Redwood Trust, Inc. (NYSE:RWT) Given Consensus Rating of “Moderate Buy” by Analysts

Redwood Trust, Inc. (NYSE:RWT) has been assigned an average rating of “Moderate Buy” from the nine research firms that are presently covering the company, Marketbeat.com reports. Three research analysts have rated the stock with a hold rating, five have given a buy rating and one has issued a strong buy rating on the company. The average twelve-month target price among brokers that have covered the stock in the last year is $7.81.

A number of equities research analysts have commented on the company. JPMorgan Chase & Co. raised their target price on Redwood Trust from $7.00 to $7.50 and gave the company an “overweight” rating in a report on Tuesday, July 16th. JMP Securities raised their price objective on Redwood Trust from $8.00 to $8.50 and gave the company a “market outperform” rating in a research note on Friday, July 19th. Piper Sandler boosted their target price on Redwood Trust from $6.50 to $7.50 and gave the stock a “neutral” rating in a research report on Monday, August 5th. Finally, Wedbush raised their price target on Redwood Trust from $6.50 to $7.00 and gave the company a “neutral” rating in a research report on Friday, August 2nd.

Redwood Trust Trading Up 0.4 %

Shares of Redwood Trust stock opened at $7.17 on Friday. The company has a quick ratio of 50.47, a current ratio of 50.47 and a debt-to-equity ratio of 12.97. The firm has a market cap of $946.88 million, a price-to-earnings ratio of 102.36 and a beta of 1.58. Redwood Trust has a 52-week low of $5.45 and a 52-week high of $8.30. The company’s 50-day simple moving average is $6.85 and its 200-day simple moving average is $6.45.

Redwood Trust (NYSE:RWT) last released its earnings results on Thursday, August 1st. The real estate investment trust reported $0.13 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.12 by $0.01. Redwood Trust had a return on equity of 4.93% and a net margin of 4.45%. During the same quarter in the previous year, the business posted $0.14 EPS. As a group, equities research analysts anticipate that Redwood Trust will post 0.5 earnings per share for the current year.

Redwood Trust Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, June 28th. Investors of record on Friday, June 21st were paid a dividend of $0.16 per share. This represents a $0.64 annualized dividend and a dividend yield of 8.93%. The ex-dividend date of this dividend was Friday, June 21st. Redwood Trust’s payout ratio is 914.29%.

Insider Buying and Selling

In other Redwood Trust news, CFO Brooke Carillo purchased 15,000 shares of the business’s stock in a transaction on Thursday, May 30th. The stock was bought at an average cost of $6.25 per share, for a total transaction of $93,750.00. Following the acquisition, the chief financial officer now owns 56,772 shares of the company’s stock, valued at approximately $354,825. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 2.50% of the stock is owned by company insiders.

Institutional Trading of Redwood Trust

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. International Assets Investment Management LLC boosted its position in shares of Redwood Trust by 641.0% in the fourth quarter. International Assets Investment Management LLC now owns 3,705 shares of the real estate investment trust’s stock worth $27,000 after acquiring an additional 3,205 shares during the last quarter. Concurrent Investment Advisors LLC purchased a new position in Redwood Trust during the second quarter worth approximately $69,000. MQS Management LLC acquired a new position in shares of Redwood Trust in the 1st quarter valued at $72,000. Algert Global LLC purchased a new stake in shares of Redwood Trust during the 2nd quarter valued at $86,000. Finally, Ameritas Investment Partners Inc. grew its stake in shares of Redwood Trust by 26.5% during the 1st quarter. Ameritas Investment Partners Inc. now owns 14,324 shares of the real estate investment trust’s stock valued at $91,000 after buying an additional 3,000 shares during the period. Hedge funds and other institutional investors own 74.34% of the company’s stock.

About Redwood Trust

Redwood Trust, Inc, together with its subsidiaries, operates as a specialty finance company in the United States. The company operates through three segments: Residential Consumer Mortgage Banking, Residential Investor Mortgage Banking, and Investment Portfolio. The Residential Consumer Mortgage Banking segment operates a mortgage loan conduit that acquires residential loans from third-party originators for subsequent sale, securitization, or transfer to its investment portfolio.