RITM NYSE Russell 1000 Earnings call
Rithm Capital (RITM) · Q2 2026 results and valuation
Share price: $9.21 · 2026-11-11
Results Q2 2026 vs Q1 2026 · previous quarter · published 28 Jul 2026 and 28 Apr 2026
Net income down 45.2% on the previous quarter. Management sounded restrained, in its script and in answers to analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
−45.2%
Net income vs Q1 2026
Outlook given
Net income 56.3M vs 102.7M
Revenue −7.1%
Against the same quarter last year (Q2 2025) it is −81.9%, so it is not just seasonal.
2 · How management spoke
Restrained
Less upbeat than 72% of company calls
Answers to analysts: typical, in line with the script.
Similar to last call.
3 · What stood out
Key theme
The weighted average initial rent reached approximately $100 per square, which reflects improving leasing fundamentals in the San Francisco portfolio.
Valuation
Is Rithm Capital undervalued?
Reverse DCF on net income from the last full fiscal year (no meaningful free cash flow: a bank, insurer or a year of negative cash flow) (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
The projected cash flow doesn't cover the debt, so the price is far above the model's fair value.
Current price
$9.21
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+24.8% for 10 yrs
Fair value / share
$-51.66
Buy below
$-38.75
Price vs fair value
n/a
Price vs buy-below price
n/a
Read between the lines
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Guidance
Full-year mortgage loan origination guidance is about $65 billion.
Source quote
“This year, we project to originate about $65 billion in mortgage loans.”
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Guidance
RITM updated its guidance to expect a purchase or sale price of roughly $55 million to $60 million.
Source quote
“We expect to realize a purchase price or a sale price on that of roughly $55 million to $60 million.”
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Figure
Rithm Capital has a new Fed chair -- likelihood of higher rates for longer which plays extremely well for its business…
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“And our expense initiatives continue to deliver operational leverage to further reduce our cost per loan, currently 1/3 below industry average and forecasted to be 50% below industry average post-Valon...”
“Co-issue MSR acquisitions came in at $5 billion, up 45% quarter-over-quarter as we continue to expand our momentum on MSR growth.”
“Conservative risk and liquidity positioning are the core tenets of the platform, and where we stand today, we've the team has taken the risk down based on some of the...”
Full figures
USD · SEC EDGAR XBRL (10-Q, period end 2026-06-30)
| Metric | Q2 2026period end 2026-06-30 | Q1 2026period end 2026-03-31 | Change | Q2 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 1.28B | 1.38B | −7.1% | 1.22B | +5.1% |
| Operating income | 86.9M | 154.2M | −43.7% | 306.4M | −71.6% |
| Net income | 56.3M | 102.7M | −45.2% | 311.7M | −81.9% |
| EPS | 0.04 | 0.12 | −66.7% | 0.53 | −92.5% |
| P/E today 14.6 | 15.7 | 8.7 | +7.0 | 8.7 | +7.0 |
Topics
Most discussed now
- Results were driven by Rithm Capital's disciplined origination strategies, higher servicing fees and despite interest rate volatility…
- The quality of its portfolio, coupled with its planned significant investments alongside its partners, will ensure Rithm Capital continues…
- Rithm Capital is making great progress on its plans, the specifics of which are generating excitement in its 2 markets and...
- I pointed out earlier, Rithm Capital acquired this company from Goldman's Merchant Bank going back to 2022.
- Like I said earlier, you make money in this business, particularly on the real estate side, when you buy quality...
Faded since Q1 2026
- Fading When I look at its business, Rithm Capital feels really good.
- Fading The Elecor properties team is energized and working hard to execute on Rithm Capital's exciting plans.
- Fading When you look at Rithm Capital's business, the Genesis business today is roughly 35% to 40% multifamily origination.
- Fading Since the inception of its platform, Rithm Capital has grown its originations market share 8x and its servicing market share 6x,...
Latest announcements
Official filings, newest first.
- Results of operations · SEC 8-K
- Director or officer change; Shareholder vote results · SEC 8-K
- Material agreement; New financial obligation · SEC 8-K
- Other events · SEC 8-K
- Other events · SEC 8-K
- Results of operations · SEC 8-K
- Results of operations · SEC 8-K
- Change to shareholder rights; Articles or bylaws amended · SEC 8-K