Redwood Trust (NYSE:RWT) Upgraded by Wall Street Zen to “Hold” Rating

Wall Street Zen upgraded shares of Redwood Trust (NYSE:RWT) from a sell rating to a hold rating in a research report released on Saturday.

Other equities analysts also recently issued research reports about the stock. Keefe, Bruyette & Woods boosted their price target on shares of Redwood Trust from $5.75 to $7.00 and gave the company a “market perform” rating in a report on Wednesday, February 18th. JonesTrading reissued a “buy” rating and set a $6.25 price target on shares of Redwood Trust in a report on Thursday, April 30th. Citigroup reissued a “market perform” rating on shares of Redwood Trust in a report on Wednesday, February 18th. Piper Sandler boosted their price target on shares of Redwood Trust from $6.00 to $6.50 and gave the company a “neutral” rating in a report on Thursday, April 30th. Finally, Zacks Research downgraded shares of Redwood Trust from a “strong-buy” rating to a “hold” rating in a report on Monday, April 13th. Five analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $6.89.

Redwood Trust Stock Performance

Shares of RWT opened at $5.56 on Friday. Redwood Trust has a 1 year low of $5.00 and a 1 year high of $6.97. The company has a market cap of $694.38 million, a price-to-earnings ratio of -7.12 and a beta of 1.40. The company has a debt-to-equity ratio of 26.42, a quick ratio of 55.15 and a current ratio of 55.15. The firm has a fifty day moving average of $5.78 and a 200-day moving average of $5.67.

Redwood Trust (NYSE:RWT) last announced its quarterly earnings results on Wednesday, February 11th. The real estate investment trust reported $0.20 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.22 by ($0.02). Redwood Trust had a negative net margin of 9.70% and a positive return on equity of 14.27%. The firm had revenue of $140.33 million for the quarter, compared to analyst estimates of $24.88 million. As a group, equities analysts anticipate that Redwood Trust will post 1.28 earnings per share for the current year.

Redwood Trust Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, March 31st. Shareholders of record on Tuesday, March 24th were given a $0.18 dividend. The ex-dividend date was Tuesday, March 24th. This represents a $0.72 annualized dividend and a yield of 13.0%. Redwood Trust’s payout ratio is -92.31%.

Institutional Investors Weigh In On Redwood Trust

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Vident Advisory LLC raised its position in Redwood Trust by 4.7% in the fourth quarter. Vident Advisory LLC now owns 39,606 shares of the real estate investment trust’s stock worth $219,000 after acquiring an additional 1,773 shares in the last quarter. Janney Montgomery Scott LLC raised its position in Redwood Trust by 18.5% in the first quarter. Janney Montgomery Scott LLC now owns 15,113 shares of the real estate investment trust’s stock worth $85,000 after acquiring an additional 2,363 shares in the last quarter. Inceptionr LLC raised its position in Redwood Trust by 10.7% in the third quarter. Inceptionr LLC now owns 26,377 shares of the real estate investment trust’s stock worth $153,000 after acquiring an additional 2,560 shares in the last quarter. Rhumbline Advisers raised its position in Redwood Trust by 0.8% in the third quarter. Rhumbline Advisers now owns 392,058 shares of the real estate investment trust’s stock worth $2,270,000 after acquiring an additional 3,147 shares in the last quarter. Finally, Choreo LLC raised its position in Redwood Trust by 29.4% in the fourth quarter. Choreo LLC now owns 13,893 shares of the real estate investment trust’s stock worth $77,000 after acquiring an additional 3,158 shares in the last quarter. 74.34% of the stock is currently owned by institutional investors.

About Redwood Trust

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.