Redwood Trust (NYSE:RWT) Rating Increased to Hold at StockNews.com

StockNews.com upgraded shares of Redwood Trust (NYSE:RWT) from a sell rating to a hold rating in a research note published on Wednesday.

Several other equities analysts have also commented on the stock. JPMorgan Chase & Co. reduced their target price on shares of Redwood Trust from $7.00 to $6.50 and set a “neutral” rating on the stock in a report on Tuesday, January 21st. JMP Securities restated a “market outperform” rating and set a $8.00 price target on shares of Redwood Trust in a research report on Friday, February 14th. Five analysts have rated the stock with a hold rating, two have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $7.75.

Redwood Trust Stock Up 0.7 %

RWT opened at $6.48 on Wednesday. The business’s fifty day simple moving average is $6.47 and its 200 day simple moving average is $7.04. Redwood Trust has a 52 week low of $5.45 and a 52 week high of $8.15. The company has a quick ratio of 44.36, a current ratio of 44.36 and a debt-to-equity ratio of 14.09. The stock has a market cap of $858.07 million, a PE ratio of 19.62 and a beta of 1.63.

Redwood Trust (NYSE:RWT) last announced its quarterly earnings data on Thursday, February 13th. The real estate investment trust reported $0.13 EPS for the quarter, missing the consensus estimate of $0.16 by ($0.03). The firm 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, research analysts expect that Redwood Trust will post 0.78 earnings per share for the current fiscal year.

Redwood Trust Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, December 30th. Stockholders of record on Monday, December 23rd were paid a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 11.12%. This is an increase from Redwood Trust’s previous quarterly dividend of $0.17. The ex-dividend date was Monday, December 23rd. Redwood Trust’s dividend payout ratio is 218.18%.

Institutional Trading of Redwood Trust

Several large investors have recently modified their holdings of the business. Creative Planning purchased a new stake in Redwood Trust in the 3rd quarter worth approximately $91,000. Concurrent Investment Advisors LLC raised its holdings in shares of Redwood Trust by 269.9% during the third quarter. Concurrent Investment Advisors LLC now owns 39,273 shares of the real estate investment trust’s stock valued at $304,000 after acquiring an additional 28,655 shares in the last quarter. Apollon Wealth Management LLC lifted its stake in Redwood Trust by 7.2% in the third quarter. Apollon Wealth Management LLC now owns 77,972 shares of the real estate investment trust’s stock worth $603,000 after acquiring an additional 5,259 shares during the period. Intech Investment Management LLC boosted its holdings in Redwood Trust by 182.1% in the third quarter. Intech Investment Management LLC now owns 48,929 shares of the real estate investment trust’s stock valued at $378,000 after acquiring an additional 31,582 shares in the last quarter. Finally, Brown Brothers Harriman & Co. purchased a new position in Redwood Trust during the 3rd quarter valued at $39,000. 74.34% of the stock is owned by institutional investors.

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.