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Rithm Capital's Q1 Earnings Test: Will Asset Management Stall Growth?
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Key Takeaways
Rithm Capital will report Q1 2026 results on April 28, with EPS expected at 53 cents on $1.27B revenues.
RITM's Origination & Servicing segment may benefit as Newrez profitability strengthens expectations.
Rithm Capital's asset management revenue is seen up 33.8%, but pre-tax income is forecast to drop.
Global asset manager Rithm Capital Corp. (RITM - Free Report) is set to report first-quarter 2026 results on April 28, 2026, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at 53 cents per shareon revenues of $1.27 billion.
The first-quarter earnings estimate witnessed one upward revision against no downward movement over the past 60 days. The bottom-line projection indicates 1.9% growth from the year-ago level. Meanwhile, the Zacks Consensus Estimate for quarterly revenues suggests a year-over-year jump of 65%.
Image Source: Zacks Investment Research
For full-year 2026, the Zacks Consensus Estimate for Rithm Capital’s revenues is pegged at $5.32 billion, implying growth of 21.5% year over year. Nevertheless, the consensus mark for the 2026 EPS is pegged at $2.31, indicating a 1.7% year-over-year decline.
Rithm Capital beat the consensus estimate in each of the last four quarters, with the average surprise being 14%.
Our proven model does not conclusively predict an earnings beat for RITM this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. That is not the case here, as you will see below.
RITM has an Earnings ESP of -2.86% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
What’s Shaping Rithm Capital’s Q1 Results?
The growing profitability of its Newrez business is likely to have aided its Origination & Servicing segment. The Zacks Consensus Estimate for first-quarter net gain on originated residential mortgage loans indicates a 53% year-over-year jump. Moreover, the Zacks Consensus Estimate for first-quarter Origination & Servicing pre-tax income suggests a 234.6% year-over-year surge.
The Zacks Consensus Estimate for totalasset management revenues is pegged at $129.9 million, up 33.8% year over year. However, the consensus mark for asset managementpre-tax income indicates 73.6% deterioration from a year ago.
The Zacks Consensus Estimate for first-quarter interest income indicates 10.7% year-over-year growth. The consensus mark for other revenues implies a 36.2% year-over-year decline.
Stocks That Warrant a Look
While an earnings beat looks uncertain for Rithm Capital, here are some companies from the broader Finance space that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this time around:
The Zacks Consensus Estimate for Cboe Global’s bottom line for the to-be-reported quarter is pegged at $3.19 per share, a 27.6% jump from a year ago. The consensus estimate for Cboe Global’s revenues is pegged at $679.01 million, a 20.1% year-over-year jump.
FrontView REIT, Inc. (FVR - Free Report) has an Earnings ESP of +0.79% and a Zacks Rank #2.
The Zacks Consensus Estimate for FrontView’s bottom line for the to-be-reported quarter is pegged at 32 cents per share, which remained stable over the past week and indicates 6.7% year-over-year growth. The consensus estimate for FrontView’s revenues is pegged at $17.65 million, an 8.7% increase from a year ago.
WisdomTree, Inc. (WT - Free Report) has an Earnings ESP of +4.17% and a Zacks Rank of 3.
The Zacks Consensus Estimate for WisdomTree’s bottom line for the to-be-reported quarter is pegged at 24 cents per share, which indicates 50% year-over-year jump. The consensus estimate for WisdomTree’s revenues is pegged at $155.63 million, a 44% increase from a year ago.
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Rithm Capital's Q1 Earnings Test: Will Asset Management Stall Growth?
Key Takeaways
Global asset manager Rithm Capital Corp. (RITM - Free Report) is set to report first-quarter 2026 results on April 28, 2026, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at 53 cents per shareon revenues of $1.27 billion.
The first-quarter earnings estimate witnessed one upward revision against no downward movement over the past 60 days. The bottom-line projection indicates 1.9% growth from the year-ago level. Meanwhile, the Zacks Consensus Estimate for quarterly revenues suggests a year-over-year jump of 65%.
For full-year 2026, the Zacks Consensus Estimate for Rithm Capital’s revenues is pegged at $5.32 billion, implying growth of 21.5% year over year. Nevertheless, the consensus mark for the 2026 EPS is pegged at $2.31, indicating a 1.7% year-over-year decline.
Rithm Capital beat the consensus estimate in each of the last four quarters, with the average surprise being 14%.
Rithm Capital Corp. Price and EPS Surprise
Rithm Capital Corp. price-eps-surprise | Rithm Capital Corp. Quote
Q1 Earnings Whispers for Rithm Capital
Our proven model does not conclusively predict an earnings beat for RITM this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the chances of an earnings beat. That is not the case here, as you will see below.
RITM has an Earnings ESP of -2.86% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
What’s Shaping Rithm Capital’s Q1 Results?
The growing profitability of its Newrez business is likely to have aided its Origination & Servicing segment. The Zacks Consensus Estimate for first-quarter net gain on originated residential mortgage loans indicates a 53% year-over-year jump. Moreover, the Zacks Consensus Estimate for first-quarter Origination & Servicing pre-tax income suggests a 234.6% year-over-year surge.
The Zacks Consensus Estimate for total asset management revenues is pegged at $129.9 million, up 33.8% year over year. However, the consensus mark for asset management pre-tax income indicates 73.6% deterioration from a year ago.
The Zacks Consensus Estimate for first-quarter interest income indicates 10.7% year-over-year growth. The consensus mark for other revenues implies a 36.2% year-over-year decline.
Stocks That Warrant a Look
While an earnings beat looks uncertain for Rithm Capital, here are some companies from the broader Finance space that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this time around:
Cboe Global Markets, Inc. (CBOE - Free Report) has an Earnings ESP of +4.89% and a Zacks Rank of 1. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Cboe Global’s bottom line for the to-be-reported quarter is pegged at $3.19 per share, a 27.6% jump from a year ago. The consensus estimate for Cboe Global’s revenues is pegged at $679.01 million, a 20.1% year-over-year jump.
FrontView REIT, Inc. (FVR - Free Report) has an Earnings ESP of +0.79% and a Zacks Rank #2.
The Zacks Consensus Estimate for FrontView’s bottom line for the to-be-reported quarter is pegged at 32 cents per share, which remained stable over the past week and indicates 6.7% year-over-year growth. The consensus estimate for FrontView’s revenues is pegged at $17.65 million, an 8.7% increase from a year ago.
WisdomTree, Inc. (WT - Free Report) has an Earnings ESP of +4.17% and a Zacks Rank of 3.
The Zacks Consensus Estimate for WisdomTree’s bottom line for the to-be-reported quarter is pegged at 24 cents per share, which indicates 50% year-over-year jump. The consensus estimate for WisdomTree’s revenues is pegged at $155.63 million, a 44% increase from a year ago.