Vanguard Group Inc. Decreases Position in Redwood Trust, Inc. $RWT

Vanguard Group Inc. decreased its stake in Redwood Trust, Inc. (NYSE:RWT) by 18.3% in the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 11,666,505 shares of the real estate investment trust’s stock after selling 2,613,936 shares during the period. Vanguard Group Inc. owned approximately 0.09% of Redwood Trust worth $64,516,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently modified their holdings of RWT. Wellington Management Group LLP boosted its position in shares of Redwood Trust by 10.2% in the third quarter. Wellington Management Group LLP now owns 15,020,483 shares of the real estate investment trust’s stock worth $86,969,000 after buying an additional 1,395,675 shares during the period. Evergreen Capital Management LLC lifted its stake in shares of Redwood Trust by 52.8% in the fourth quarter. Evergreen Capital Management LLC now owns 1,674,009 shares of the real estate investment trust’s stock worth $9,257,000 after acquiring an additional 578,301 shares in the last quarter. Tran Capital Management L.P. acquired a new position in shares of Redwood Trust in the fourth quarter worth about $2,947,000. Invesco Ltd. lifted its stake in shares of Redwood Trust by 29.9% in the third quarter. Invesco Ltd. now owns 2,034,437 shares of the real estate investment trust’s stock worth $11,779,000 after acquiring an additional 468,720 shares in the last quarter. Finally, Jane Street Group LLC acquired a new position in shares of Redwood Trust in the first quarter worth about $2,018,000. Hedge funds and other institutional investors own 74.34% of the company’s stock.

Redwood Trust Stock Up 0.5%

Shares of Redwood Trust stock opened at $5.27 on Friday. The company has a quick ratio of 59.63, a current ratio of 59.63 and a debt-to-equity ratio of 28.42. The firm has a market cap of $659.28 million, a P/E ratio of -6.75 and a beta of 1.40. Redwood Trust, Inc. has a fifty-two week low of $5.00 and a fifty-two week high of $6.97. The business has a 50-day moving average price of $5.71 and a 200 day moving average price of $5.66.

Redwood Trust (NYSE:RWT) last announced its quarterly earnings data on Wednesday, February 11th. The real estate investment trust reported $0.20 earnings per share for the quarter, missing the consensus estimate of $0.22 by ($0.02). The firm had revenue of $140.33 million during the quarter, compared to the consensus estimate of $24.88 million. Redwood Trust had a negative net margin of 7.23% and a positive return on equity of 14.53%. On average, sell-side analysts forecast that Redwood Trust, Inc. will post 1.28 earnings per share for the current fiscal year.

Redwood Trust Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Tuesday, March 24th were issued a $0.18 dividend. This represents a $0.72 annualized dividend and a yield of 13.7%. The ex-dividend date of this dividend was Tuesday, March 24th. Redwood Trust’s payout ratio is currently -92.31%.

Analyst Ratings Changes

Several research firms recently commented on RWT. Zacks Research cut Redwood Trust from a “strong-buy” rating to a “hold” rating in a research note on Monday, April 13th. JonesTrading reiterated a “buy” rating and issued a $6.25 price target on shares of Redwood Trust in a research note on Thursday, April 30th. Weiss Ratings reiterated a “sell (d)” rating on shares of Redwood Trust in a research note on Thursday, January 22nd. JPMorgan Chase & Co. upgraded Redwood Trust from a “neutral” rating to an “overweight” rating and set a $6.00 price target on the stock in a research note on Friday, January 23rd. Finally, Piper Sandler boosted their price target on Redwood Trust from $6.00 to $6.50 and gave the stock a “neutral” rating in a research note on Thursday, April 30th. Five investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $6.89.

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.