Rithm Capital (MEX:RITM) Return-on-Tangible-Equity: Negative Tangible Equity% (As of Mar. 2026)

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MEX:RITM Rithm Capital Corp MEX:RITM
27 GF Score
Price MXN169.50
GF Value MXN176.76
Valuation Fairly Valued
! 6 Warning Signs
View Full Analysis

What is Rithm Capital Return-on-Tangible-Equity?

Rithm Capital MEX:RITM -2.02% 27 Return-on-Tangible-Equity is Negative Tangible Equity% as of Mar. 2026. GuruFocus rates MEX:RITM with a GF Score™ of 27/100 and a GF Value™ of MXN176.76 (Fairly Valued). The stock has 6 warning signs investors should review. Among 920 REITs companies, Rithm Capital ranks better than 99.89% on this metric.

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Rithm Capital's annualized net income for the quarter that ended in Mar. 2026 was MXN7,406 Mil. Rithm Capital's average shareholder tangible equity for the quarter that ended in Mar. 2026 was MXN-43,831 Mil. Therefore, Rithm Capital's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was Negative Tangible Equity%.

The historical rank and industry rank for Rithm Capital's Return-on-Tangible-Equity or its related term are showing as below:

MEX:RITM' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -98.13   Med: 47.21   Max: 73.22
Current: Negative Tangible Equity

During the past 13 years, Rithm Capital's highest Return-on-Tangible-Equity was 73.22%. The lowest was -98.13%. And the median was 47.21%.

MEX:RITM's Return-on-Tangible-Equity is ranked better than
99.89% of 920 companies
in the REITs industry
Industry Median: 6.275 vs MEX:RITM: Negative Tangible Equity

Rithm Capital  (MEX:RITM) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Rithm Capital Return-on-Tangible-Equity Related Terms


Rithm Capital Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Rithm Capital's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Rithm Capital Return-on-Tangible-Equity Chart

Rithm Capital Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity

Rithm Capital Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity Negative Tangible Equity

MEX:RITM vs STWD, DX, BXMT: Return-on-Tangible-Equity Comparison

For the REIT - Mortgage subindustry, Rithm Capital's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Rithm Capital Return-on-Tangible-Equity vs REITs Industry

For the REITs industry and Real Estate sector, Rithm Capital's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Rithm Capital's Return-on-Tangible-Equity falls into.


MEX:RITM
27GF Score
Rithm Capital Corp MEX:RITM
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Rithm Capital Return-on-Tangible-Equity Calculation

Rithm Capital's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=12269.912/( (-62410.224+-47090.235 )/ 2 )
=12269.912/-54750.2295
=Negative Tangible Equity %

Rithm Capital's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=7406.248/( (-47090.235+-40570.978)/ 2 )
=7406.248/-43830.6065
=Negative Tangible Equity %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2026) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of Negative Tangible Equity% mean?
Rithm Capital (MEX:RITM) has a Return-on-Tangible-Equity of Negative Tangible Equity% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Rithm Capital and its competitors. According to the industry distribution chart, Rithm Capital ranks #1 out of 920 companies in the REITs industry, placing it in the top 0.099999999999994%.
Is Rithm Capital's Return-on-Tangible-Equity too high?
Rithm Capital's current Return-on-Tangible-Equity is Negative Tangible Equity%. Based on the distribution chart, Rithm Capital ranks #1 out of 920 companies in the REITs industry, which is in the top quartile — a strong position relative to peers. Overall, Rithm Capital has a GF Score™ of 27/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Rithm Capital's Return-on-Tangible-Equity compare to STWD and DX?
According to the REITs industry distribution chart, Rithm Capital ranks #1 out of 920 companies for Return-on-Tangible-Equity. This places Rithm Capital in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 6.28. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a REITs company?
The median Return-on-Tangible-Equity among REITs companies is 6.28, based on 920 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Rithm Capital and its competitors. For the REITs industry, the median Return-on-Tangible-Equity is 6.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rithm Capital's current Return-on-Tangible-Equity is Negative Tangible Equity%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rithm Capital stock overvalued right now?
Based on GuruFocus' analysis, Rithm Capital (MEX:RITM) is currently considered Fairly Valued. The stock's GF Value™ is MXN176.76, compared to a current price of MXN169.50 — trading 4.1% below its estimated fair value. The current Return-on-Tangible-Equity is Negative Tangible Equity%. Rithm Capital's overall GF Score™ is 27/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Rithm Capital (MEX:RITM), the current Return-on-Tangible-Equity is Negative Tangible Equity% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Rithm Capital (MEX:RITM) Overvalued in 2026?

Based on GuruFocus' analysis, Rithm Capital stock appears to be undervalued. The current stock price of MXN169.50 is trading 4.1% below its estimated GF Value™ of MXN176.76. GuruFocus considers Rithm Capital to be Fairly Valued.

Key valuation signals for MEX:RITM:

  • Return-on-Tangible-Equity: Negative Tangible Equity%
  • GF Value™: MXN176.76 vs. price of MXN169.50 (4.1% below fair value)
  • GF Score™: 27/100 with 6 warning signs

No single metric tells the full story. See the MEX:RITM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rithm Capital Business Description

Industry Real EstateREITs
Address 799 Broadway, New York, NY, USA, 10003
Rithm Capital Corp operates as a real estate investment trust that provides capital and services to the real estate and financial services industries. The company aims to generate attractive risk-adjusted returns in all interest-rate environments through a complementary portfolio of investments and operating businesses. Its investment portfolio is composed of mortgage servicing-related assets (full and excess MSRs and servicer advances), residential securities (and associated call rights), loans (including single-family rental), and consumer loans. Its operating segments are Origination and Servicing; Investment Portfolio; Residential Transitional Lending; and Asset Management.
27GF Score

Get the complete analysis for MEX:RITM

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN169.50
Price
MXN176.76
GF Value