Redwood Trust (NYSE:RWT) Price Target Cut to $5.50 by Analysts at JPMorgan Chase & Co.

Redwood Trust (NYSE:RWT - Free Report) had its price target cut by JPMorgan Chase & Co. from $6.50 to $5.50 in a research note published on Wednesday,Benzinga reports. They currently have a neutral rating on the real estate investment trust's stock.

A number of other research analysts have also issued reports on the stock. JMP Securities restated a "market outperform" rating and set a $8.00 target price on shares of Redwood Trust in a research report on Friday, February 14th. StockNews.com upgraded Redwood Trust from a "sell" rating to a "hold" rating in a research note on Wednesday, March 5th. Five investment analysts have rated the stock with a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $7.50.

Redwood Trust Stock Performance

Shares of RWT traded down $0.13 during mid-day trading on Wednesday, reaching $5.41. The company's stock had a trading volume of 665,553 shares, compared to its average volume of 951,867. The company has a current ratio of 44.36, a quick ratio of 44.36 and a debt-to-equity ratio of 14.09. Redwood Trust has a 1-year low of $4.68 and a 1-year high of $8.15. The business has a 50-day simple moving average of $6.05 and a two-hundred day simple moving average of $6.63. The stock has a market cap of $719.44 million, a P/E ratio of 16.39 and a beta of 1.15.

Redwood Trust (NYSE:RWT - Get Free Report) last released 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 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%. As a group, equities research analysts anticipate that Redwood Trust will post 0.78 earnings per share for the current fiscal year.

Redwood Trust Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, March 31st. Investors of record on Monday, March 24th were given a dividend of $0.18 per share. The ex-dividend date of this dividend was Monday, March 24th. This represents a $0.72 annualized dividend and a dividend yield of 13.31%. Redwood Trust's dividend payout ratio is currently 218.18%.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the business. Illinois Municipal Retirement Fund increased its position in Redwood Trust by 3.4% during the 4th quarter. Illinois Municipal Retirement Fund now owns 72,744 shares of the real estate investment trust's stock worth $475,000 after purchasing an additional 2,383 shares in the last quarter. Focus Partners Wealth boosted its holdings in shares of Redwood Trust by 14.1% during the 4th quarter. Focus Partners Wealth now owns 20,164 shares of the real estate investment trust's stock valued at $132,000 after acquiring an additional 2,488 shares in the last quarter. Franklin Resources Inc. grew its position in Redwood Trust by 4.6% during the 3rd quarter. Franklin Resources Inc. now owns 72,486 shares of the real estate investment trust's stock worth $548,000 after acquiring an additional 3,206 shares during the last quarter. KBC Group NV increased its holdings in Redwood Trust by 86.7% in the 4th quarter. KBC Group NV now owns 10,313 shares of the real estate investment trust's stock worth $67,000 after purchasing an additional 4,788 shares in the last quarter. Finally, MetLife Investment Management LLC raised its position in Redwood Trust by 8.6% in the fourth quarter. MetLife Investment Management LLC now owns 75,463 shares of the real estate investment trust's stock valued at $493,000 after purchasing an additional 5,951 shares during the last quarter. Institutional investors and hedge funds 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.