Jones Trading Issues Pessimistic Forecast for Redwood Trust (NYSE:RWT) Stock Price

Redwood Trust (NYSE:RWT - Free Report) had its price target cut by Jones Trading from $8.00 to $7.00 in a report released on Thursday,Benzinga reports. They currently have a buy rating on the real estate investment trust's stock.

Other analysts have also recently issued reports about the company. JPMorgan Chase & Co. dropped their target price on Redwood Trust from $6.50 to $5.50 and set a "neutral" rating for the company in a report on Wednesday, April 16th. StockNews.com raised shares of Redwood Trust from a "sell" rating to a "hold" rating in a research note on Wednesday, March 5th. Finally, JMP Securities restated a "market outperform" rating and set a $8.00 price target on shares of Redwood Trust in a report on Friday, February 14th. Five research analysts have rated the stock with a hold rating, two have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $7.50.

Redwood Trust Price Performance

Shares of RWT traded up $0.23 during trading hours on Thursday, hitting $5.70. 586,788 shares of the stock were exchanged, compared to its average volume of 953,034. The stock's 50-day moving average price is $6.03 and its two-hundred day moving average price is $6.62. The company has a debt-to-equity ratio of 14.09, a quick ratio of 44.36 and a current ratio of 44.36. The company has a market cap of $757.34 million, a price-to-earnings ratio of 17.29 and a beta of 1.15. Redwood Trust has a 12-month low of $4.68 and a 12-month high of $8.15.

Redwood Trust (NYSE:RWT - Get Free Report) last posted its quarterly earnings results on Thursday, February 13th. The real estate investment trust reported $0.13 earnings per share for the quarter, missing the consensus estimate of $0.16 by ($0.03). The business had revenue of $27.60 million during the quarter, compared to analysts' expectations of $26.00 million. Redwood Trust had a return on equity of 6.91% and a net margin of 9.35%. Research analysts expect that Redwood Trust will post 0.78 earnings per share for the current year.

Redwood Trust Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, March 31st. Stockholders of record on Monday, March 24th were given a dividend of $0.18 per share. The ex-dividend date was Monday, March 24th. This represents a $0.72 annualized dividend and a dividend yield of 12.64%. Redwood Trust's dividend payout ratio is currently 218.18%.

Institutional Investors Weigh In On Redwood Trust

Several institutional investors and hedge funds have recently modified their holdings of RWT. LaSalle St. Investment Advisors LLC acquired a new position in Redwood Trust in the 4th quarter valued at about $37,000. Sovran Advisors LLC acquired a new position in shares of Redwood Trust in the fourth quarter valued at approximately $63,000. KBC Group NV increased its stake in Redwood Trust by 86.7% during the 4th quarter. KBC Group NV now owns 10,313 shares of the real estate investment trust's stock worth $67,000 after buying an additional 4,788 shares during the period. Zacks Investment Management acquired a new stake in Redwood Trust during the 4th quarter worth approximately $74,000. Finally, Cibc World Markets Corp purchased a new position in Redwood Trust in the 4th quarter valued at approximately $80,000. Hedge funds and other institutional investors own 74.34% of the company's stock.

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.