Ready Capital Corporation
- Open
- 1.62
- Day high
- 1.64
- Day low
- 1.54
- Prev close
- 1.64
- Volume
- 1.3M
- Mkt cap
- $255M
- P/E (TTM)
- —
- EPS (TTM)
- —
- P/B
- 0.2
- P/S
- 0.8
- Yield
- 10.00%
- Per share
- $0.15
- ▲Insiders net buying $5K over the last 3 months (7 open-market buys, 2 sales)
- 🏛Institutions reducing (13F)
Ready Capital Corporation (RC) is a Real Estate company listed on NYSE. The stock is down 63% over the past year. Over the trailing 3 months, insiders filed 7 open-market buys and 2 sales (SEC Form 4).
Ready Capital Corporation (RC) financials & analyst ratings
Fundamentals (TTM)
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
RC earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 8, 2026 | $-0.15 | $-0.33 | -117.1% | $-63M | -191.9% |
| Nov 6, 2025 | $-0.24 | $-0.94 | -291.7% | $85M | +17.0% |
| Aug 7, 2025 | $-0.01 | $-0.14 | -1300.0% | $182M | +7.5% |
| May 8, 2025 | $0.12 | $-0.09 | -175.0% | $-74M | -135.7% |
| Mar 3, 2025 | $0.21 | $0.23 | +9.5% | $58M | -72.1% |
| Nov 8, 2024 | $0.23 | $0.25 | +8.7% | $56M | -75.5% |
| Feb 27, 2024 | $0.30 | $0.26 | -13.3% | $316M | +379.6% |
| Feb 27, 2023 | $0.41 | $0.42 | +2.4% | $92M | -42.2% |
| Aug 4, 2022 | $0.46 | $0.46 | +0.0% | $118M | -21.1% |
| May 5, 2022 | $0.56 | $0.52 | -7.1% | $129M | +24.3% |
| Feb 24, 2022 | $0.51 | $0.67 | +31.4% | $103M | +0.1% |
| Nov 4, 2021 | $0.46 | $0.64 | +39.1% | $105M | +123.1% |
RC insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Buy | 2,799 | $1.82 |
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Sell | 2,798 | $1.81 |
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Sell | 1 | $1.82 |
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Buy | 288 | $4.09 |
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Buy | 70 | $4.49 |
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Buy | 304 | $4.10 |
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Buy | 73 | $4.43 |
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Buy | 454 | $2.91 |
| Jun 2, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Buy | 111 | $3.00 |
| Mar 17, 2026 | Scali Dominickofficer: Chief Credit Officer | Grant | 350,000 | — |
| Mar 17, 2026 | Scali Dominickofficer: Chief Credit Officer | Grant | 194,175 | — |
| Mar 17, 2026 | Scali Dominickofficer: Chief Credit Officer | Tax | 26,313 | $1.74 |
| Mar 17, 2026 | Scali Dominickofficer: Chief Credit Officer | Grant | 1,050,000 | — |
| Mar 17, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Tax | 25,248 | $2.23 |
| Mar 17, 2026 | Ahlborn Andrewofficer: Chief Financial Officer | Tax | 27,950 | $1.74 |
Source: RC SEC Form 4 filings, latest Jun 2, 2026. For informational purposes only — not investment advice.
See the full RC insider & 13F page →Ready Capital Corporation company profile
Overview
Ready Capital Corporation (NYSE:RC) is a New York-based real estate finance company that was founded in 2007 and went public in 2013. Originally known as Sutherland Asset Management Corporation, the company rebranded to Ready Capital in September 2018. Ready Capital operates as a Real Estate Investment Trust (REIT) and has grown through both organic expansion and strategic acquisitions, including the notable merger with Broadmark Realty Capital and the pending UDF IV merger. The company has positioned itself as one of the largest non-bank commercial real estate lenders in the United States, with a diversified platform spanning commercial real estate lending, small business administration loans, and residential mortgage banking.
Business
Ready Capital operates as a real estate finance company that acquires, originates, manages, services, and finances various types of loans and real estate-related investments. The company operates through three primary business segments that serve different market needs. The Small Balance Commercial (SBC) Lending and Acquisitions segment represents the largest portion of the business, generating approximately 70-80% of total revenues. This division, operated through ReadyCap Commercial LLC, focuses on originating and acquiring commercial real estate loans typically ranging from $1 million to $75 million. These loans are secured by stabilized or transitional investor properties, with a heavy concentration in multifamily properties (approximately 78% of the portfolio), along with industrial, mixed-use, and office properties. The loans can be either bridge loans for transitional properties or permanent financing for stabilized assets. The Small Business Lending segment operates through ReadyCap Lending LLC and focuses on Small Business Administration (SBA) Section 7(a) loans, which are government-guaranteed loans to small businesses. Ready Capital has achieved the ranking of #1 non-bank SBA lender and #4 overall SBA lender nationally. This segment also includes USDA rural development loans and unsecured small business working capital loans. The SBA lending business has shown consistent growth, with annual origination volumes reaching $1.2 billion in 2024. The Residential Mortgage Banking segment, operated through GMFS LLC, originates residential mortgage loans for individual homebuyers. However, the company has been strategically exiting this business due to market conditions and is marketing its remaining mortgage servicing rights, expecting to generate approximately $40 million in net proceeds from this exit.
