
RC Stock Forecast & Price Target
RC Analyst Ratings
Bulls say
Ready Capital Corp has demonstrated a significant capacity for revenue generation through its recent sale of $494 million in multifamily bridge loans, resulting in net proceeds of $85 million, which included the repayment of leverage on the portfolio. While non-accrual loans increased to 88.4% from 85.1%, management has identified select opportunities and an improving environment for increased originations, suggesting potential for revenue growth moving forward. Furthermore, despite the rise in non-accrual loans, the majority of its revenue still stems from the LMM Commercial Real Estate segment, which may provide a stabilizing effect amidst current challenges.
Bears say
Ready Capital Corp is facing a downward trend in cash yield, which decreased to 5.3% from 5.7% in the previous quarter, indicating reduced income generation efficiency. Additionally, the company's tangible book value (TBV) is projected to decline significantly to $9.40 by the end of 2025, down from $10.14 in the second quarter, reflecting a 2% quarter-over-quarter drop and a substantial 20% year-over-year decrease. Lastly, various risk factors, including potential credit deterioration, challenges in financing availability, and lower-than-expected loan originations, underscore the company's vulnerability and contribute to a negative outlook on its financial stability.
This aggregate rating is based on analysts' research of Ready Capital Corp and is not a guaranteed prediction by Public.com or investment advice.
RC Analyst Forecast & Price Prediction
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