READY CAPITAL CORP - RC 6.2 07/30/26 (RCB) Stock Fundamental Analysis
NYSE:RCB - New York Stock Exchange, Inc. - US75574U4085 - Currency: USD
RCB gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 65 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. RCB may be in some trouble as it scores bad on both profitability and health. RCB is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
RCB had positive earnings in the past year.
RCB had a positive operating cash flow in the past year.
RCB had positive earnings in 4 of the past 5 years.
Of the past 5 years RCB 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -4.47%, RCB is not doing good in the industry: 86.15% of the companies in the same industry are doing better.
RCB has a worse Return On Equity (-24.53%) than 95.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.47% | ||
| ROE | -24.53% | ||
| 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
Looking at the Gross Margin, with a value of 5.42%, RCB is doing worse than 92.31% of the companies in the same industry.
In the last couple of years the Gross Margin of RCB has declined.
RCB does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 5.42% |
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
RCB does not have a ROIC to compare to the WACC, probably because it is not profitable.
RCB has less shares outstanding than it did 1 year ago.
The number of shares outstanding for RCB has been increased compared to 5 years ago.
The debt/assets ratio for RCB is higher compared to a year ago.
2.2 Solvency
RCB has an Altman-Z score of 0.05. This is a bad value and indicates that RCB is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of RCB (0.05) is better than 66.15% of its industry peers.
RCB has a debt to FCF ratio of 29.34. This is a negative value and a sign of low solvency as RCB would need 29.34 years to pay back of all of its debts.
RCB has a Debt to FCF ratio of 29.34. This is in the better half of the industry: RCB outperforms 72.31% of its industry peers.
A Debt/Equity ratio of 3.97 is on the high side and indicates that RCB has dependencies on debt financing.
With a Debt to Equity ratio value of 3.97, RCB perfoms like the industry average, outperforming 56.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.97 | ||
| Debt/FCF | 29.34 | ||
| Altman-Z | 0.05 |
ROIC/WACCN/A
WACC7.2%
2.3 Liquidity
A Current Ratio of 0.18 indicates that RCB may have some problems paying its short term obligations.
With a Current ratio value of 0.18, RCB perfoms like the industry average, outperforming 47.69% of the companies in the same industry.
A Quick Ratio of 0.18 indicates that RCB may have some problems paying its short term obligations.
RCB has a Quick ratio (0.18) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
The earnings per share for RCB have decreased strongly by -95.80% in the last year.
Measured over the past years, RCB shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -49.62% on average per year.
RCB shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -21.55%.
The Revenue has been growing by 20.46% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-95.8%
EPS 3Y-71.84%
EPS 5Y-49.62%
EPS Q2Q%-111.54%
Revenue 1Y (TTM)-21.55%
Revenue growth 3Y14.39%
Revenue growth 5Y20.46%
Sales Q2Q%-4.73%
3.2 Future
Based on estimates for the next years, RCB will show a very strong growth in Earnings Per Share. The EPS will grow by 136.24% on average per year.
Based on estimates for the next years, RCB will show a quite strong growth in Revenue. The Revenue will grow by 8.64% on average per year.
EPS Next Y1194.85%
EPS Next 2Y274.67%
EPS Next 3Y136.24%
EPS Next 5YN/A
Revenue Next Year8.56%
Revenue Next 2Y8.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 488.20, which means the current valuation is very expensive for RCB.
Compared to the rest of the industry, the Price/Earnings ratio of RCB indicates a slightly more expensive valuation: RCB is more expensive than 72.31% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.22, RCB is valued quite expensively.
With a Price/Forward Earnings ratio of 37.70, RCB can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RCB indicates a rather expensive valuation: RCB more expensive than 84.62% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.86. RCB is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 488.2 | ||
| Fwd PE | 37.7 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RCB is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.79 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
RCB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as RCB's earnings are expected to grow with 136.24% in the coming years.
PEG (NY)0.41
PEG (5Y)N/A
EPS Next 2Y274.67%
EPS Next 3Y136.24%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 11.16%, RCB is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 14.18, RCB's dividend is way lower than its industry peers. On top of this 84.62% of the companies listed in the same industry pay a better dividend than RCB!
RCB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.16% |
5.2 History
The dividend of RCB decreases each year by -4.21%.
RCB has been paying a dividend for over 5 years, so it has already some track record.
RCB has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-4.21%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
RCB has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-45.5%
EPS Next 2Y274.67%
EPS Next 3Y136.24%
READY CAPITAL CORP - RC 6.2 07/30/26
NYSE:RCB (5/2/2025, 8:19:44 PM)
24.41
+0.09 (+0.37%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners62.47%
Inst Owner ChangeN/A
Ins Owners1.06%
Ins Owner ChangeN/A
Market Cap4.16B
Analysts47.5
Price Target29.27 (19.91%)
Short Float %0.01%
Short Ratio0.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.16% |
Yearly Dividend1.23
Dividend Growth(5Y)-4.21%
DP-45.5%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-166.87%
Min EPS beat(2)-219.49%
Max EPS beat(2)-114.25%
EPS beat(4)1
Avg EPS beat(4)-99.57%
Min EPS beat(4)-219.49%
Max EPS beat(4)7.41%
EPS beat(8)1
Avg EPS beat(8)-60.1%
EPS beat(12)1
Avg EPS beat(12)-41.81%
EPS beat(16)4
Avg EPS beat(16)-26.95%
Revenue beat(2)0
Avg Revenue beat(2)-12.21%
Min Revenue beat(2)-13.55%
Max Revenue beat(2)-10.88%
Revenue beat(4)0
Avg Revenue beat(4)-24.08%
Min Revenue beat(4)-42.26%
Max Revenue beat(4)-10.88%
Revenue beat(8)0
Avg Revenue beat(8)-27.33%
Revenue beat(12)4
Avg Revenue beat(12)24.68%
Revenue beat(16)8
Avg Revenue beat(16)82.98%
PT rev (1m)1.57%
PT rev (3m)-0.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-41.67%
EPS NY rev (1m)0.92%
EPS NY rev (3m)-29.37%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.18%
Revenue NY rev (1m)-4.71%
Revenue NY rev (3m)-7.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 488.2 | ||
| Fwd PE | 37.7 | ||
| P/S | 5.06 | ||
| P/FCF | 15.79 | ||
| P/OCF | 15.7 | ||
| P/B | 2.25 | ||
| P/tB | 2.36 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.05
EY0.2%
EPS(NY)0.65
Fwd EY2.65%
FCF(TTM)1.55
FCFY6.33%
OCF(TTM)1.55
OCFY6.37%
SpS4.83
BVpS10.83
TBVpS10.32
PEG (NY)0.41
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.47% | ||
| ROE | -24.53% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 5.42% | ||
| FCFM | 32.04% |
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
ROICexcg growth 3YN/A
ROICexcg 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-Score4
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.97 | ||
| Debt/FCF | 29.34 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.17% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 | ||
| Altman-Z | 0.05 |
F-Score4
WACC7.2%
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)-95.8%
EPS 3Y-71.84%
EPS 5Y-49.62%
EPS Q2Q%-111.54%
EPS Next Y1194.85%
EPS Next 2Y274.67%
EPS Next 3Y136.24%
EPS Next 5YN/A
Revenue 1Y (TTM)-21.55%
Revenue growth 3Y14.39%
Revenue growth 5Y20.46%
Sales Q2Q%-4.73%
Revenue Next Year8.56%
Revenue Next 2Y8.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-493.99%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y526.45%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y385.89%
OCF growth 3YN/A
OCF growth 5YN/A