Lawsuit filed for Investors who lost money with shares of Ready Capital Corporation (NYSE: RC)

An investor, who purchased shares of Ready Capital Corporation (NYSE: RC), filed a lawsuit over alleged violations of Federal Securities Laws by Ready Capital Corporation in connection with certain allegedly false and misleading statements.

Investors who purchased shares of Ready Capital Corporation (NYSE: RC) have certain options and for certain investors are short and strict deadlines running. Deadline: May 05, 2025. NYSE: RC investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

New York based Ready Capital Corporation operates as a real estate finance company in the United States.

On March 3, 2025, before the market opened, Ready Capital Corporation announced its fourth quarter and full year 2024 financial results, reporting fourth quarter 2024 net loss of $1.80 per share and full year 2024 net loss of $2.52 per share. Ready Capital Corporation (NYSE: RC) reported that its annual Ttoal Revenue declined from $389.93 million in 2023 to $27.35 million in 2024, and that its Net Income of $339.45 million in 2023 turned into a Net Loss of $435.75 million in 2024.

Ready Capital Corporationexplained had to take "decisive actions to stabilize" its "balance sheet going forward by fully reserving for all of our nonperforming loans in our CRE portfolio." This included, among other actions, taking $284 million in combined Current Expected Credit Loss ("CECL") and valuation allowances in order to mark the Company's non-performing loans to current values. The Company further revealed that its total leverage increased to "3.8x," up from the prior quarter's total leverage of "3.3x."

Shares of Ready Capital Corporation (NYSE: RC) declined from $9.54 per share on July 18, 2024, to as low as $4.74 per share on March 04, 2025.

The plaintiff claims that between November 7, 2024 and March 2, 2025, the Defendants failed to disclose to investors that significant non-performing loans in its CRE portfolio were not likely to be collectible, that Ready Capital would fully reserve these problem loans in order to "stabilize" its CRE portfolio, that this was not accurately reflected in Ready Capital's current expected credit loss or valuation allowances, that, as a result, the Company's financial results would be adversely affected, and that, as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

Those who purchased shares of Ready Capital Corporation (NYSE: RC) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.