Redwood Trust, Inc. (NYSE:RWT) Receives $6.00 Average PT from Brokerages

Shares of Redwood Trust, Inc. (NYSE:RWT) have earned an average recommendation of “Hold” from the eleven research firms that are currently covering the stock, MarketBeat.com reports. Two investment analysts have rated the stock with a sell recommendation, three have given a hold recommendation and six have given a buy recommendation to the company. The average twelve-month price objective among brokers that have covered the stock in the last year is $6.00.

RWT has been the topic of a number of research analyst reports. Keefe, Bruyette & Woods lowered their price target on Redwood Trust from $6.00 to $5.50 and set an “outperform” rating on the stock in a report on Wednesday, July 29th. Wall Street Zen raised shares of Redwood Trust from a “sell” rating to a “hold” rating in a report on Saturday, May 9th. Wells Fargo & Company decreased their target price on shares of Redwood Trust from $7.00 to $6.00 and set an “equal weight” rating for the company in a research report on Wednesday, July 29th. BTIG Research reissued a “buy” rating and set a $6.00 target price on shares of Redwood Trust in a research note on Tuesday, July 28th. Finally, Weiss Ratings restated a “sell (d)” rating on shares of Redwood Trust in a research report on Wednesday, June 24th.

Institutional Investors Weigh In On Redwood Trust

Institutional investors have recently added to or reduced their stakes in the company. Evergreen Capital Management LLC boosted its stake in Redwood Trust by 52.8% during the fourth quarter. Evergreen Capital Management LLC now owns 1,674,009 shares of the real estate investment trust’s stock valued at $9,257,000 after buying an additional 578,301 shares in the last quarter. UBS Group AG grew its holdings in Redwood Trust by 521.1% during the fourth quarter. UBS Group AG now owns 3,875,226 shares of the real estate investment trust’s stock worth $21,430,000 after acquiring an additional 3,251,302 shares during the period. PVG Asset Management Corp bought a new stake in Redwood Trust in the second quarter worth about $592,000. Counterpoint Mutual Funds LLC bought a new stake in Redwood Trust in the first quarter worth about $876,000. Finally, Westbourne Investments Inc. acquired a new stake in Redwood Trust in the 4th quarter valued at about $55,000. 74.34% of the stock is currently owned by institutional investors and hedge funds.

Redwood Trust Stock Performance

Shares of RWT stock opened at $4.57 on Thursday. Redwood Trust has a 12-month low of $4.19 and a 12-month high of $6.97. The firm has a market capitalization of $574.04 million, a price-to-earnings ratio of -114.22 and a beta of 1.38. The business has a 50 day simple moving average of $4.93 and a 200 day simple moving average of $5.45. The company has a debt-to-equity ratio of 31.69, a current ratio of 67.49 and a quick ratio of 67.49.

Redwood Trust (NYSE:RWT) last announced its earnings results on Tuesday, July 28th. The real estate investment trust reported $0.25 earnings per share for the quarter, beating the consensus estimate of $0.23 by $0.02. Redwood Trust had a return on equity of 16.02% and a net margin of 0.42%.The firm had revenue of $56.01 million for the quarter, compared to the consensus estimate of $89.45 million. On average, equities research analysts anticipate that Redwood Trust will post 1.03 EPS for the current year.

Redwood Trust Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Tuesday, June 23rd were paid a dividend of $0.18 per share. This represents a $0.72 dividend on an annualized basis and a dividend yield of 15.8%. The ex-dividend date was Tuesday, June 23rd. Redwood Trust’s dividend payout ratio (DPR) is currently -1,800.00%.

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.