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Compass Point Initiates Coverage on Rithm Property Trust (RPT) with Buy Rating

Rithm Property Trust Inc. (NYSE:RPT) is included among the 13 Dividend Stocks with Over 8% Yield.

On January 7, Compass Point began coverage of Rithm Property Trust Inc. (NYSE:RPT) with a Buy rating and set a $24 price target.

During the company’s third-quarter earnings call, CEO Michael Nierenberg reflected on where the business stood when the current management team took control last June. At that time, the company was losing roughly $10 million per quarter. Since then, operations have been stabilized, earnings have moved closer to breakeven, and the company has continued to support a $0.06 dividend. He pointed to the exit from residential assets and a shift toward commercial real estate floating-rate loans, which sit higher in the capital stack and offer more attractive yields.

Nierenberg laid out several strategic paths management could pursue. Those include recapitalizing the business by raising equity tied to specific asset pools, exploring a broader liquidation, or simply staying the course and continuing to execute on the current plan. He also highlighted the disconnect between book value, which sits around $5.30, and the share price, which has been trading closer to the mid-$2 range, framing that gap as a meaningful opportunity for equity investors.

The CEO also spent time discussing progress in building out a direct lending platform. Through partnerships such as the one with Genesis and continued growth in construction lending, production has expanded sharply. What was once a business generating about $1.7 billion in loan volume is now expected to exceed $5 billion this year.

From a balance sheet perspective, the company holds roughly $100 million in cash and about $300 million in total equity. The overall portfolio stands near $308 million, and management described the lending pipeline as healthy and active.

Rithm Property Trust Inc. (NYSE:RPT), formerly known as Great Ajax Corp., operates as a REIT and is externally managed by an affiliate of Rithm Capital Corp.

While we acknowledge the potential of RPT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than RPT and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 15 Best S&P 500 Dividend Stocks to Buy in 2026 and Retirement Stock Portfolio: 12 Low Risk Investments

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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Wall Street calls this $3 stock a “Melting Ice Cube.” They said the same thing about BTI before it returned 90%.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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