Rithm Capital Target Cut to $15 by UBS, Piper Sandler; Q4 Revenue Tops $1.29B
UBS cut its price target on Rithm Capital to $15 from $16 and Piper Sandler trimmed its target to $15 from $15.50, both keeping bullish ratings. Fourth-quarter revenue reached $1.29 billion versus $1.24 billion consensus, with 19% return on equity and over $100 billion in investable assets after recent acquisitions.
1. Analyst Ratings and Target Adjustments
On February 6, UBS reduced its price target on Rithm Capital to $15 from $16 while retaining a Buy rating, following Piper Sandler’s adjustment to $15 from $15.50 with an Overweight rating on February 4.
2. Fourth-Quarter Financial Performance
Rithm Capital reported fourth-quarter revenue of $1.29 billion, surpassing the $1.24 billion consensus estimate and demonstrating solid core earnings performance that bolstered analyst confidence despite the target reductions.
3. Strategic Progress and Asset Expansion
Management highlighted 2025 as a year of strategic progress, citing a 19% return on equity and the acquisitions of Crestline and Paramount Group, which expanded its alternative asset management platform to over $100 billion in investable assets and underpinned durable momentum.