Redwood Trust, Inc. (NYSE:RWT) Receives $7.75 Consensus PT from Analysts

Shares of Redwood Trust, Inc. (NYSE:RWT) have earned a consensus rating of “Moderate Buy” from the seven brokerages that are currently covering the stock, Marketbeat Ratings reports. Four analysts have rated the stock with a hold recommendation, two have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12 month price target among brokerages that have covered the stock in the last year is $7.75.

A number of analysts have recently issued reports on the stock. JPMorgan Chase & Co. reduced their price objective on shares of Redwood Trust from $7.00 to $6.50 and set a “neutral” rating for the company in a research note on Tuesday, January 21st. StockNews.com upgraded Redwood Trust from a “sell” rating to a “hold” rating in a research note on Wednesday, March 5th. Finally, JMP Securities restated a “market outperform” rating and issued a $8.00 price objective on shares of Redwood Trust in a research report on Friday, February 14th.

Institutional Investors Weigh In On Redwood Trust

Several large investors have recently made changes to their positions in RWT. Wellington Management Group LLP grew its holdings in Redwood Trust by 6.9% during the 3rd quarter. Wellington Management Group LLP now owns 14,611,264 shares of the real estate investment trust’s stock valued at $112,945,000 after buying an additional 941,223 shares in the last quarter. State Street Corp boosted its position in shares of Redwood Trust by 2.0% during the 3rd quarter. State Street Corp now owns 5,189,667 shares of the real estate investment trust’s stock valued at $40,116,000 after acquiring an additional 102,274 shares during the last quarter. Geode Capital Management LLC grew its holdings in shares of Redwood Trust by 0.8% in the third quarter. Geode Capital Management LLC now owns 3,038,438 shares of the real estate investment trust’s stock valued at $23,492,000 after purchasing an additional 25,444 shares in the last quarter. Boston Partners increased its position in Redwood Trust by 8.3% in the fourth quarter. Boston Partners now owns 2,707,027 shares of the real estate investment trust’s stock worth $17,561,000 after purchasing an additional 206,698 shares during the last quarter. Finally, Invesco Ltd. raised its stake in Redwood Trust by 150.9% during the fourth quarter. Invesco Ltd. now owns 1,995,520 shares of the real estate investment trust’s stock valued at $13,031,000 after purchasing an additional 1,200,050 shares in the last quarter. 74.34% of the stock is owned by institutional investors.

Redwood Trust Trading Down 0.3 %

NYSE:RWT opened at $6.16 on Friday. The firm has a market capitalization of $816.32 million, a price-to-earnings ratio of 18.67 and a beta of 1.63. The company has a debt-to-equity ratio of 14.09, a current ratio of 44.36 and a quick ratio of 44.36. The business has a fifty day moving average price of $6.44 and a 200-day moving average price of $6.94. Redwood Trust has a one year low of $5.46 and a one year high of $8.15.

Redwood Trust (NYSE:RWT) last posted its quarterly earnings data on Thursday, February 13th. The real estate investment trust reported $0.13 earnings per share for the quarter, missing analysts’ consensus estimates of $0.16 by ($0.03). The company had revenue of $27.60 million for the quarter, compared to analysts’ expectations of $26.00 million. Redwood Trust had a net margin of 9.35% and a return on equity of 6.91%. Sell-side analysts forecast that Redwood Trust will post 0.78 EPS for the current year.

Redwood Trust Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Monday, March 24th will be issued a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 11.69%. The ex-dividend date is Monday, March 24th. Redwood Trust’s dividend payout ratio (DPR) is presently 218.18%.

About Redwood Trust

Redwood Trust, Inc, together with its subsidiaries, operates as a specialty finance company in the United States. The company operates through three segments: Residential Consumer Mortgage Banking, Residential Investor Mortgage Banking, and Investment Portfolio. The Residential Consumer Mortgage Banking segment operates a mortgage loan conduit that acquires residential loans from third-party originators for subsequent sale, securitization, or transfer to its investment portfolio.