Ready Capital Corp (NYSE:RC) Receives Consensus Recommendation of “Reduce” from Brokerages

Ready Capital Corp (NYSE:RC) has earned an average recommendation of “Reduce” from the six research firms that are currently covering the firm, Marketbeat reports. Three analysts have rated the stock with a sell recommendation and three have issued a hold recommendation on the company. The average 1-year price objective among analysts that have issued a report on the stock in the last year is $2.6250.

Several analysts recently issued reports on RC shares. Weiss Ratings reissued a “sell (e+)” rating on shares of Ready Capital in a research note on Tuesday, June 2nd. Zacks Research lowered Ready Capital from a “hold” rating to a “strong sell” rating in a research report on Monday, July 6th. Finally, UBS Group dropped their price objective on Ready Capital from $2.50 to $2.00 and set a “neutral” rating for the company in a report on Thursday, July 16th.

Ready Capital Price Performance

Shares of Ready Capital stock opened at $1.44 on Friday. The firm has a market cap of $237.09 million, a PE ratio of -0.45 and a beta of 1.43. Ready Capital has a 12-month low of $1.39 and a 12-month high of $4.46. The company has a quick ratio of 1.60, a current ratio of 1.60 and a debt-to-equity ratio of 0.95. The company’s fifty day simple moving average is $1.66 and its two-hundred day simple moving average is $1.79.

Ready Capital (NYSE:RC) last released its quarterly earnings data on Thursday, May 7th. The real estate investment trust reported ($0.33) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.15) by ($0.18). The firm had revenue of $130.55 million during the quarter, compared to analysts’ expectations of $68.67 million. Ready Capital had a negative net margin of 102.10% and a negative return on equity of 14.69%. As a group, equities analysts expect that Ready Capital will post -0.94 EPS for the current year.

Ready Capital Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, July 31st. Stockholders of record on Tuesday, June 30th were paid a dividend of $0.01 per share. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $0.04 annualized dividend and a dividend yield of 2.8%. Ready Capital’s payout ratio is -1.26%.

Institutional Trading of Ready Capital

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Private Management Group Inc. boosted its holdings in Ready Capital by 197.0% in the fourth quarter. Private Management Group Inc. now owns 4,806,088 shares of the real estate investment trust’s stock valued at $10,477,000 after acquiring an additional 3,188,135 shares in the last quarter. Invesco Ltd. raised its holdings in Ready Capital by 21.2% in the 3rd quarter. Invesco Ltd. now owns 4,239,678 shares of the real estate investment trust’s stock worth $16,408,000 after purchasing an additional 742,226 shares in the last quarter. Geode Capital Management LLC raised its holdings in Ready Capital by 1.5% in the 4th quarter. Geode Capital Management LLC now owns 3,725,675 shares of the real estate investment trust’s stock worth $8,123,000 after purchasing an additional 53,592 shares in the last quarter. Charles Schwab Investment Management Inc. lifted its position in shares of Ready Capital by 14.1% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 3,249,324 shares of the real estate investment trust’s stock worth $7,084,000 after purchasing an additional 402,173 shares during the period. Finally, UBS Group AG lifted its position in shares of Ready Capital by 161.4% in the 4th quarter. UBS Group AG now owns 3,155,403 shares of the real estate investment trust’s stock worth $6,879,000 after purchasing an additional 1,948,208 shares during the period. Hedge funds and other institutional investors own 55.87% of the company’s stock.

Ready Capital Company Profile

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.