Brokerages Set Redwood Trust, Inc. (NYSE:RWT) PT at $7.84

Shares of Redwood Trust, Inc. (NYSE:RWT - Get Free Report) have received an average rating of "Moderate Buy" from the eight research firms that are presently covering the firm, Marketbeat.com reports. Four research analysts have rated the stock with a hold recommendation, three have issued a buy recommendation and one has given a strong buy recommendation to the company. The average twelve-month price target among brokers that have updated their coverage on the stock in the last year is $7.84.

RWT has been the topic of a number of research analyst reports. StockNews.com downgraded Redwood Trust from a "hold" rating to a "sell" rating in a report on Monday, February 17th. JPMorgan Chase & Co. lowered their price target on Redwood Trust from $7.00 to $6.50 and set a "neutral" rating on the stock in a report on Tuesday, January 21st. Finally, JMP Securities reaffirmed a "market outperform" rating and set a $8.00 price target on shares of Redwood Trust in a report on Friday, February 14th.

Redwood Trust Stock Up 1.8 %

Redwood Trust stock traded up $0.12 during mid-day trading on Wednesday, hitting $6.69. The company had a trading volume of 924,544 shares, compared to its average volume of 837,252. The company has a current ratio of 44.36, a quick ratio of 44.36 and a debt-to-equity ratio of 14.09. The stock's 50 day moving average price is $6.48 and its two-hundred day moving average price is $7.05. Redwood Trust has a 12 month low of $5.45 and a 12 month high of $8.15. The company has a market capitalization of $886.56 million, a PE ratio of 20.27 and a beta of 1.57.

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Redwood Trust (NYSE:RWT - Get Free Report) last announced its quarterly earnings results on Thursday, February 13th. The real estate investment trust reported $0.13 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.16 by ($0.03). The business had revenue of $27.60 million for 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, sell-side analysts anticipate that Redwood Trust will post 0.78 earnings per share for the current fiscal year.

Redwood Trust Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, December 30th. Shareholders of record on Monday, December 23rd were issued a $0.18 dividend. This is an increase from Redwood Trust's previous quarterly dividend of $0.17. The ex-dividend date of this dividend was Monday, December 23rd. This represents a $0.72 dividend on an annualized basis and a yield of 10.76%. Redwood Trust's dividend payout ratio is currently 218.18%.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of RWT. Invesco Ltd. lifted its holdings in Redwood Trust by 150.9% in the fourth quarter. Invesco Ltd. now owns 1,995,520 shares of the real estate investment trust's stock valued at $13,031,000 after acquiring an additional 1,200,050 shares during the period. Wellington Management Group LLP increased its position in Redwood Trust by 6.9% in the third quarter. Wellington Management Group LLP now owns 14,611,264 shares of the real estate investment trust's stock worth $112,945,000 after buying an additional 941,223 shares in the last quarter. Balyasny Asset Management L.P. increased its position in Redwood Trust by 19.2% in the fourth quarter. Balyasny Asset Management L.P. now owns 1,994,294 shares of the real estate investment trust's stock worth $13,023,000 after buying an additional 321,612 shares in the last quarter. NFC Investments LLC increased 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 buying an additional 271,975 shares in the last quarter. Finally, Angel Oak Capital Advisors LLC purchased a new stake in Redwood Trust in the fourth quarter worth about $1,726,000. 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.