Redwood Trust (NYSE:RWT) Price Target Cut to $6.00 by Analysts at Piper Sandler

Redwood Trust (NYSE:RWT) had its price objective cut by equities researchers at Piper Sandler from $6.50 to $6.00 in a report issued on Thursday,Benzinga reports. The brokerage currently has a “neutral” rating on the real estate investment trust’s stock. Piper Sandler’s target price would suggest a potential upside of 8.79% from the stock’s previous close.

A number of other analysts have also issued reports on RWT. Citigroup reissued a “market perform” rating on shares of Redwood Trust in a research note on Wednesday, February 18th. Wall Street Zen raised shares of Redwood Trust from a “sell” rating to a “hold” rating in a research note on Sunday. JPMorgan Chase & Co. raised shares of Redwood Trust from a “neutral” rating to an “overweight” rating and set a $6.00 price objective for the company in a research report on Friday, January 23rd. Zacks Research upgraded shares of Redwood Trust from a “hold” rating to a “strong-buy” rating in a research note on Monday, January 26th. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Redwood Trust in a research report on Thursday, January 22nd. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, Redwood Trust currently has an average rating of “Moderate Buy” and a consensus target price of $6.82.

Redwood Trust Trading Down 2.2%

Shares of RWT stock traded down $0.13 on Thursday, reaching $5.52. 94,466 shares of the company’s stock were exchanged, compared to its average volume of 1,658,643. Redwood Trust has a 52 week low of $4.68 and a 52 week high of $6.97. The company has a current ratio of 55.15, a quick ratio of 55.15 and a debt-to-equity ratio of 24.34. The stock has a market capitalization of $689.31 million, a PE ratio of -9.02 and a beta of 1.55. The company’s fifty day simple moving average is $5.85 and its 200 day simple moving average is $5.67.

Redwood Trust (NYSE:RWT) last posted its quarterly earnings data 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). Redwood Trust had a negative net margin of 5.93% and a positive return on equity of 12.00%. The business had revenue of $140.33 million for the quarter, compared to analysts’ expectations of $24.88 million. As a group, analysts forecast that Redwood Trust will post 0.78 EPS for the current year.

Institutional Trading of Redwood Trust

A number of hedge funds have recently added to or reduced their stakes in the business. Corient Private Wealth LLC increased its position in Redwood Trust by 74.5% during the 4th quarter. Corient Private Wealth LLC now owns 19,658 shares of the real estate investment trust’s stock valued at $109,000 after purchasing an additional 8,390 shares during the period. TMB Capital Partners LLC bought a new position in shares of Redwood Trust during the fourth quarter valued at approximately $64,000. Invesco Ltd. boosted its stake in shares of Redwood Trust by 25.4% during the fourth quarter. Invesco Ltd. now owns 2,551,067 shares of the real estate investment trust’s stock valued at $14,107,000 after purchasing an additional 516,630 shares in the last quarter. Mercer Global Advisors Inc. ADV increased its holdings in Redwood Trust by 40.9% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 21,625 shares of the real estate investment trust’s stock valued at $120,000 after buying an additional 6,281 shares during the period. Finally, Vident Advisory LLC increased its holdings in Redwood Trust by 4.7% during the fourth quarter. Vident Advisory LLC now owns 39,606 shares of the real estate investment trust’s stock valued at $219,000 after buying an additional 1,773 shares during the period. 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.