Insights Ahead: Rithm Capital's Quarterly Earnings

Rithm Capital RITM is set to give its latest quarterly earnings report on Friday, 2025-04-25. Here's what investors need to know before the announcement.

Analysts estimate that Rithm Capital will report an earnings per share (EPS) of $0.47.

The announcement from Rithm Capital is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Historical Earnings Performance

Last quarter the company beat EPS by $0.16, which was followed by a 0.5% drop in the share price the next day.

Here's a look at Rithm Capital's past performance and the resulting price change:

Stock Performance

Shares of Rithm Capital were trading at $10.33 as of April 23. Over the last 52-week period, shares are down 7.4%. Given that these returns are generally negative, long-term shareholders are likely bearish going into this earnings release.

Analyst Insights on Rithm Capital

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Rithm Capital.

The consensus rating for Rithm Capital is Buy, derived from 4 analyst ratings. An average one-year price target of $13.0 implies a potential 25.85% upside.

Analyzing Ratings Among Peers

In this comparison, we explore the analyst ratings and average 1-year price targets of and BrightSpire Capital, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• Analysts currently favor an Buy trajectory for BrightSpire Capital, with an average 1-year price target of $6.75, suggesting a potential 34.66% downside.

Overview of Peer Analysis

The peer analysis summary presents essential metrics for and BrightSpire Capital, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

Rithm Capital outperforms its peers in revenue growth and gross profit, ranking at the top for both metrics. However, it lags behind in return on equity, placing in the middle compared to its peers.

All You Need to Know About Rithm Capital

Rithm Capital Corp operates as a real estate investment trust that provides capital and services to the real estate and financial services industries. The company aims to generate attractive risk-adjusted returns in all interest-rate environments through a complementary portfolio of investments and operating businesses. Its investment portfolio is composed of mortgage servicing-related assets (full and excess MSRs and servicer advances), residential securities (and associated call rights) loans (including single-family rental), and consumer loans. Its operating segments are Origination and Servicing; Investment Portfolio; Residential Transitional Lending; and Asset Management.

Breaking Down Rithm Capital's Financial Performance

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Revenue Growth: Rithm Capital's remarkable performance in 3 months is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 190.58%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Financials sector.

Net Margin: Rithm Capital's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 24.66% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 4.07%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Rithm Capital's ROA excels beyond industry benchmarks, reaching 0.6%. This signifies efficient management of assets and strong financial health.

Debt Management: Rithm Capital's debt-to-equity ratio is notably higher than the industry average. With a ratio of 5.02, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

To track all earnings releases for Rithm Capital visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.