Redwood Trust, Inc. (NYSE:RWT) Short Interest Update

Redwood Trust, Inc. (NYSE:RWT) was the target of a large increase in short interest during the month of March. As of March 13th, there was short interest totaling 6,977,416 shares, an increase of 27.1% from the February 26th total of 5,489,368 shares. Approximately 5.7% of the company’s shares are sold short. Based on an average daily trading volume, of 1,588,782 shares, the short-interest ratio is currently 4.4 days.

Redwood Trust Stock Up 2.9%

NYSE RWT traded up $0.16 on Monday, hitting $5.45. 294,489 shares of the stock traded hands, compared to its average volume of 1,678,724. 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 50-day moving average of $5.86 and a 200 day moving average of $5.68. Redwood Trust has a twelve month low of $4.68 and a twelve month high of $6.97. The company has a market capitalization of $680.57 million, a P/E ratio of -8.96 and a beta of 1.55.

Redwood Trust (NYSE:RWT) last issued its quarterly earnings results on Wednesday, February 11th. The real estate investment trust reported $0.20 earnings per share 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 firm had revenue of $140.33 million during the quarter, compared to the consensus estimate of $24.88 million. As a group, analysts expect that Redwood Trust will post 0.78 earnings per share for the current fiscal year.

Redwood Trust Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Tuesday, March 24th will be paid a $0.18 dividend. The ex-dividend date is Tuesday, March 24th. This represents a $0.72 annualized dividend and a dividend yield of 13.2%. Redwood Trust’s dividend payout ratio (DPR) is presently -118.03%.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on the stock. Weiss Ratings reissued a “sell (d)” rating on shares of Redwood Trust in a research report on Thursday, January 22nd. JonesTrading restated a “buy” rating and set a $6.25 target price on shares of Redwood Trust in a research note on Tuesday, March 3rd. Wall Street Zen upgraded Redwood Trust from a “sell” rating to a “hold” rating in a research note on Sunday. Citigroup reaffirmed a “market perform” rating on shares of Redwood Trust in a report on Wednesday, February 18th. Finally, Keefe, Bruyette & Woods increased their price objective on shares of Redwood Trust from $5.75 to $7.00 and gave the company a “market perform” rating in a research note on Wednesday, February 18th. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $6.96.

Hedge Funds Weigh In On Redwood Trust

A number of institutional investors and hedge funds have recently added to or reduced their stakes in RWT. Vident Advisory LLC raised its stake in Redwood Trust by 4.7% during the 4th quarter. Vident Advisory LLC now owns 39,606 shares of the real estate investment trust’s stock valued at $219,000 after acquiring an additional 1,773 shares in the last quarter. Inceptionr LLC raised its stake in shares of Redwood Trust by 10.7% during the third quarter. Inceptionr LLC now owns 26,377 shares of the real estate investment trust’s stock valued at $153,000 after purchasing an additional 2,560 shares in the last quarter. Rhumbline Advisers lifted its stake in shares of Redwood Trust by 0.8% in the 3rd 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 during the period. Choreo LLC boosted its position in shares of Redwood Trust by 29.4% during the 4th quarter. Choreo LLC now owns 13,893 shares of the real estate investment trust’s stock valued at $77,000 after purchasing an additional 3,158 shares in the last quarter. Finally, Apollon Wealth Management LLC raised its holdings in Redwood Trust by 3.7% during the 3rd quarter. Apollon Wealth Management LLC now owns 89,143 shares of the real estate investment trust’s stock worth $516,000 after buying an additional 3,193 shares during the period. 74.34% of the stock is owned by 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.