Redwood Trust, Inc. (NYSE:RWT) Receives Average Recommendation of “Moderate Buy” from Analysts

Redwood Trust, Inc. (NYSE:RWT) has received a consensus rating of “Moderate Buy” from the eight analysts that are presently covering the company, Marketbeat reports. Three analysts have rated the stock with a hold rating, four have assigned a buy rating and one has issued a strong buy rating on the company. The average 1-year target price among brokerages that have updated their coverage on the stock in the last year is $7.66.

Several equities research analysts have weighed in on the company. Raymond James dropped their price objective on Redwood Trust from $9.00 to $8.50 and set a “strong-buy” rating for the company in a report on Friday, January 19th. Piper Sandler decreased their price objective on shares of Redwood Trust from $7.50 to $7.00 and set a “neutral” rating for the company in a report on Wednesday, February 21st. UBS Group cut their target price on shares of Redwood Trust from $9.00 to $8.50 and set a “buy” rating on the stock in a research note on Tuesday, March 5th. Wells Fargo & Company lowered their price objective on shares of Redwood Trust from $8.00 to $7.00 and set an “equal weight” rating for the company in a report on Wednesday, February 21st. Finally, Wedbush reissued a “neutral” rating and issued a $6.50 target price on shares of Redwood Trust in a research report on Wednesday.

Institutional Trading of Redwood Trust

Institutional investors have recently made changes to their positions in the stock. Simon Quick Advisors LLC increased its position in Redwood Trust by 6.3% during the fourth quarter. Simon Quick Advisors LLC now owns 25,246 shares of the real estate investment trust’s stock valued at $187,000 after acquiring an additional 1,488 shares during the last quarter. State of Alaska Department of Revenue increased its position in shares of Redwood Trust by 2.4% during the 4th quarter. State of Alaska Department of Revenue now owns 72,984 shares of the real estate investment trust’s stock valued at $540,000 after purchasing an additional 1,715 shares during the last quarter. Dynamic Technology Lab Private Ltd lifted its stake in shares of Redwood Trust by 8.2% in the 4th quarter. Dynamic Technology Lab Private Ltd now owns 24,292 shares of the real estate investment trust’s stock worth $180,000 after purchasing an additional 1,847 shares during the period. Principal Financial Group Inc. boosted its holdings in shares of Redwood Trust by 0.4% in the fourth quarter. Principal Financial Group Inc. now owns 617,725 shares of the real estate investment trust’s stock worth $4,577,000 after buying an additional 2,296 shares during the last quarter. Finally, Allspring Global Investments Holdings LLC grew its position in Redwood Trust by 45.7% during the third quarter. Allspring Global Investments Holdings LLC now owns 7,965 shares of the real estate investment trust’s stock valued at $57,000 after buying an additional 2,498 shares during the period. Hedge funds and other institutional investors own 74.34% of the company’s stock.

Redwood Trust Stock Performance

Shares of NYSE:RWT opened at $6.18 on Thursday. The company has a current ratio of 7.36, a quick ratio of 7.36 and a debt-to-equity ratio of 10.12. The company has a market cap of $813.16 million, a price-to-earnings ratio of -51.50 and a beta of 1.48. Redwood Trust has a 12 month low of $5.45 and a 12 month high of $8.30. The company has a 50-day moving average price of $6.02 and a 200-day moving average price of $6.62.

Redwood Trust Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 28th. Shareholders of record on Thursday, March 21st were issued a $0.16 dividend. This represents a $0.64 dividend on an annualized basis and a dividend yield of 10.36%. The ex-dividend date of this dividend was Wednesday, March 20th. Redwood Trust’s payout ratio is -533.33%.

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.