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Rithm (RITM) Gains As Market Dips: What You Should Know

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Rithm (RITM - Free Report) closed at $8.89 in the latest trading session, marking a +1.48% move from the prior day. This move outpaced the S&P 500's daily loss of 0.38%. Elsewhere, the Dow gained 0.27%, while the tech-heavy Nasdaq lost 4.19%.

Prior to today's trading, shares of the real estate investment trust had gained 10.47% over the past month. This has outpaced the Finance sector's gain of 2.65% and the S&P 500's gain of 3.78% in that time.

Wall Street will be looking for positivity from Rithm as it approaches its next earnings report date. On that day, Rithm is projected to report earnings of $0.35 per share, which would represent year-over-year growth of 12.9%. Meanwhile, our latest consensus estimate is calling for revenue of $840.99 million, down 36.41% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $1.41 per share and revenue of $3.3 billion, which would represent changes of +7.63% and +2.36%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Rithm. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 3.69% higher within the past month. Rithm currently has a Zacks Rank of #3 (Hold).

Looking at its valuation, Rithm is holding a Forward P/E ratio of 6.23. This represents a discount compared to its industry's average Forward P/E of 8.83.

The Financial - Miscellaneous Services industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 185, which puts it in the bottom 27% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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