Brokerages Set Redwood Trust, Inc. (NYSE:RWT) PT at $5.94

Redwood Trust, Inc. (NYSE:RWT) has earned an average recommendation of “Hold” from the eleven ratings firms that are covering the company, Marketbeat reports. Two equities research analysts have rated the stock with a sell rating, three have given a hold rating and six have assigned a buy rating to the company. The average 1-year price objective among brokerages that have covered the stock in the last year is $5.9375.

Several brokerages have issued reports on RWT. JPMorgan Chase & Co. dropped their target price on shares of Redwood Trust from $6.50 to $6.00 and set an “overweight” rating on the stock in a report on Friday, July 17th. UBS Group lowered their price target on shares of Redwood Trust from $7.00 to $6.50 and set a “buy” rating for the company in a research report on Friday, August 21st. JonesTrading dropped their price objective on shares of Redwood Trust from $6.25 to $6.00 and set a “buy” rating on the stock in a research note on Tuesday, July 28th. Zacks Research lowered shares of Redwood Trust from a “hold” rating to a “strong sell” rating in a report on Tuesday, July 21st. Finally, Citizens Jmp reduced their price objective on shares of Redwood Trust from $7.00 to $6.00 and set a “market outperform” rating for the company in a research note on Wednesday, July 8th.

Hedge Funds Weigh In On Redwood Trust

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new stake in shares of Redwood Trust in the second quarter valued at about $990,000. California State Teachers Retirement System raised its position in shares of Redwood Trust by 518.9% during the 2nd quarter. California State Teachers Retirement System now owns 757,589 shares of the real estate investment trust’s stock worth $3,591,000 after purchasing an additional 635,187 shares during the last quarter. Two Sigma Securities LLC purchased a new position in Redwood Trust in the 2nd quarter valued at about $140,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in Redwood Trust by 7,932.1% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 265,059 shares of the real estate investment trust’s stock valued at $1,256,000 after buying an additional 261,759 shares in the last quarter. Finally, Jefferies Financial Group Inc. purchased a new stake in Redwood Trust during the 2nd quarter worth approximately $284,000. Hedge funds and other institutional investors own 74.34% of the company’s stock.

Redwood Trust Stock Up 1.7%

Shares of RWT opened at $4.50 on Monday. The company has a market cap of $564.62 million, a PE ratio of -112.35 and a beta of 1.37. The business has a fifty day moving average of $4.77 and a 200 day moving average of $5.32. Redwood Trust has a 52-week low of $4.19 and a 52-week high of $6.97. The company has a quick ratio of 67.49, a current ratio of 67.49 and a debt-to-equity ratio of 31.69.

Redwood Trust (NYSE:RWT) last posted its quarterly earnings data on Tuesday, July 28th. The real estate investment trust reported $0.25 earnings per share for the quarter, topping analysts’ consensus estimates of $0.23 by $0.02. Redwood Trust had a net margin of 0.42% and a return on equity of 16.02%. The company had revenue of $56.01 million for the quarter, compared to analyst estimates of $89.45 million. On average, sell-side analysts expect that Redwood Trust will post 1.03 EPS for the current year.

Redwood Trust Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Tuesday, June 23rd were paid a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 16.0%. The ex-dividend date was Tuesday, June 23rd. Redwood Trust’s payout ratio is -1,800.00%.

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.