READY CAPITAL CORP (RC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RC - US75574U1016 - REIT
2.191 USD
+0 (+0.05%)
RC gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. While RC seems to be doing ok healthwise, there are quite some concerns on its profitability. RC does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year RC has reported negative net income.
RC had a positive operating cash flow in the past year.
Of the past 5 years RC 4 years were profitable.
Of the past 5 years RC 4 years had a positive operating cash flow.
1.2 Ratios
RC has a worse Return On Assets (-3.93%) than 83.82% of its industry peers.
RC has a worse Return On Equity (-18.38%) than 85.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.93% | ||
| ROE | -18.38% | ||
| ROIC | N/A |
ROA(3y)-0.12%
ROA(5y)0.39%
ROE(3y)-0.69%
ROE(5y)2.85%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Gross Margin value of 17.50%, RC is not doing good in the industry: 73.53% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of RC has declined.
The Profit Margin and Operating Margin are not available for RC so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 17.5% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-50.56%
GM growth 5Y-31.49%
2. Health
2.1 Basic Checks
RC does not have a ROIC to compare to the WACC, probably because it is not profitable.
RC has less shares outstanding than it did 1 year ago.
RC has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, RC has a worse debt to assets ratio.
2.2 Solvency
RC has an Altman-Z score of -0.08. This is a bad value and indicates that RC is not financially healthy and even has some risk of bankruptcy.
RC's Altman-Z score of -0.08 is in line compared to the rest of the industry. RC outperforms 52.94% of its industry peers.
RC has a debt to FCF ratio of 12.72. This is a negative value and a sign of low solvency as RC would need 12.72 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 12.72, RC belongs to the best of the industry, outperforming 95.59% of the companies in the same industry.
RC has a Debt/Equity ratio of 3.49. This is a high value indicating a heavy dependency on external financing.
RC has a Debt to Equity ratio of 3.49. This is in the better half of the industry: RC outperforms 69.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | 12.72 | ||
| Altman-Z | -0.08 |
ROIC/WACCN/A
WACC6.52%
2.3 Liquidity
RC has a Current Ratio of 1.03. This is a normal value and indicates that RC is financially healthy and should not expect problems in meeting its short term obligations.
RC has a better Current ratio (1.03) than 79.41% of its industry peers.
RC has a Quick Ratio of 1.03. This is a normal value and indicates that RC is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.03, RC is in the better half of the industry, outperforming 79.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
The earnings per share for RC have decreased strongly by -452.94% in the last year.
Measured over the past years, RC shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -49.62% on average per year.
Looking at the last year, RC shows a decrease in Revenue. The Revenue has decreased by -8.20% in the last year.
Measured over the past years, RC shows a very strong growth in Revenue. The Revenue has been growing by 20.46% on average per year.
EPS 1Y (TTM)-452.94%
EPS 3Y-71.84%
EPS 5Y-49.62%
EPS Q2Q%-235.71%
Revenue 1Y (TTM)-8.2%
Revenue growth 3Y14.39%
Revenue growth 5Y20.46%
Sales Q2Q%-79.36%
3.2 Future
Based on estimates for the next years, RC will show a very negative growth in Earnings Per Share. The EPS will decrease by -47.91% on average per year.
The Revenue is expected to grow by 4.19% on average over the next years.
EPS Next Y-1984.9%
EPS Next 2Y-242.79%
EPS Next 3Y-47.91%
EPS Next 5YN/A
Revenue Next Year-28.95%
Revenue Next 2Y-2.81%
Revenue Next 3Y4.19%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for RC. In the last year negative earnings were reported.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for RC. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, RC is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.73 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as RC's earnings are expected to decrease with -47.91% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-242.79%
EPS Next 3Y-47.91%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 10.60%, RC is a good candidate for dividend investing.
In the last 3 months the price of RC has falen by -41.91%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
RC's Dividend Yield is comparable with the industry average which is at 10.99.
RC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.6% |
5.2 History
The dividend of RC decreases each year by -4.21%.
RC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-4.21%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of RC are negative and hence is the payout ratio. RC will probably not be able to sustain this dividend level.
