Ready CapitalRC +0.56%26 5-Year Yield-on-Cost % is 3.08 as of Jul. 05, 2026, which is 25% below its 10-year median of 4.11. GuruFocus rates RC with a GF Score™ of 26/100 and a GF Value™ of $0.65 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 876 REITs companies, Ready Capital ranks worse than 88.47% on this metric.
Ready Capital's yield on cost for the quarter that ended in Mar. 2026 was 3.08.
The historical rank and industry rank for Ready Capital's 5-Year Yield-on-Cost % or its related term are showing as below:
RC'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 2.58 Med: 4.11 Max: 13.5
Current: 3.08
During the past 13 years, Ready Capital's highest Yield on Cost was 13.50. The lowest was 2.58. And the median was 4.11.
RC's 5-Year Yield-on-Cost % is ranked worse than 88.47% of 876
companies
in the REITs industry
Industry Median: 7.18
vs RC: 3.08
Ready Capital (NYSE:RC) 5-Year Yield-on-Cost % Explanation
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Ready Capital 5-Year Yield-on-Cost % Related Terms
RC vs NREF, MITT, CMTG: 5-Year Yield-on-Cost % Comparison
For the REIT - Mortgage subindustry, Ready Capital's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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.
Ready Capital 5-Year Yield-on-Cost % vs REITs Industry
For the REITs industry and Real Estate sector, Ready Capital's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Ready Capital's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Therefore, Yield-on-Cost of Ready Capital is calculated as
Ready Capital (RC) has a 5-Year Yield-on-Cost % of 3.08 as of Jul. 05, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Ready Capital and its competitors. This is 25% below median its historical median of 4.11. Over the past decade, Ready Capital's 5-Year Yield-on-Cost % has ranged from 2.58 to 13.50. According to the industry distribution chart, Ready Capital ranks #775 out of 876 companies in the REITs industry, placing it in the top 88.5%.
Is Ready Capital's 5-Year Yield-on-Cost % too high?
Ready Capital's current 5-Year Yield-on-Cost % of 3.08 is 25% below median its 10-year median of 4.11. Over the past 10 years, this metric has ranged from a low of 2.58 to a high of 13.50. The REITs industry median 5-Year Yield-on-Cost % is 7.18. Ready Capital's value of 3.08 is 57.1% below this industry median. Based on the distribution chart, Ready Capital ranks #775 out of 876 companies in the REITs industry, which is in the bottom quartile relative to peers. Overall, Ready Capital has a GF Score™ of 26/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ready Capital's 5-Year Yield-on-Cost % compare to NREF and MITT?
According to the REITs industry distribution chart, Ready Capital ranks #775 out of 876 companies for 5-Year Yield-on-Cost %. This places Ready Capital in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 7.18. Ready Capital's value of 3.08 is 57.1% below this benchmark. Historically, Ready Capital's own 5-Year Yield-on-Cost % has ranged from 2.58 to 13.50 over the past decade. While the company's 10-year median is 4.11 vs. the industry median of 7.18, Ready Capital has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a REITs company?
The median 5-Year Yield-on-Cost % among REITs companies is 7.18, based on 876 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ready Capital's current 5-Year Yield-on-Cost % of 3.08 is 57.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Ready Capital and its competitors. For the REITs industry, the median 5-Year Yield-on-Cost % is 7.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ready Capital's current 5-Year Yield-on-Cost % is 3.08, which is 25% below median its own 10-year median of 4.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ready Capital stock overvalued right now?
Based on GuruFocus' analysis, Ready Capital (RC) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.65, compared to a current price of $1.79 — trading 175.4% above its estimated fair value. The current 5-Year Yield-on-Cost % is 3.08, which is 25% below median its 10-year median of 4.11 and 57.1% below the REITs industry median of 7.18. Ready Capital's overall GF Score™ is 26/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Ready Capital (RC), the current 5-Year Yield-on-Cost % is 3.08 as of Jul. 05, 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 Ready Capital (RC) Overvalued in 2026?
Based on GuruFocus' analysis, Ready Capital stock appears to be overvalued.
The current stock price of $1.79 is trading 175.4% above its estimated GF Value™ of $0.65.
GuruFocus considers Ready Capital to be Significantly Overvalued.
Key valuation signals for RC:
5-Year Yield-on-Cost %: 3.08 (25% below median its 10-year median of 4.11)
GF Value™: $0.65 vs. price of $1.79 (175.4% above fair value)
Industry Position: 57.1% below the REITs median (#775 of 876)
No single metric tells the full story. See the RC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ready Capital Corp is a real estate finance company that originates, acquires, finances, and services LMM loans, SBA loans, construction loans, USDA loans and, to a lesser extent, MBS collateralized mainly by LMM loans or other real estate-related investments. Its loans are used by businesses to purchase real estate used in their operations or by investors seeking to acquire multi-family, office, retail, mixed use or warehouse properties. It operates through two segments: LMM Commercial Real Estate, which originates LMM loans across the life-cycle of an LMM property including construction, bridge, stabilized and agency loan channels, and Small Business Lending, which acquires, originates and services owner-occupied loans guaranteed by the SBA and also originates and services USDA loans.
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5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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