Ready Capital (NYSE:RC) Issues Earnings Results, Beats Estimates By $0.02 EPS

Ready Capital (NYSE:RC) announced its quarterly earnings results on Thursday. The real estate investment trust reported ($0.09) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.11) by $0.02, FiscalAI reports. Ready Capital had a negative return on equity of 7.02% and a negative net margin of 47.30%.The firm had revenue of $207.55 million during the quarter, compared to the consensus estimate of $133.50 million.

Ready Capital Price Performance

RC stock traded down $0.02 on Thursday, reaching $1.65. The company had a trading volume of 3,002,842 shares, compared to its average volume of 2,175,613. The company’s fifty day moving average is $2.06 and its 200 day moving average is $2.91. The company has a market cap of $266.70 million, a P/E ratio of -0.86 and a beta of 1.45. The company has a debt-to-equity ratio of 0.79, a quick ratio of 1.56 and a current ratio of 1.56. Ready Capital has a 1 year low of $1.61 and a 1 year high of $6.96.

Ready Capital Cuts Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, January 30th. Investors of record on Wednesday, December 31st were given a dividend of $0.01 per share. This represents a $0.04 annualized dividend and a dividend yield of 2.4%. The ex-dividend date was Wednesday, December 31st. Ready Capital’s payout ratio is currently -2.09%.

Wall Street Analysts Forecast Growth

RC has been the topic of several research analyst reports. Piper Sandler cut their price target on shares of Ready Capital from $3.50 to $2.50 and set a “neutral” rating on the stock in a research note on Monday, December 22nd. Weiss Ratings reissued a “sell (d)” rating on shares of Ready Capital in a report on Thursday, January 22nd. Keefe, Bruyette & Woods cut their price target on shares of Ready Capital from $3.50 to $2.50 and set an “underperform” rating for the company in a report on Wednesday, November 12th. Finally, UBS Group reduced their target price on Ready Capital from $3.50 to $2.75 and set a “neutral” rating for the company in a report on Friday, November 14th. Six equities research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Reduce” and an average price target of $3.55.

Institutional Trading of Ready Capital

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Quarry LP boosted its position in Ready Capital by 4,494.6% during the third quarter. Quarry LP now owns 9,373 shares of the real estate investment trust’s stock worth $36,000 after acquiring an additional 9,169 shares during the last quarter. Ausdal Financial Partners Inc. acquired a new position in shares of Ready Capital during the 3rd quarter valued at about $39,000. Franklin Resources Inc. acquired a new position in shares of Ready Capital during the 3rd quarter valued at about $44,000. M&T Bank Corp purchased a new position in shares of Ready Capital during the 2nd quarter worth about $50,000. Finally, SummitTX Capital L.P. acquired a new stake in shares of Ready Capital in the fourth quarter worth approximately $53,000. 55.87% of the stock is currently owned by hedge funds and other institutional investors.

About Ready Capital

Ready Capital Corporation is a specialty finance real estate investment trust (REIT) that originates, acquires and manages commercial real estate loans and related assets. The company offers financing solutions across a variety of property types, including multifamily, office, retail, industrial, hospitality and mixed-use assets. Ready Capital focuses on delivering flexible loan structures to meet the diverse needs of borrowers in the small balance and middle-market sectors.

Through its small balance commercial real estate lending platform, Ready Capital provides loans typically ranging from $1 million to $15 million for acquisitions, refinancings, renovations and bridge financing.