RITM Stock Analysis: Rithm Capital | NYSE
REIT - Mortgage | NYSE, USA | Market Cap: 5.578m USD | 12M Return: -7.4% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 57.8M
EPS Trend: 87.3%
Qual. Beats: 1
Rev. Trend: 90.4%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Rithm Capital Corp. (NYSE: RITM) is a U.S.-based asset manager operating across real estate, credit, and financial services through three segments: Origination and Servicing, Residential Transitional Lending, and Asset Management and Investment Portfolio. Its investment portfolio includes single-family rental (SFR) properties, title and property preservation businesses, residential mortgage loans, real estate securities, collateralized loan obligations (CLOs), consumer loans, excess mortgage servicing rights (MSRs), and servicer advance investments.
The company originates both government-sponsored enterprise (GSE)/government-guaranteed loans and non-conforming loans, and operates a residential transitional lending business. Structured as a real estate investment trust (REIT), Rithm avoids federal corporate income tax by distributing at least 90% of its taxable income to shareholders. It was originally incorporated in 2011 as New Residential Investment Corp. and rebranded as Rithm Capital Corp. in August 2022.
Within the Financials sector and the Asset Management & Custody Banks sub-industry, Rithms model combines balance-sheet investing in mortgage-related and credit assets with third-party asset management activities. Mortgage servicing rights and servicer advance investments are common vehicles in this segment because they generate recurring fee income tied to the life of the underlying loans, complementing the more cyclical origination business.
- MSR portfolio valuations swing with mortgage rate volatility
- Mortgage origination volume pressured by elevated rates
- Asset management fees grow with third-party capital raises
| Net Income: 472.3m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.05 > 0.02 and ΔFCF/TA -5.49 > 1.0 |
| NWC/Revenue: -274.4% < 20% (prev -47.79%; Δ -226.6% < -1%) |
| CFO/TA -0.05 > 3% & CFO -2.46b > Net Income 472.3m |
| Net Debt (37.9b) to EBITDA (1.27b): 29.97 < 3 |
| Current Ratio: 0.14 > 1.5 & < 3 |
| Outstanding Shares: last quarter (568.3m) vs 12m ago 5.75% < -2% |
| Gross Margin: 79.71% > 18% (prev 93.33%; Δ -13.62% > 0.5%) |
| Asset Turnover: 11.50% > 50% (prev 11.90%; Δ -0.40% > 0%) |
| Interest Coverage Ratio: 0.58 > 6 (EBIT TTM 1.02b / Interest Expense TTM 1.75b) |
| A: -0.29 (Total Current Assets 2.45b - Total Current Liabilities 18.0b) / Total Assets 54.1b |
| B: -0.00 (Retained Earnings -226.4m / Total Assets 54.1b) |
| C: 0.02 (EBIT TTM 1.02b / Avg Total Assets 49.2b) |
| D: 0.19 (Book Value of Equity 8.52b / Total Liabilities 44.7b) |
| Altman-Z'' = -1.56 = D |
As of August 05, 2026, the stock is trading at USD 10.25 with a total of 7,713,429 shares traded. Over the past week, the price has changed by +4.81%, over one month by +11.05%, over three months by +9.25% and over the past year by -7.37%.
Current recommended Stop Loss: 9.70 (which is 5.4% or 2.2 ATR below the current price).
Rithm Capital has received a consensus analysts rating of 4.64. Therefore, it is recommended to buy RITM.
- StrongBuy: 7
- Buy: 4
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 13.2 | 28.8% |
P/E Trailing = 9.1651
P/E Forward = 4.4464
P/S = 1.3471
P/B = 0.7827
Revenue TTM = 5.66b USD
EBIT TTM = 1.02b USD
EBITDA TTM = 1.27b USD
Long Term Debt = 35.4b USD (from longTermDebt, last fiscal year)
Short Term Debt = 18.0b USD (from shortTermDebt, last quarter)
Debt = 40.4b USD (from shortLongTermDebtTotal, last quarter) + Leases 169.7m
Net Debt = 37.9b USD (calculated: Debt 40.4b - CCE 2.45b)
Enterprise Value = 43.5b USD (5.58b + Debt 40.4b - CCE 2.45b)
Interest Coverage Ratio = 0.58 (Ebit TTM 1.02b / Interest Expense TTM 1.75b)
EV/FCF = -17.70x (Enterprise Value 43.5b / FCF TTM -2.46b)
FCF Yield = -5.65% (FCF TTM -2.46b / Enterprise Value 43.5b)
FCF Margin = -43.46% (FCF TTM -2.46b / Revenue TTM 5.66b)
Net Margin = 8.35% (Net Income TTM 472.3m / Revenue TTM 5.66b)
Gross Margin = 79.71% ((Revenue TTM 5.66b - Cost of Revenue TTM 1.15b) / Revenue TTM)
Gross Margin QoQ = 63.81% (prev 68.80%)
Tobins Q-Ratio = 0.80 (Enterprise Value 43.5b / Total Assets 54.1b)
Interest Expense / Debt = 4.34% (Interest Expense 1.75b / Debt 40.4b)
Taxrate = 27.41% (187.6m / 684.3m)
NOPAT = 741.0m (EBIT 1.02b * (1 - 27.41%))
Current Ratio = 0.14 (Total Current Assets 2.45b / Total Current Liabilities 18.0b)
Debt / Equity = 4.74 (Debt 40.4b / totalStockholderEquity, last quarter 8.52b)
Debt / EBITDA = 29.97 (Net Debt 37.9b / EBITDA 1.27b)
Debt / FCF = -15.43 (negative FCF - burning cash) (Net Debt 37.9b / FCF TTM -2.46b)
Total Stockholder Equity = 8.51b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.96% (Net Income 472.3m / Total Assets 54.1b)
RoE = 5.55% (Net Income TTM 472.3m / Total Stockholder Equity 8.51b)
RoCE = 2.32% (EBIT 1.02b / Capital Employed (Equity 8.51b + L.T.Debt 35.4b))
RoIC = 1.38% (NOPAT 741.0m / Invested Capital 53.8b)
WACC = 3.79% (E(5.58b)/V(46.0b) * Re(8.40%) + D(40.4b)/V(46.0b) * Rd(4.34%) * (1-Tc(0.27)))
Discount Rate = 8.40% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 97.81 | Cagr: 7.20%
[DCF] Fair Price = unknown (Cash Flow -2.46b)
EPS Correlation: 87.31 | EPS CAGR: 7.09% | SUE: 1.58 | # QB: 1
Revenue Correlation: 90.39 | Revenue CAGR: 21.47% | SUE: -0.27 | # QB: 0
EPS current Quarter (2026-09-30): EPS=0.52 | Chg30d=-0.57% | Revisions=-25% | Analysts=3
EPS current Year (2026-12-31): EPS=2.30 | Chg30d=+1.74% | Revisions=-25% | GrowthEPS=-2.1% | GrowthRev=+28.8%
EPS next Year (2027-12-31): EPS=2.35 | Chg30d=-0.08% | Revisions=-25% | GrowthEPS=+2.2% | GrowthRev=+6.4%
[Analyst] Revisions Ratio: -50% (up=0, down=3)