RC's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP-41.28%
EPS Next 2Y-242.79%
EPS Next 3Y-47.91%
NYSE:RC (12/30/2025, 10:29:47 AM)
2.191
+0 (+0.05%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners63.07%
Inst Owner Change-9.19%
Ins Owners9.93%
Ins Owner Change0%
Market Cap355.23M
Revenue(TTM)770.37M
Net Income(TTM)-327.77M
Analysts46.67
Price Target3.76 (71.61%)
Short Float %19.63%
Short Ratio6.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.6% |
Yearly Dividend1.23
Dividend Growth(5Y)-4.21%
DP-41.28%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-868.96%
Min EPS beat(2)-1051.17%
Max EPS beat(2)-686.74%
EPS beat(4)0
Avg EPS beat(4)-506.63%
Min EPS beat(4)-1051.17%
Max EPS beat(4)-114.25%
EPS beat(8)1
Avg EPS beat(8)-291.42%
EPS beat(12)1
Avg EPS beat(12)-199.76%
EPS beat(16)2
Avg EPS beat(16)-149.18%
Revenue beat(2)0
Avg Revenue beat(2)-72.44%
Min Revenue beat(2)-79.8%
Max Revenue beat(2)-65.08%
Revenue beat(4)0
Avg Revenue beat(4)-58.08%
Min Revenue beat(4)-79.8%
Max Revenue beat(4)-13.55%
Revenue beat(8)0
Avg Revenue beat(8)-42.22%
Revenue beat(12)1
Avg Revenue beat(12)-21.31%
Revenue beat(16)5
Avg Revenue beat(16)14.46%
PT rev (1m)-4.84%
PT rev (3m)-17.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-636%
EPS NY rev (1m)-215.52%
EPS NY rev (3m)-187.74%
Revenue NQ rev (1m)-21.55%
Revenue NQ rev (3m)-33.16%
Revenue NY rev (1m)34.89%
Revenue NY rev (3m)-5.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.46 | ||
| P/FCF | 0.73 | ||
| P/OCF | 0.72 | ||
| P/B | 0.2 | ||
| P/tB | 0.21 | ||
| EV/EBITDA | N/A |
EPS(TTM)-1.2
EYN/A
EPS(NY)-0.49
Fwd EYN/A
FCF(TTM)3.02
FCFY137.87%
OCF(TTM)3.03
OCFY138.17%
SpS4.75
BVpS11
TBVpS10.45
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.93% | ||
| ROE | -18.38% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 17.5% | ||
| FCFM | 63.57% |
ROA(3y)-0.12%
ROA(5y)0.39%
ROE(3y)-0.69%
ROE(5y)2.85%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-50.56%
GM growth 5Y-31.49%
F-Score6
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.49 | ||
| Debt/FCF | 12.72 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.14% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | -0.08 |
F-Score6
WACC6.52%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)0.94%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-452.94%
EPS 3Y-71.84%
EPS 5Y-49.62%
EPS Q2Q%-235.71%
EPS Next Y-1984.9%
EPS Next 2Y-242.79%
EPS Next 3Y-47.91%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.2%
Revenue growth 3Y14.39%
Revenue growth 5Y20.46%
Sales Q2Q%-79.36%
Revenue Next Year-28.95%
Revenue Next 2Y-2.81%
Revenue Next 3Y4.19%
Revenue Next 5YN/A
EBIT growth 1Y-97.58%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y72.51%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y64.87%
OCF growth 3YN/A
OCF growth 5YN/A
READY CAPITAL CORP / RC FAQ
What is the ChartMill fundamental rating of READY CAPITAL CORP (RC) stock?
ChartMill assigns a fundamental rating of 3 / 10 to RC.
Can you provide the valuation status for READY CAPITAL CORP?
ChartMill assigns a valuation rating of 2 / 10 to READY CAPITAL CORP (RC). This can be considered as Overvalued.
What is the profitability of RC stock?
READY CAPITAL CORP (RC) has a profitability rating of 1 / 10.
What is the expected EPS growth for READY CAPITAL CORP (RC) stock?
The Earnings per Share (EPS) of READY CAPITAL CORP (RC) is expected to decline by -1984.9% in the next year.
How sustainable is the dividend of READY CAPITAL CORP (RC) stock?
The dividend rating of READY CAPITAL CORP (RC) is 4 / 10 and the dividend payout ratio is -41.28%.