Assessing Rithm Capital: Insights From 5 Financial Analysts

Rithm Capital RITM has been analyzed by 5 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $13.5, a high estimate of $14.00, and a low estimate of $12.50. This upward trend is apparent, with the current average reflecting a 3.85% increase from the previous average price target of $13.00.

Decoding Analyst Ratings: A Detailed Look

The standing of Rithm Capital among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Rithm Capital. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Rithm Capital compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Rithm Capital's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Rithm Capital analyst ratings.

Get to Know Rithm Capital Better

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.

Rithm Capital: Financial Performance Dissected

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 revenue growth over a period of 3M has faced challenges. As of 31 March, 2025, the company experienced a revenue decline of approximately -36.9%. This indicates a decrease in the company's top-line earnings. When compared to others in the Financials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 7.41%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Rithm Capital's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 0.56%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): Rithm Capital's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 0.08%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Rithm Capital's debt-to-equity ratio surpasses industry norms, standing at 4.94. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

What Are Analyst Ratings?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.

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