RITM 📈 Rithm Capital - Overview

Rithm Capital Corp. is a diversified asset manager with a focus on real estate, credit, and financial services, operating through multiple segments including Origination and Servicing, Investment Portfolio, Mortgage Loans Receivable, and Asset Management. This structure allows the company to navigate various aspects of the financial industry, from originating and servicing loans to managing a broad investment portfolio. The portfolio itself is composed of a range of assets, including mortgage servicing rights (MSR) and MSR financing receivables, which are critical components in the mortgage lending process, as well as title, appraisal, and property preservation services that support the real estate transaction lifecycle.

The company's investments also encompass real estate securities, call rights, single-family rental (SFR) properties, and residential mortgage loans, which provide a mix of income generation and potential for long-term appreciation in value. Additionally, Rithm Capital Corp. invests in consumer and business purpose loans, further diversifying its portfolio and exposure to different market segments. Its role in asset management extends to managing investments on behalf of its clients, which can include a variety of financial instruments and real estate-related assets. This comprehensive approach positions Rithm Capital Corp. as a significant player in the asset management and real estate investment trust (REIT) sector.

As a REIT, Rithm Capital Corp. is eligible for special tax considerations, notably the ability to avoid federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. This tax efficiency is a key benefit for investors, as it allows for a higher proportion of the company's earnings to be passed through to them. The company, formerly known as New Residential Investment Corp., underwent a rebranding in August 2022, adopting the name Rithm Capital Corp. This change reflects the company's evolving strategy and focus on creating a rhythmic flow of value for its stakeholders. Incorporated in 2011 and headquartered in New York, New York, Rithm Capital Corp. is listed on the New York Stock Exchange (NYSE) under the ticker symbol RITM, with its common stock classified under the GICS Sub Industry of Asset Management & Custody Banks.