Redwood Trust (NYSE:RWT) Shares Pass Above 200-Day Moving Average – Here’s What Happened

Redwood Trust, Inc. (NYSE:RWT) shares passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $5.72 and traded as high as $5.89. Redwood Trust shares last traded at $5.3750, with a volume of 5,859,889 shares.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on RWT shares. Zacks Research upgraded Redwood Trust from a “hold” rating to a “strong-buy” rating in a research report on Monday, January 26th. Wall Street Zen lowered shares of Redwood Trust from a “hold” rating to a “sell” rating in a report on Saturday. JPMorgan Chase & Co. upgraded shares of Redwood Trust from a “neutral” rating to an “overweight” rating and set a $6.00 target price for the company in a research note on Friday, January 23rd. Keefe, Bruyette & Woods increased their price target on shares of Redwood Trust from $5.75 to $7.00 and gave the stock a “market perform” rating in a report on Wednesday, February 18th. Finally, JonesTrading restated a “buy” rating and set a $6.25 price target on shares of Redwood Trust in a research report on Tuesday, March 3rd. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $6.96.

Redwood Trust Price Performance

The company has a quick ratio of 55.15, a current ratio of 55.15 and a debt-to-equity ratio of 24.34. The firm has a market capitalization of $671.82 million, a PE ratio of -8.81 and a beta of 1.55. The stock has a 50-day moving average price of $5.90 and a 200 day moving average price of $5.72.

Redwood Trust (NYSE:RWT) last announced its earnings results on Wednesday, February 11th. The real estate investment trust reported $0.20 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.02). The business had revenue of $140.33 million for the quarter, compared to analysts’ expectations of $24.88 million. Redwood Trust had a negative net margin of 5.93% and a positive return on equity of 12.00%. Equities analysts forecast that Redwood Trust, Inc. will post 0.78 EPS for the current fiscal year.

Redwood Trust Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Tuesday, March 24th will be given a $0.18 dividend. The ex-dividend date is Tuesday, March 24th. This represents a $0.72 annualized dividend and a dividend yield of 13.4%. Redwood Trust’s dividend payout ratio (DPR) is -118.03%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Clearstead Advisors LLC increased its stake in Redwood Trust by 192.5% during the 4th quarter. Clearstead Advisors LLC now owns 5,428 shares of the real estate investment trust’s stock worth $30,000 after buying an additional 3,572 shares in the last quarter. Russell Investments Group Ltd. lifted its position in shares of Redwood Trust by 331.8% in the second quarter. Russell Investments Group Ltd. now owns 7,915 shares of the real estate investment trust’s stock valued at $47,000 after acquiring an additional 6,082 shares in the last quarter. CWM LLC boosted its stake in shares of Redwood Trust by 54.2% in the third quarter. CWM LLC now owns 9,514 shares of the real estate investment trust’s stock worth $55,000 after acquiring an additional 3,346 shares during the last quarter. Westbourne Investments Inc. purchased a new stake in shares of Redwood Trust during the fourth quarter worth approximately $55,000. Finally, Bank of Marin acquired a new position in Redwood Trust in the 4th quarter valued at $58,000. 74.34% of the stock is owned by hedge funds and other institutional investors.

Redwood Trust Company Profile

Redwood Trust, Inc (NYSE:RWT) is a publicly traded real estate investment trust specializing in the U.S. residential mortgage market. Headquartered in Mill Valley, California, the company focuses on investing in a diversified portfolio of residential mortgage assets, including whole loans, agency and non-agency mortgage-backed securities, and structured credit products.

The company’s core activities encompass the acquisition, financing, and management of prime residential mortgage whole loans and mortgage-backed securities.