Ready Capital (NYSE:RC) Stock Price Up 3.8% – Should You Buy?

Ready Capital Co. (NYSE:RC)’s share price rose 3.8% during mid-day trading on Monday . The stock traded as high as $4.99 and last traded at $5.03. Approximately 639,576 shares traded hands during mid-day trading, a decline of 66% from the average daily volume of 1,891,700 shares. The stock had previously closed at $4.84.

Analyst Ratings Changes

RC has been the subject of a number of recent research reports. Wedbush reiterated a “neutral” rating and set a $6.00 price objective (down previously from $8.00) on shares of Ready Capital in a research report on Tuesday, March 4th. Keefe, Bruyette & Woods dropped their target price on shares of Ready Capital from $6.25 to $4.00 and set an “underperform” rating on the stock in a research report on Wednesday, March 5th. JMP Securities reduced their price target on shares of Ready Capital from $10.50 to $9.50 and set a “market outperform” rating for the company in a research report on Thursday, December 12th. Citizens Jmp downgraded shares of Ready Capital from an “outperform” rating to a “market perform” rating in a research note on Monday, March 3rd. Finally, B. Riley reaffirmed a “neutral” rating and issued a $10.00 target price (down previously from $12.00) on shares of Ready Capital in a research report on Tuesday, January 7th. One analyst has rated the stock with a sell rating, seven have assigned a hold rating and one has issued a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $7.50.

Ready Capital Stock Performance

The stock has a fifty day moving average price of $6.00 and a 200 day moving average price of $6.79. The company has a current ratio of 1.67, a quick ratio of 1.67 and a debt-to-equity ratio of 0.54. The firm has a market cap of $884.06 million, a price-to-earnings ratio of -7.35 and a beta of 1.43.

Ready Capital Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, April 30th. Stockholders of record on Monday, March 31st will be given a $0.125 dividend. This represents a $0.50 dividend on an annualized basis and a dividend yield of 9.72%. The ex-dividend date is Monday, March 31st. Ready Capital’s dividend payout ratio is -18.94%.

Insiders Place Their Bets

In other news, insider Adam Zausmer purchased 10,000 shares of the stock in a transaction that occurred on Friday, March 7th. The shares were purchased at an average cost of $5.42 per share, for a total transaction of $54,200.00. Following the completion of the purchase, the insider now directly owns 301,105 shares of the company’s stock, valued at approximately $1,631,989.10. The trade was a 3.44 % increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 1.09% of the company’s stock.

Institutional Trading of Ready Capital

Institutional investors and hedge funds have recently modified their holdings of the company. Charles Schwab Investment Management Inc. boosted its stake in Ready Capital by 21.3% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 2,266,585 shares of the real estate investment trust’s stock worth $15,458,000 after buying an additional 398,005 shares in the last quarter. Barclays PLC grew its stake in shares of Ready Capital by 205.9% in the 3rd quarter. Barclays PLC now owns 484,986 shares of the real estate investment trust’s stock valued at $3,699,000 after purchasing an additional 326,467 shares during the period. GraniteShares Advisors LLC acquired a new position in shares of Ready Capital in the 4th quarter worth approximately $2,480,000. JPMorgan Chase & Co. grew its position in Ready Capital by 50.5% in the third quarter. JPMorgan Chase & Co. now owns 336,773 shares of the real estate investment trust’s stock valued at $2,570,000 after acquiring an additional 112,934 shares during the period. Finally, Geode Capital Management LLC lifted its holdings in shares of Ready Capital by 4.1% during the third quarter. Geode Capital Management LLC now owns 3,838,284 shares of the real estate investment trust’s stock valued at $29,292,000 after acquiring an additional 150,479 shares during the period. 55.87% of the stock is currently owned by institutional investors.

About Ready Capital

Ready Capital Corporation operates as a real estate finance company in the United States. It operates through two segments: LMM Commercial Real Estate and Small Business Lending. The company originates, acquires, finances, and services lower-to-middle-market (LLM) commercial real estate loans, small business administration (SBA) loans, residential mortgage loans, construction loans, and mortgage-backed securities collateralized primarily by LLM loans, or other real estate-related investments.