Redwood Trust, Inc. (NYSE:RWT) Receives $7.84 Consensus Target Price from Analysts

Shares of Redwood Trust, Inc. (NYSE:RWT) have been given a consensus recommendation of “Moderate Buy” by the seven brokerages that are covering the company, Marketbeat.com reports. Two investment analysts have rated the stock with a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the company. The average 12-month price objective among brokerages that have issued ratings on the stock in the last year is $7.84.

RWT has been the subject of several analyst reports. Keefe, Bruyette & Woods reduced their target price on Redwood Trust from $8.50 to $7.75 and set an “outperform” rating for the company in a report on Monday, February 26th. Wells Fargo & Company reduced their target price on Redwood Trust from $8.00 to $7.00 and set an “equal weight” rating for the company in a report on Wednesday, February 21st. Raymond James reduced their price objective on Redwood Trust from $9.00 to $8.50 and set a “strong-buy” rating for the company in a research note on Friday, January 19th. JMP Securities reduced their price objective on Redwood Trust from $9.00 to $8.00 and set a “market outperform” rating for the company in a research note on Wednesday, February 21st. Finally, UBS Group reduced their price objective on Redwood Trust from $9.00 to $8.50 and set a “buy” rating for the company in a research note on Tuesday, March 5th.

Redwood Trust Trading Up 2.2 %

Shares of NYSE RWT opened at $6.37 on Friday. Redwood Trust has a 12 month low of $5.47 and a 12 month high of $8.30. The company has a market cap of $837.51 million, a price-to-earnings ratio of -53.04 and a beta of 1.48. The company has a quick ratio of 7.36, a current ratio of 7.36 and a debt-to-equity ratio of 10.12. The business has a fifty day simple moving average of $6.31 and a 200-day simple moving average of $6.77.

Redwood Trust Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, March 28th. Stockholders of record on Thursday, March 21st were issued a dividend of $0.16 per share. This represents a $0.64 annualized dividend and a dividend yield of 10.05%. The ex-dividend date of this dividend was Wednesday, March 20th. Redwood Trust’s payout ratio is presently -533.33%.

Institutional Trading of Redwood Trust

Several institutional investors have recently modified their holdings of the company. Vanguard Group Inc. increased its stake in shares of Redwood Trust by 0.6% in the 4th quarter. Vanguard Group Inc. now owns 12,973,503 shares of the real estate investment trust’s stock valued at $96,134,000 after buying an additional 78,222 shares during the period. Wellington Management Group LLP increased its stake in shares of Redwood Trust by 164.4% in the 4th quarter. Wellington Management Group LLP now owns 11,314,715 shares of the real estate investment trust’s stock valued at $83,842,000 after buying an additional 7,035,524 shares during the period. State Street Corp increased its stake in shares of Redwood Trust by 1.9% in the 3rd quarter. State Street Corp now owns 4,359,312 shares of the real estate investment trust’s stock valued at $25,022,000 after buying an additional 79,780 shares during the period. Adage Capital Partners GP L.L.C. increased its stake in shares of Redwood Trust by 15.6% in the 3rd quarter. Adage Capital Partners GP L.L.C. now owns 3,777,300 shares of the real estate investment trust’s stock valued at $26,932,000 after buying an additional 509,536 shares during the period. Finally, Geode Capital Management LLC increased its stake in shares of Redwood Trust by 9.3% in the 2nd quarter. Geode Capital Management LLC now owns 2,357,620 shares of the real estate investment trust’s stock valued at $15,018,000 after buying an additional 199,769 shares during the period. Institutional investors and hedge funds own 74.34% of the company’s stock.

About Redwood Trust

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.