Ready Capital Set to Announce Q4 Earnings with Mixed Estimates
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6 days ago
0mins
Should l Buy RC?
Source: seekingalpha
- Earnings Announcement Date: Ready Capital is set to release its Q4 earnings on February 26 after market close, with a consensus EPS estimate of -$0.14, reflecting a staggering 366.7% year-over-year decline, indicating significant challenges to profitability.
- Revenue Expectations: The anticipated Q4 revenue stands at $130.63 million, representing a 69.5% year-over-year increase, yet the ongoing decline in profitability raises concerns about the sustainability of this growth in future performance.
- Historical Performance Review: Over the past two years, Ready Capital has only beaten EPS estimates 25% of the time and revenue estimates 38% of the time, highlighting the company's struggles to meet market expectations consistently.
- Estimate Revision Dynamics: In the last three months, EPS estimates have seen one upward revision and one downward revision, while revenue estimates experienced no upward revisions and one downward revision, reflecting a cautious market outlook on the company's future performance.
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Analyst Views on RC
Wall Street analysts forecast RC stock price to rise
3 Analyst Rating
0 Buy
2 Hold
1 Sell
Moderate Sell
Current: 2.060
Low
2.05
Averages
2.43
High
2.75
Current: 2.060
Low
2.05
Averages
2.43
High
2.75
About RC
Ready Capital Corporation is a multi-strategy real estate finance company that originates, acquires, finances and services lower-to-middle-market investor and owner-occupied commercial real estate loans. The Company specializes in loans backed by commercial real estate, including agency multifamily, investor, construction, and bridge as well as U.S. Small Business Administration loans under its Section 7(a) program. Its segments include LMM Commercial Real Estate and Small Business Lending. The LMM Commercial Real Estate segment originates lower-to-middle-market commercial real estate (LMM) loans across the full life cycle of an LMM property, including construction, bridge, stabilized and agency loan origination channels through its subsidiary, ReadyCap Commercial, LLC. The Small Business Lending segment acquires, originates and services owner-occupied loans guaranteed by the SBA under the SBA Section 7(a) Program through its subsidiary, ReadyCap Lending, LLC.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Liquidity Crunch Intensifies: The tightening liquidity issues faced by the company could impair its operational capabilities, particularly in the current economic climate where restricted financing channels may put the company at a competitive disadvantage.
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See More
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