The earnings call reflects a company in a strong capital position with potential for growth through strategic investments and capital deployment. However, the undervalued stock, low earnings per share compared to dividends, and challenges with legacy assets present significant hurdles. The sentiment is mixed, with optimism about future growth countered by current financial challenges.
Company Guidance
During the Rithm Property Trust First Quarter 2025 Earnings Conference Call, Michael Nierenberg, CEO of Rithm Property Trust, provided guidance highlighting the company's strong financial position and future growth plans. He noted that the company currently holds approximately $300 million in equity and nearly $100 million in cash, having raised capital during the quarter. Rithm deployed $65 million in commercial real estate (CRE) debt, including $47 million in AAA CMBS bonds yielding around 11%. The company paid a $0.06 dividend per share, with total equity valued at $295 million and a GAAP book value of $5.40 per share, while the stock trades at about $2.85. Nierenberg emphasized the undervaluation of the stock and the potential for shareholder value creation. Rithm plans to grow earnings by strategically investing in high-yield opportunities and possibly involving third-party partners or M&A transactions to enhance scale.
Strong Capital Position
Rithm Property Trust is sitting on almost $100 million of cash after a capital raise, indicating a strong liquidity position.
Growth Potential
The company deployed $65 million in various CRE debt, including $47 million of AAA CMBS bonds with an approximately 11% yield, and a $35 million loan at SOFR plus $800 million on a midtown office building, expecting 12% to 13% unlevered return.
Undervalued Stock
The GAAP book value is $5.40 per share, but the current stock market trades at about $2.85, suggesting that the equity is extremely undervalued.
Successful Capital Raise
The company raised $52 million of capital through preferred equity issuance, aiming to grow earnings while being mindful of market volatility.
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Rithm Property Trust (RPT) Earnings, Revenues Date & History
The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
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RPT Earnings-Related Price Changes
Report Date
Price 1 Day Before
Price 1 Day After
Percentage Change
Apr 28, 2025
$2.84
$2.84
0.00%
Jan 30, 2025
$2.81
$3.02
+7.47%
Oct 21, 2024
$3.13
$3.13
0.00%
Jul 24, 2024
$3.64
$3.30
-9.34%
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
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FAQ
When does Rithm Property Trust (RPT) report earnings?
Rithm Property Trust (RPT) is schdueled to report earning on Jul 31, 2025, TBA Not Confirmed.
What is Rithm Property Trust (RPT) earnings time?
Rithm Property Trust (RPT) earnings time is at Jul 31, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.