Zacks Investment Management Invests $74,000 in Redwood Trust, Inc. (NYSE:RWT)

Zacks Investment Management bought a new stake in shares of Redwood Trust, Inc. (NYSE:RWT) during the 4th quarter, according to its most recent filing with the SEC. The firm bought 11,310 shares of the real estate investment trust’s stock, valued at approximately $74,000.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. LaSalle St. Investment Advisors LLC purchased a new stake in shares of Redwood Trust during the fourth quarter valued at approximately $37,000. Sovran Advisors LLC acquired a new position in Redwood Trust in the 4th quarter worth $63,000. KBC Group NV grew its stake in shares of Redwood Trust by 86.7% during the fourth quarter. KBC Group NV now owns 10,313 shares of the real estate investment trust’s stock valued at $67,000 after acquiring an additional 4,788 shares in the last quarter. Cibc World Markets Corp purchased a new stake in shares of Redwood Trust during the fourth quarter worth about $80,000. Finally, CIBC Asset Management Inc acquired a new position in shares of Redwood Trust in the fourth quarter worth about $86,000. 74.34% of the stock is owned by institutional investors and hedge funds.

Redwood Trust Stock Up 4.2 %

Shares of Redwood Trust stock opened at $5.54 on Monday. Redwood Trust, Inc. has a twelve month low of $4.68 and a twelve month high of $8.15. The stock has a market capitalization of $736.06 million, a price-to-earnings ratio of 16.77 and a beta of 1.15. The company has a current ratio of 44.36, a quick ratio of 44.36 and a debt-to-equity ratio of 14.09. The business’s 50 day simple moving average is $6.05 and its 200-day simple moving average is $6.63.

Redwood Trust (NYSE:RWT) last posted its earnings results on Thursday, February 13th. The real estate investment trust reported $0.13 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.16 by ($0.03). The company had revenue of $27.60 million during the quarter, compared to the consensus estimate of $26.00 million. Redwood Trust had a net margin of 9.35% and a return on equity of 6.91%. Equities research analysts forecast that Redwood Trust, Inc. will post 0.78 earnings per share for the current year.

Redwood Trust Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, March 31st. Shareholders of record on Monday, March 24th were given a $0.18 dividend. This represents a $0.72 annualized dividend and a yield of 13.01%. The ex-dividend date of this dividend was Monday, March 24th. Redwood Trust’s dividend payout ratio (DPR) is 218.18%.

Analysts Set New Price Targets

Several equities research analysts have issued reports on the company. StockNews.com upgraded Redwood Trust from a “sell” rating to a “hold” rating in a report on Wednesday, March 5th. JPMorgan Chase & Co. dropped their target price on shares of Redwood Trust from $6.50 to $5.50 and set a “neutral” rating for the company in a research report on Wednesday, April 16th. JMP Securities reduced their price target on shares of Redwood Trust from $8.00 to $7.50 and set a “market outperform” rating on the stock in a research report on Thursday. Finally, Jones Trading cut their price objective on Redwood Trust from $8.00 to $7.00 and set a “buy” rating on the stock in a research note on Thursday. Five analysts have rated the stock with a hold rating, two have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $7.50.

Redwood Trust Profile

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.