Why Rithm Capital Corp. (RITM) is a Key Pick for Dividend Capture in October

Rithm Capital Corp. (NYSE:RITM) is included among the Best High Yield Stocks to Buy in October.

Why Rithm Capital Corp. (RITM) is a Key Pick for Dividend Capture in October

Image by Steve Buissinne from Pixabay

Rithm Capital Corp. (NYSE:RITM) is a real estate investment trust that is an active participant in structured finance and asset management, for which it has won awards for strategic acquisitions. Among the biggest transactions are the 2023 acquisition of Sculptor Capital Management and the pending acquisition of Computershare Mortgage Services, which is expected to close in the second quarter. These initiatives are focused on expanding its assets under management (AUM) and enhancing its offerings, solidifying its position in a competitive marketplace.

Rithm Capital Corp. (NYSE:RITM)’s strategy is focused on diversification and bolstering its mortgage servicing and origination platforms that have been instrumental in propelling its excellent financial performance.

On September 17, Rithm Capital Corp. (NYSE:RITM) declared a quarterly dividend of $0.25 per share, which was in line with its previous dividend. Regular dividends have been paid by the company to its shareholders for ten years. The dividend yield on the stock is 8.03% as of September 27. RITM is going ex-dividend on October 1, which makes it one of the best stocks to carry out a dividend capture strategy.

While we acknowledge the potential of RITM 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 RITM and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 10 Cash-Rich Dividend Stocks to Buy Right Now and 10 Best Recession-Proof Dividend Stocks to Buy.

Disclosure: None.