Reviewing Rithm Property Trust (RPT) and Its Competitors

Rithm Property Trust (NYSE:RPT) is one of 52 publicly-traded companies in the “Mortgage Real Estate Investment Trusts (REITs)” industry, but how does it contrast to its peers? We will compare Rithm Property Trust to related businesses based on the strength of its dividends, risk, profitability, analyst recommendations, earnings, institutional ownership and valuation.

Profitability

This table compares Rithm Property Trust and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rithm Property Trust	12.14%	2.58%	0.63%
Rithm Property Trust Competitors	-13.29%	7.67%	1.05%

Institutional and Insider Ownership

58.6% of Rithm Property Trust shares are held by institutional investors. Comparatively, 52.3% of shares of all “Mortgage Real Estate Investment Trusts (REITs)” companies are held by institutional investors. 0.4% of Rithm Property Trust shares are held by insiders. Comparatively, 4.8% of shares of all “Mortgage Real Estate Investment Trusts (REITs)” companies are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Dividends

Rithm Property Trust pays an annual dividend of $1.44 per share and has a dividend yield of 13.3%. Rithm Property Trust pays out 960.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Mortgage Real Estate Investment Trusts (REITs)” companies pay a dividend yield of 17.4% and pay out -110.1% of their earnings in the form of a dividend. Rithm Property Trust lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Risk and Volatility

Rithm Property Trust has a beta of 1.26, meaning that its stock price is 26% more volatile than the S&P 500. Comparatively, Rithm Property Trust’s peers have a beta of 1.21, meaning that their average stock price is 21% more volatile than the S&P 500.

Earnings & Valuation

This table compares Rithm Property Trust and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Rithm Property Trust	$52.80 million	$1.47 million	72.27
Rithm Property Trust Competitors	$762.88 million	$157.00 million	18.18

Rithm Property Trust’s peers have higher revenue and earnings than Rithm Property Trust. Rithm Property Trust is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a breakdown of current ratings and price targets for Rithm Property Trust and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rithm Property Trust	1	0	1	0	2.00
Rithm Property Trust Competitors	691	1993	2139	136	2.35

Rithm Property Trust currently has a consensus target price of $13.50, indicating a potential upside of 24.54%. As a group, “Mortgage Real Estate Investment Trusts (REITs)” companies have a potential upside of 55.60%. Given Rithm Property Trust’s peers stronger consensus rating and higher possible upside, analysts clearly believe Rithm Property Trust has less favorable growth aspects than its peers.

Summary

Rithm Property Trust peers beat Rithm Property Trust on 10 of the 15 factors compared.

About Rithm Property Trust

Rithm Property Trust, Inc. is a real estate investment trust focused on acquiring and managing real estate-related assets. Its portfolio centers on mortgage loans and other investments tied to residential and commercial real estate. The company was formerly known as Great Ajax Corp. and is externally managed by an affiliate of Rithm Capital. Its investments and operations are primarily focused on the U.S. real estate market.