JMP Securities Issues Pessimistic Forecast for Redwood Trust (NYSE:RWT) Stock Price

Redwood Trust (NYSE:RWT - Get Free Report) had its price objective decreased by JMP Securities from $9.00 to $8.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage presently has a "market outperform" rating on the real estate investment trust's stock. JMP Securities' target price suggests a potential upside of 26.28% from the company's current price.

A number of other equities research analysts have also commented on RWT. JPMorgan Chase & Co. reduced their price target on Redwood Trust from $7.00 to $6.50 and set a "neutral" rating on the stock in a research report on Tuesday. StockNews.com upgraded shares of Redwood Trust from a "sell" rating to a "hold" rating in a report on Monday, November 11th. Five research analysts have rated the stock with a hold rating, three have given a buy rating and one has given a strong buy rating to the company. According to MarketBeat, Redwood Trust has a consensus rating of "Moderate Buy" and an average target price of $7.84.

Redwood Trust Price Performance

NYSE RWT traded up $0.02 during midday trading on Thursday, hitting $6.34. The company had a trading volume of 586,023 shares, compared to its average volume of 934,906. The company has a market capitalization of $839.51 million, a PE ratio of 11.52 and a beta of 1.57. Redwood Trust has a twelve month low of $5.45 and a twelve month high of $8.15. The company has a current ratio of 44.36, a quick ratio of 44.36 and a debt-to-equity ratio of 14.55. The firm has a 50-day moving average price of $6.74 and a 200-day moving average price of $7.16.

Redwood Trust (NYSE:RWT - Get Free Report) last posted its quarterly earnings results on Wednesday, October 30th. The real estate investment trust reported $0.18 EPS for the quarter, topping analysts' consensus estimates of $0.14 by $0.04. Redwood Trust had a return on equity of 6.01% and a net margin of 9.35%. During the same quarter in the previous year, the company posted $0.09 earnings per share. As a group, analysts anticipate that Redwood Trust will post 0.57 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Redwood Trust

A number of institutional investors and hedge funds have recently modified their holdings of the company. Wellington Management Group LLP grew its position in Redwood Trust by 6.9% during the third quarter. Wellington Management Group LLP now owns 14,611,264 shares of the real estate investment trust's stock valued at $112,945,000 after acquiring an additional 941,223 shares during the last quarter. State Street Corp increased its holdings in shares of Redwood Trust by 2.0% during the third quarter. State Street Corp now owns 5,189,667 shares of the real estate investment trust's stock valued at $40,116,000 after acquiring an additional 102,274 shares in the last quarter. Geode Capital Management LLC raised its holdings in Redwood Trust by 0.8% in the 3rd quarter. Geode Capital Management LLC now owns 3,038,438 shares of the real estate investment trust's stock worth $23,492,000 after acquiring an additional 25,444 shares during the last quarter. Ceredex Value Advisors LLC grew its stake in shares of Redwood Trust by 22.8% in the third quarter. Ceredex Value Advisors LLC now owns 1,113,600 shares of the real estate investment trust's stock worth $8,608,000 after acquiring an additional 207,088 shares during the period. Finally, NFC Investments LLC boosted its position in Redwood Trust by 127.7% in the third quarter. NFC Investments LLC now owns 484,975 shares of the real estate investment trust's stock worth $3,749,000 after purchasing an additional 271,975 shares during the last quarter. 74.34% of the stock is owned by hedge funds and other institutional investors.

Redwood Trust Company 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.