount of Rithm data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Rithm Capital news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Rithm Capital relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Rithm Capital's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Rithm Capital alpha.
Rithm Capital Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Rithm Capital can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Rithm Capital Corporate Management
| Charles Sorrentino | Managing Director | Profile | |
| Varun Wadhawan | Managing Director | Profile | |
| Philip CFA | Chief Secretary | Profile | |
| CFA CFA | Chief Officer | Profile | |
| David Schonbraun | Managing Group | Profile |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Rithm Capital Corp. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in estimate. You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Is Asset Management & Custody Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Rithm Capital. If investors know Rithm will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Rithm Capital listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.51) | Dividend Share 1 | Earnings Share 1.19 | Revenue Per Share 5.937 | Quarterly Revenue Growth (0.32) |
The market value of Rithm Capital Corp is measured differently than its book value, which is the value of Rithm that is recorded on the company's balance sheet. Investors also form their own opinion of Rithm Capital's value that differs from its market value or its book value, called intrinsic value, which is Rithm Capital's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Rithm Capital's market value can be influenced by many factors that don't directly affect Rithm Capital's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Rithm Capital's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Rithm Capital is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Rithm Capital's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.