Rithm Capital Lifts Quarterly Dividend 44% to $0.36 a Share
RITM is trading near its 52-week low of $8.31 (5.3% above the low).
Summary
Rithm raised its quarterly dividend 44% to $0.36 a share, a meaningful payout increase for a mortgage REIT trading near $8.75. The new rate implies roughly $1.44 annualized, well covered by Q2 distributable earnings of $0.60 per share reported in July. That coverage matters because Q2 GAAP net income was only $20.2M, or $0.04 a share, down sharply from $283.9M a year earlier as expenses jumped, and book value per share sits at $12.33. The hike tells you management expects distributable earnings to hold up despite the weak GAAP print.
At the time of this announcement, RITM was trading at $8.75 on NYSE in the Finance sector, with a market capitalization of approximately $4.8B. The 52-week trading range was $8.31 to $12.15. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Seeking Alpha.