Norges Bank Makes New Investment in Rithm Capital Corp. $RITM

Norges Bank bought a new position in shares of Rithm Capital Corp. (NYSE:RITM) in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund bought 7,070,408 shares of the real estate investment trust’s stock, valued at approximately $77,067,000. Norges Bank owned 1.28% of Rithm Capital as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors have also recently bought and sold shares of the business. AIA Group Ltd boosted its position in shares of Rithm Capital by 86.9% during the third quarter. AIA Group Ltd now owns 326,436 shares of the real estate investment trust’s stock worth $3,718,000 after purchasing an additional 151,733 shares in the last quarter. Waterfall Asset Management LLC lifted its position in Rithm Capital by 169.7% in the 3rd quarter. Waterfall Asset Management LLC now owns 360,573 shares of the real estate investment trust’s stock valued at $4,115,000 after acquiring an additional 226,859 shares in the last quarter. Public Sector Pension Investment Board bought a new stake in Rithm Capital in the 3rd quarter valued at $1,519,000. Envestnet Asset Management Inc. lifted its position in Rithm Capital by 246.8% in the 3rd quarter. Envestnet Asset Management Inc. now owns 433,567 shares of the real estate investment trust’s stock valued at $4,938,000 after acquiring an additional 308,555 shares in the last quarter. Finally, Magnetar Financial LLC lifted its position in Rithm Capital by 188.8% in the 3rd quarter. Magnetar Financial LLC now owns 295,499 shares of the real estate investment trust’s stock valued at $3,366,000 after acquiring an additional 193,167 shares in the last quarter. Institutional investors and hedge funds own 44.92% of the company’s stock.

Rithm Capital Stock Down 0.5%

Rithm Capital stock opened at $9.13 on Friday. The company has a debt-to-equity ratio of 4.02, a current ratio of 1.28 and a quick ratio of 1.28. The company’s 50-day moving average is $9.59 and its 200-day moving average is $10.36. The firm has a market capitalization of $5.10 billion, a PE ratio of 8.37 and a beta of 1.14. Rithm Capital Corp. has a fifty-two week low of $8.43 and a fifty-two week high of $12.74.

Rithm Capital (NYSE:RITM) last issued its earnings results on Tuesday, April 28th. The real estate investment trust reported $0.51 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.53 by ($0.02). The firm had revenue of $1.38 billion during the quarter, compared to the consensus estimate of $1.27 billion. Rithm Capital had a net margin of 14.44% and a return on equity of 19.48%. Sell-side analysts anticipate that Rithm Capital Corp. will post 2.27 earnings per share for the current year.

Rithm Capital Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, April 30th. Stockholders of record on Monday, April 6th were issued a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 11.0%. The ex-dividend date of this dividend was Monday, April 6th. Rithm Capital’s dividend payout ratio is presently 91.74%.

Analyst Ratings Changes

Several equities research analysts recently commented on the stock. 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. UBS Group cut their price objective on shares of Rithm Capital from $15.00 to $14.50 and set a “buy” rating on the stock in a research report on Friday, April 10th. Piper Sandler lowered their price target on shares of Rithm Capital from $15.00 to $14.00 and set an “overweight” rating on the stock in a research note on Thursday, April 2nd. JonesTrading reiterated a “buy” rating and issued a $13.50 price target on shares of Rithm Capital in a research note on Tuesday, April 28th. Finally, Keefe, Bruyette & Woods lowered their price target on shares of Rithm Capital from $14.00 to $13.00 and set an “outperform” rating on the stock in a research note on Friday, May 1st. Nine investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $13.61.

Insider Activity

In other news, Director David Saltzman sold 80,922 shares of the company’s stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $9.25, for a total value of $748,528.50. Following the sale, the director directly owned 44,248 shares of the company’s stock, valued at approximately $409,294. This represents a 64.65% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 0.57% of the company’s stock.

Rithm Capital 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.