Ready Capital Corp (NYSE: RC)’s stock price has increased by 0.40 compared to its previous closing price of 9.90. However, the company has seen a 1.95% increase in its stock price over the last five trading sessions. Seeking Alpha reported 2023-11-16 that Mortgage REITs and BDCs had varying performances in Q3 2023, with agency mortgage REITs performing the worst and BDCs performing the best. Originator/servicer mREITs and RC outperformed their peers in terms of book value changes. Investors should focus on BDCs and preferred shares for long-term positions, as they generally have fewer dividend cuts.
Is It Worth Investing in Ready Capital Corp (NYSE: RC) Right Now?
Ready Capital Corp (NYSE: RC) has a price-to-earnings ratio of 4.29x that is above its average ratio. Additionally, the 36-month beta value for RC is 1.43. There are mixed opinions on the stock, with 3 analysts rating it as a “buy,” 1 rating it as “overweight,” 3 rating it as “hold,” and 0 rating it as “sell.”
The average price predicted by analysts for RC is $11.50, which is $1.56 above the current price. The public float for RC is 170.59M and currently, short sellers hold a 4.07% ratio of that float. The average trading volume of RC on November 17, 2023 was 1.06M shares.
RC’s Market Performance
RC stock saw an increase of 1.95% in the past week, with a monthly gain of 1.95% and a quarterly increase of -4.97%. The volatility ratio for the week is 2.87%, and the volatility levels for the last 30 days are 2.85% for Ready Capital Corp (RC). The simple moving average for the last 20 days is 2.35% for RC stock, with a simple moving average of -6.91% for the last 200 days.
Analysts’ Opinion of RC
Many brokerage firms have already submitted their reports for RC stocks, with BTIG Research repeating the rating for RC by listing it as a “Buy.” The predicted price for RC in the upcoming period, according to BTIG Research is $12 based on the research report published on October 23, 2023 of the current year 2023.
RC Trading at -1.70% from the 50-Day Moving Average
After a stumble in the market that brought RC to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -26.74% of loss for the given period.
Volatility was left at 2.85%, however, over the last 30 days, the volatility rate increased by 2.87%, as shares surge +3.63% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -6.99% lower at present.
During the last 5 trading sessions, RC rose by +2.36%, which changed the moving average for the period of 200-days by -26.02% in comparison to the 20-day moving average, which settled at $9.73. In addition, Ready Capital Corp saw -9.65% in overturn over a single year, with a tendency to cut further losses.
Reports are indicating that there were more than several insider trading activities at RC starting from Capasse Thomas E, who sale 26,623 shares at the price of $10.70 back on Aug 15. After this action, Capasse Thomas E now owns 0 shares of Ready Capital Corp, valued at $284,866 using the latest closing price.
NATHAN GILBERT E, the Director of Ready Capital Corp, purchase 3,841 shares at $11.05 during a trade that took place back on Mar 08, which means that NATHAN GILBERT E is holding 60,406 shares at $42,443 based on the most recent closing price.
Stock Fundamentals for RC
Current profitability levels for the company are sitting at:
- +73.56 for the present operating margin
- +87.97 for the gross margin
The net margin for Ready Capital Corp stands at +21.17. The total capital return value is set at 6.28, while invested capital returns managed to touch 2.14. Equity return is now at value 14.91, with 2.71 for asset returns.
Based on Ready Capital Corp (RC), the company’s capital structure generated 518.92 points at debt to equity in total, while total debt to capital is 83.84. Total debt to assets is 80.35, with long-term debt to equity ratio resting at 496.58. Finally, the long-term debt to capital ratio is 74.89.
When we switch over and look at the enterprise to sales, we see a ratio of 9.72, with the company’s debt to enterprise value settled at 0.88. The receivables turnover for the company is 10.54 and the total asset turnover is 0.08.
In conclusion, Ready Capital Corp (RC) has seen mixed performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.