READY CAPITAL CORP - RC 5 3/4 02/15/26 (RCC) Stock Fundamental Analysis
NYSE:RCC - US75574U6064
24.82 USD
+0.03 (+0.12%)
We assign a fundamental rating of 4 out of 10 to RCC. RCC was compared to 67 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. While RCC seems to be doing ok healthwise, there are quite some concerns on its profitability. While showing a medium growth rate, RCC is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year RCC has reported negative net income.
In the past year RCC had a positive cash flow from operations.
Of the past 5 years RCC 4 years were profitable.
RCC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a Return On Assets value of -3.42%, RCC is not doing good in the industry: 86.57% of the companies in the same industry are doing better.
RCC has a worse Return On Equity (-17.34%) than 83.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.42% | ||
| ROE | -17.34% | ||
| 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
The Gross Margin of RCC (8.53%) is worse than 80.60% of its industry peers.
In the last couple of years the Gross Margin of RCC has declined.
The Profit Margin and Operating Margin are not available for RCC so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 8.53% |
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
RCC does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, RCC has less shares outstanding
The number of shares outstanding for RCC has been increased compared to 5 years ago.
RCC has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.21, we must say that RCC is in the distress zone and has some risk of bankruptcy.
RCC has a Altman-Z score of 0.21. This is in the better half of the industry: RCC outperforms 79.10% of its industry peers.
RCC has a debt to FCF ratio of 25.14. This is a negative value and a sign of low solvency as RCC would need 25.14 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 25.14, RCC belongs to the best of the industry, outperforming 86.57% of the companies in the same industry.
A Debt/Equity ratio of 3.89 is on the high side and indicates that RCC has dependencies on debt financing.
RCC's Debt to Equity ratio of 3.89 is fine compared to the rest of the industry. RCC outperforms 61.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.89 | ||
| Debt/FCF | 25.14 | ||
| Altman-Z | 0.21 |
ROIC/WACCN/A
WACC7.17%
2.3 Liquidity
RCC has a Current Ratio of 1.05. This is a normal value and indicates that RCC is financially healthy and should not expect problems in meeting its short term obligations.
RCC's Current ratio of 1.05 is fine compared to the rest of the industry. RCC outperforms 70.15% of its industry peers.
RCC has a Quick Ratio of 1.05. This is a normal value and indicates that RCC is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of RCC (1.05) is better than 70.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
RCC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -160.00%.
The earnings per share for RCC have been decreasing by -49.62% on average. This is quite bad
RCC shows a decrease in Revenue. In the last year, the revenue decreased by -6.28%.
The Revenue has been growing by 20.46% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-160%
EPS 3Y-71.84%
EPS 5Y-49.62%
EPS Q2Q%-300%
Revenue 1Y (TTM)-6.28%
Revenue growth 3Y14.39%
Revenue growth 5Y20.46%
Sales Q2Q%-66.84%
3.2 Future
Based on estimates for the next years, RCC will show a very strong growth in Earnings Per Share. The EPS will grow by 111.61% on average per year.
RCC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.86% yearly.
EPS Next Y-48.5%
EPS Next 2Y102.98%
EPS Next 3Y111.61%
EPS Next 5YN/A
Revenue Next Year-12.57%
Revenue Next 2Y15.86%
Revenue Next 3YN/A
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 accelerating.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for RCC. In the last year negative earnings were reported.
A Price/Forward Earnings ratio of 120.49 indicates a quite expensive valuation of RCC.
RCC's Price/Forward Earnings ratio is rather expensive when compared to the industry. RCC is more expensive than 88.06% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.69, RCC is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 120.49 |
4.2 Price Multiples
RCC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.36 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A more expensive valuation may be justified as RCC's earnings are expected to grow with 111.61% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y102.98%
EPS Next 3Y111.61%
5. Dividend
5.1 Amount
RCC has a Yearly Dividend Yield of 11.74%, which is a nice return.
Compared to an average industry Dividend Yield of 11.13, RCC pays a bit more dividend than its industry peers.
RCC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.74% |
5.2 History
The dividend of RCC decreases each year by -4.21%.
RCC has been paying a dividend for over 5 years, so it has already some track record.
RCC 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
The earnings of RCC are negative and hence is the payout ratio. RCC will probably not be able to sustain this dividend level.
DP-52.39%
EPS Next 2Y102.98%
EPS Next 3Y111.61%
READY CAPITAL CORP - RC 5 3/4 02/15/26
NYSE:RCC (9/5/2025, 8:04:01 PM)
24.82
+0.03 (+0.12%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners64.08%
Inst Owner ChangeN/A
Ins Owners1.09%
Ins Owner ChangeN/A
Market Cap4.08B
Analysts47.5
Price Target29.07 (17.12%)
Short Float %0.01%
Short Ratio1.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.74% |
Yearly Dividend1.23
Dividend Growth(5Y)-4.21%
DP-52.39%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-612.77%
Min EPS beat(2)-1051.17%
Max EPS beat(2)-174.36%
EPS beat(4)0
Avg EPS beat(4)-389.82%
Min EPS beat(4)-1051.17%
Max EPS beat(4)-114.25%
EPS beat(8)1
Avg EPS beat(8)-208.67%
EPS beat(12)1
Avg EPS beat(12)-142.88%
EPS beat(16)3
Avg EPS beat(16)-104%
Revenue beat(2)0
Avg Revenue beat(2)-69.49%
Min Revenue beat(2)-73.9%
Max Revenue beat(2)-65.08%
Revenue beat(4)0
Avg Revenue beat(4)-40.85%
Min Revenue beat(4)-73.9%
Max Revenue beat(4)-10.88%
Revenue beat(8)0
Avg Revenue beat(8)-36.57%
Revenue beat(12)2
Avg Revenue beat(12)-1.68%
Revenue beat(16)6
Avg Revenue beat(16)33.14%
PT rev (1m)-6.64%
PT rev (3m)5.25%
EPS NQ rev (1m)-62.22%
EPS NQ rev (3m)-85.53%
EPS NY rev (1m)-88.46%
EPS NY rev (3m)-95.7%
Revenue NQ rev (1m)-15.74%
Revenue NQ rev (3m)-13.45%
Revenue NY rev (1m)-0.8%
Revenue NY rev (3m)-1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 120.49 | ||
| P/S | 5.42 | ||
| P/FCF | 14.36 | ||
| P/OCF | 14.33 | ||
| P/B | 2.22 | ||
| P/tB | 2.33 | ||
| EV/EBITDA | N/A |
EPS(TTM)-0.54
EYN/A
EPS(NY)0.21
Fwd EY0.83%
FCF(TTM)1.73
FCFY6.96%
OCF(TTM)1.73
OCFY6.98%
SpS4.58
BVpS11.17
TBVpS10.64
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.42% | ||
| ROE | -17.34% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 8.53% | ||
| FCFM | 37.75% |
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-Score5
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.89 | ||
| Debt/FCF | 25.14 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.09% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 0.21 |
F-Score5
WACC7.17%
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)-160%
EPS 3Y-71.84%
EPS 5Y-49.62%
EPS Q2Q%-300%
EPS Next Y-48.5%
EPS Next 2Y102.98%
EPS Next 3Y111.61%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.28%
Revenue growth 3Y14.39%
Revenue growth 5Y20.46%
Sales Q2Q%-66.84%
Revenue Next Year-12.57%
Revenue Next 2Y15.86%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-189.75%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-6.68%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-10.24%
OCF growth 3YN/A
OCF growth 5YN/A