Rithm: This Time, I Agree With Wall Street

Sensor UnlimitedInvesting GroupFollow5ShareSavePlay(9min)CommentsSummaryRithm Capital (RITM) is executing a successful transition from a mortgage REIT to a diversified global alternative asset manager.RITM delivered a 19% EAD return on equity for FY25, with normalized EPS of $0.74 beating consensus by over 23%.Yet the market still values its book value with a large discount following the traditional mREIT model.The stock also offers double-digit yield of 10.45%, and the payout remains well-covered given its EAD and ROE.Looking for a helping hand in the market? Members of Envision Early Retirement get exclusive ideas and guidance to navigate any climate. Learn More » BobHemphill/iStock via Getty Images RITM stock is loved by Wall Street I last analyzed Rithm Capital (NYSE:RITM) stock on Jan 8, 2026. That article focused on the normalization of the yield curve and rated RITM as a buy. Since then, there have beenThis article was written bySensor Unlimited10.71K FollowersFollowSensor Unlimited is an economist by training with a PhD, with a focus on financial economics. She is a quantitative modeler and for the past decade she has been covering the mortgage market, commercial market, and the banking industry. She writes about asset allocation and ETFs, particularly those related to the overall market, bonds, banking and financial sectors, and housing markets. Sensor Unlimited contributes to the investing group Envision Early Retirement which is led by Sensor Unlimited. They offer proven solutions to generate both high income and high growth with isolated risks through dynamic asset allocation. Features include: two model portfolios - one for short-term survival/withdrawal and one for aggressive long-term growth, direct access via chat to discuss ideas, monthly updates on all holdings, tax discussions, and ticker critiques by request. Learn More.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.