Stock analysis · Bull Rankings model

RITM analysis

Rithm Capital Corp.REIT - Mortgage. Scored on the same transparent 7-signal model behind the daily rankings.

RITM
Rithm Capital Corp. · REIT - Mortgage
Yield10.9%C+
Rev-4.9%D+
D/E4.23C
77.8REIT strength
$9.23$5.2B
1Y Target$13.20Analyst consensus · 10 analysts
5Y Target$16.66Compound horizon
10Y Target$21.37Long-dated conviction
Yield10.9%
C+
Yield 10.9% — unusually high; verify the payout is sustainable · REITs are valued on FFO / AFFO, which our data source doesn't provide — we grade income, growth, and sector-relative leverage instead.
Rev-4.9%
D+
Revenue -4.9% — shrinking; needs a catalyst to reverse
D/E4.23
C
D/E 4.23 — more levered than most Real Estate peers (≈90th pctile)

Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.

Financial strength · 77.8 / 100
Profitability0.75
Value (P/B)0.99
Income0.56

A peer-relative read for reits on profitability (ROE, depreciation-adjusted), valuation, and covered income — the quality-growth (FCF/ROIC) screen doesn't apply to balance-sheet businesses. Not comparable to the 0–100 quality-growth score shown on other stocks.

Entry · Margin of safety
52-week rangeNear 52-week low
28% off the 12-month high
Why now
REIT - Mortgage · market cap $5.2b. Down 28% from 52-week high of $12.74 — deep drawdown territory. 10 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $13.20 (implying +43% upside).
Moat
Net margin 17% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent.
Risk
D/E 4.23 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Dividend payout 92% of earnings on a 10.9% yield — distribution coverage is thin; one earnings stumble could force a dividend cut.
Horizon
1-3 yr $13.20 (10-analyst consensus) — multiple re-rating thesis requires a catalyst. 5 yr $16.66 at ~13% CAGR — dividend + buyback compounding. 10 yr $21.37 if the moat survives secular pressure.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.

Not enough history yet — the model records RITM's score after each daily run, and the chart appears once a few days have accumulated.

Shares to buy
216
Position size
$1,994
4.0% of portfolio
Stop price
$6.92
25% below $9.23
$ at risk if stopped
$498.42
budget $500.00 · 1% of portfolio

Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.

Rithm Capital Corp. (RITM): score, valuation & FAQ

Rithm Capital Corp. (RITM) is a REIT - Mortgage company. As a bank, insurer or REIT it runs on a different financial model from the rest of the market, so Bull Rankings grades it on a sector-appropriate card — price-to-book, dividend yield, payout ratio and cash-flow coverage — rather than the 0–100 quality-growth score used elsewhere. The read below is a transparent screen, not a buy recommendation.

The model flags Rev (D+) as weaker areas.

Is RITM a good stock to buy?

Bull Rankings grades RITM on a sector-appropriate card — price-to-book, dividend yield, payout and cash-flow coverage — rather than a single quality-growth score. A score is a quantitative screen of Rithm Capital Corp.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

How does Bull Rankings grade RITM?

As a bank, insurer or REIT, RITM isn't given a quality-growth score — signals like free cash flow, debt-to-equity and P/E don't translate cleanly to a balance-sheet business. Instead it's graded on a sector-appropriate card: price-to-book, dividend yield, payout ratio and operating-cash-flow coverage and weakest on Rev (D+).

Is RITM overvalued or undervalued?

We don't compute a reliable discounted-cash-flow value for RITM — typically because it is not yet consistently profitable or free-cash-flow positive — so its valuation rests on growth and price-to-sales rather than on earnings-based intrinsic value. Judge it on the trajectory of the business, not a single multiple.

What are the main risks of investing in RITM?

D/E 4.23 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Dividend payout 92% of earnings on a 10.9% yield — distribution coverage is thin; one earnings stumble could force a dividend cut.

New to these metrics? The guides explain free cash flow, how the score works, and more in the learn hub — or run another name through the screener.

Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.

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