Rithm (RITM) closed at $9.22 in the latest trading session, marking a +1.65% move from the prior day. This move outpaced the S&P 500's daily gain of 0.38%. Elsewhere, the Dow gained 0.02%, while the tech-heavy Nasdaq added 0.9%.
Coming into today, shares of the real estate investment trust had lost 1.31% in the past month. In that same time, the Finance sector gained 2.89%, while the S&P 500 gained 1.27%.
The upcoming earnings release of Rithm will be of great interest to investors. The company is expected to report EPS of $0.5, down 7.41% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $1.46 billion, indicating a 19.89% growth compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.23 per share and a revenue of $6.02 billion, signifying shifts of -5.11% and +37.48%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for Rithm. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.62% lower within the past month. At present, Rithm boasts a Zacks Rank of #4 (Sell).
Investors should also note Rithm's current valuation metrics, including its Forward P/E ratio of 4.07. This denotes a discount relative to the industry average Forward P/E of 10.88.
The Financial - Miscellaneous Services industry is part of the Finance sector. This group has a Zacks Industry Rank of 171, putting it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Rithm Capital Corp. (RITM): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).