RCD: A Baby Bond To Sell, Not To Buy
Portfolio Pulse from
Ready Capital Corporation's 9.00% Senior Notes due 2029 are considered high-risk due to poor management and significant equity value destruction. Despite a 9% coupon, the high duration and default risk make it an unfavorable investment. The company's common equity has dropped over 20% year-to-date, and a class action suit raises further concerns.

March 11, 2025 | 1:30 pm
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Ready Capital Corporation's 9.00% Senior Notes due 2029 are high-risk due to poor management and significant equity value destruction. The company's common equity has dropped over 20% YTD, and a class action suit questions management's competence.
The article highlights significant risks associated with RCD's 9.00% Senior Notes due 2029, including poor management, equity value destruction, and a class action suit. These factors contribute to a negative outlook for RCD's stock price in the short term.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100