Revenue model
Ready Capital generates revenue through multiple complementary business models across its three segments. In the commercial real estate lending business, the company earns money primarily through net interest income - the spread between what it pays to borrow money (through securitizations, credit facilities, and other funding sources) and what it charges borrowers on loans. The company also generates fee income from loan origination, servicing, and asset management activities. The small business lending segment operates on a different model, generating revenue through gain-on-sale premiums when SBA loans are sold in the secondary market. Since SBA loans carry government guarantees, they can be sold to investors at premiums, typically around 10% of the loan amount. The company retains servicing rights on these loans, providing ongoing fee income. Ready Capital's customers include small to medium-sized real estate investors, property developers, and small business owners. The commercial real estate borrowers are typically investors seeking financing for multifamily properties, industrial facilities, or transitional properties requiring bridge financing. Small business borrowers are owner-operators seeking SBA-guaranteed loans for business acquisitions, expansions, or working capital needs. Several factors significantly impact the company's margins and profitability. Interest rate movements create both opportunities and challenges - rising rates can increase funding costs but also allow for higher loan pricing, while falling rates may compress spreads but stimulate loan demand. Credit quality and delinquencies directly impact earnings through loan loss provisions and non-performing asset management costs. The company's current 60-day plus delinquency rate of approximately 4% in its core portfolio demonstrates relatively stable credit performance. Competition from banks, other non-bank lenders, and capital markets affects loan pricing and origination volumes. Regulatory changes, particularly regarding SBA lending programs and REIT qualification requirements, can impact business operations and tax efficiency.
Competitive moat
Ready Capital's competitive moat is moderate but faces significant challenges in the current market environment. The company's primary advantages stem from its specialized expertise and established market positions rather than insurmountable barriers to entry. In the SBA lending space, Ready Capital has built a strong competitive position as the #1 non-bank lender, with established relationships, operational expertise, and technology platforms that create meaningful barriers for new entrants. The SBA lending business requires specialized knowledge of government programs, underwriting expertise, and established secondary market relationships that take years to develop. This segment has demonstrated consistent profitability and growth, contributing meaningful earnings stability. However, the company's commercial real estate lending moat is relatively weak. The CRE lending business is highly competitive with numerous banks, non-bank lenders, debt funds, and other financial institutions competing for similar deals. The company's loan products are largely commoditized, and competitive advantages primarily come from execution speed, relationship management, and cost of capital rather than unique product offerings. The company faces significant structural challenges that limit its moat strength. As a REIT, Ready Capital must distribute at least 90% of its taxable income, limiting its ability to retain capital for growth and creating dependence on external financing. The company's high leverage ratio (currently 3.5x) amplifies both returns and risks, making it vulnerable to credit cycles and market volatility. Potential disruption could come from several sources: large banks increasing their small balance commercial lending focus, fintech companies developing more efficient origination and servicing platforms, or changes in government policy affecting SBA lending programs. Additionally, the company's concentration in commercial real estate exposes it to sector-specific risks and economic cycles that could significantly impact performance.
Risks & safety
Ready Capital presents moderate to high financial risk with limited margin of safety, particularly given recent credit challenges and market volatility. • Liquidity and Solvency: Cash position of $206 million provides reasonable short-term liquidity, but the company carries substantial debt with a debt-to-equity ratio of 2.64x. Total liabilities of $7.9 billion against $10.0 billion in assets creates meaningful leverage risk. • Credit Quality Concerns: The company took $284 million in CECL and valuation allowances in Q4 2024, indicating significant credit deterioration. Non-core portfolio shows 36% 60-day delinquencies, though core portfolio maintains healthier 2% delinquency rates. • Valuation Metrics: Trading at 0.43x book value and 2.6x trailing earnings suggests market skepticism about asset quality and earnings sustainability. Book value per share declined 14% to $10.61 in 2024. • Dividend Coverage: Current quarterly dividend of $0.125 per share appears unsustainable based on recent distributable earnings of -$0.09 per share in Q1 2025, though management expects improvement through asset sales and operational changes. • Portfolio Concentration: Heavy concentration in commercial real estate (particularly multifamily) creates sector-specific risks during market downturns.
Recent development
Over the past few years, Ready Capital has undergone significant strategic repositioning in response to challenging commercial real estate market conditions. The company bifurcated its loan portfolio into core and non-core assets in 2024, with the core portfolio ($6 billion, 83% of total) consisting primarily of high-quality multifamily and industrial loans showing strong credit metrics, while the non-core portfolio ($1.2 billion) includes underperforming bridge loans and the Portland mixed-use asset acquired through foreclosure. The company has aggressively expanded its SBA lending business, achieving record origination volumes of $1.2 billion in 2024 and establishing itself as the #1 non-bank SBA lender. This growth was supported by strategic acquisitions including Madison One (a USDA lender) and the Funding Circle US platform, which enhanced the company's small business lending capabilities and geographic reach. Ready Capital has been actively exiting non-core businesses, including the planned exit from residential mortgage banking and the liquidation of underperforming assets. The company completed the Broadmark Realty Capital merger and has a pending UDF IV merger expected to close in 2025, which should provide additional earnings accretion and unlevered assets. In response to credit challenges, management implemented a defensive strategy including reducing the dividend from previous levels to $0.125 per share, authorizing a $150 million share repurchase program, and taking substantial credit loss provisions. The company is targeting the liquidation of its non-core portfolio over 7-10 quarters while focusing new originations on high-quality core assets.
RC company profile · for informational purposes only — not investment advice.
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