Rithm Capital (NYSE:RITM) Stock Price Crosses Below Two Hundred Day Moving Average – Should You Sell?

Rithm Capital Corp. (NYSE:RITM)’s share price crossed below its two hundred day moving average during trading on Monday. The stock has a two hundred day moving average of $9.57 and traded as low as $8.95. Rithm Capital shares last traded at $9.0820, with a volume of 8,632,015 shares.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on RITM. Weiss Ratings raised Rithm Capital from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Tuesday, August 25th. Piper Sandler decreased their price target on Rithm Capital from $14.00 to $12.50 and set an “overweight” rating for the company in a research note on Thursday, July 2nd. Compass Point started coverage on Rithm Capital in a research note on Monday, June 8th. They set a “buy” rating and a $14.00 price objective on the stock. Wall Street Zen raised Rithm Capital from a “sell” rating to a “hold” rating in a report on Saturday, August 1st. Finally, BTIG Research decreased their target price on shares of Rithm Capital from $16.00 to $13.00 and set a “buy” rating for the company in a research note on Tuesday, June 16th. Ten analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $13.15.

Rithm Capital Stock Down 2.1%

The stock has a market cap of $4.99 billion, a P/E ratio of 14.91, a price-to-earnings-growth ratio of 0.57 and a beta of 1.12. The firm has a 50 day simple moving average of $9.84 and a 200-day simple moving average of $9.57. The company has a quick ratio of 0.76, a current ratio of 0.76 and a debt-to-equity ratio of 2.19.

Rithm Capital (NYSE:RITM) last issued its earnings results on Tuesday, July 28th. The real estate investment trust reported $0.60 EPS for the quarter, topping the consensus estimate of $0.50 by $0.10. Rithm Capital had a return on equity of 19.86% and a net margin of 9.20%. On average, equities research analysts forecast that Rithm Capital Corp. will post 2.26 earnings per share for the current fiscal year.

Rithm Capital Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 30th. Shareholders of record on Thursday, October 1st will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 11.2%. The ex-dividend date is Thursday, October 1st. Rithm Capital’s payout ratio is currently 166.67%.

Insider Buying and Selling at Rithm Capital

In other news, Director Peggy Hebard sold 14,520 shares of the firm’s stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $10.18, for a total transaction of $147,813.60. Following the completion of the sale, the director owned 82,259 shares in the company, valued at approximately $837,396.62. This trade represents a 15.00% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. 0.57% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Wellington Management Group LLP lifted its position in Rithm Capital by 14.4% during the second quarter. Wellington Management Group LLP now owns 11,616,077 shares of the real estate investment trust’s stock worth $109,075,000 after acquiring an additional 1,466,315 shares during the last quarter. Geode Capital Management LLC increased its stake in shares of Rithm Capital by 4.8% during the fourth quarter. Geode Capital Management LLC now owns 9,621,935 shares of the real estate investment trust’s stock worth $104,904,000 after purchasing an additional 443,144 shares during the period. Norges Bank acquired a new stake in Rithm Capital during the 4th quarter worth approximately $77,067,000. Bank of New York Mellon Corp lifted its holdings in Rithm Capital by 71.8% during the 1st quarter. Bank of New York Mellon Corp now owns 3,390,135 shares of the real estate investment trust’s stock worth $32,138,000 after purchasing an additional 1,416,415 shares during the last quarter. Finally, Royal Bank of Canada boosted its stake in Rithm Capital by 12.5% in the 1st quarter. Royal Bank of Canada now owns 2,974,882 shares of the real estate investment trust’s stock valued at $28,202,000 after purchasing an additional 331,513 shares during the period. Institutional investors and hedge funds own 44.92% of the company’s stock.

Rithm Capital Company Profile

Rithm Capital Corp. (NYSE: RITM) is a real estate investment trust and asset management company focused primarily on the residential real estate and mortgage markets. The company invests in and manages mortgage servicing rights, residential mortgage loans, mortgage-backed securities and other real estate-related assets.

Rithm also operates businesses involved in mortgage origination, loan servicing and related financial services. Through its platforms and investments, the company provides financing and servicing solutions connected with residential real estate and manages assets across the housing market.

The company was formerly known as New Residential Investment Corp.