NEW YORK (TheStreet) --Shares of New Residential Investment Corp. (NRZ) are falling by 4.30% to $15.91 on heavy volume at the start of trading on Wednesday morning, after the company announced the pricing of a public offering of common stock.
The real estate investment trust priced its public offering of over 31 million shares of common stock for gross proceeds of approximately $505 million.
So far today 5.15 million shares of New Residential Investment have exchanged hands as compared to its average daily volume of 2.86 million shares.
The company has granted underwriters an option for 30 days to purchase up to an additional 4.7 million shares of common stock.
Separately, TheStreet Ratings team rates NEW RESIDENTIAL INV CP as a Sell with a ratings score of D-. TheStreet Ratings Team has this to say about their recommendation:
"We rate NEW RESIDENTIAL INV CP (NRZ) a SELL. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income, weak operating cash flow and feeble growth in its earnings per share."