Redwood Trust, Inc. (NYSE:RWT) Receives $7.66 Average Target Price from Analysts

Shares of Redwood Trust, Inc. (NYSE:RWT) have earned an average rating of “Moderate Buy” from the eight ratings firms that are covering the firm, MarketBeat Ratings reports. Three investment analysts have rated the stock with a hold recommendation, four have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12 month price target among brokerages that have issued ratings on the stock in the last year is $7.66.

A number of equities analysts recently commented on the stock. Wells Fargo & Company decreased their price objective on shares of Redwood Trust from $8.00 to $7.00 and set an “equal weight” rating for the company in a research note on Wednesday, February 21st. Keefe, Bruyette & Woods lowered their price target on Redwood Trust from $7.75 to $7.25 and set an “outperform” rating on the stock in a report on Wednesday, April 10th. Wedbush reissued a “neutral” rating and issued a $6.50 price objective on shares of Redwood Trust in a research note on Wednesday. Raymond James lowered their target price on Redwood Trust from $9.00 to $8.50 and set a “strong-buy” rating on the stock in a research note on Friday, January 19th. Finally, Piper Sandler reduced their price target on shares of Redwood Trust from $7.50 to $7.00 and set a “neutral” rating for the company in a research report on Wednesday, February 21st.

Institutional Trading of Redwood Trust

Large investors have recently added to or reduced their stakes in the business. Mutual of America Capital Management LLC raised its holdings in Redwood Trust by 9.1% during the first quarter. Mutual of America Capital Management LLC now owns 22,653 shares of the real estate investment trust’s stock valued at $144,000 after buying an additional 1,889 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. raised its stake in shares of Redwood Trust by 13.0% in the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 1,103,231 shares of the real estate investment trust’s stock valued at $7,182,000 after acquiring an additional 127,143 shares in the last quarter. Van ECK Associates Corp lifted its holdings in Redwood Trust by 13.2% in the 1st quarter. Van ECK Associates Corp now owns 801,966 shares of the real estate investment trust’s stock worth $5,109,000 after purchasing an additional 93,507 shares during the last quarter. Principal Financial Group Inc. boosted its position in Redwood Trust by 10.5% during the first quarter. Principal Financial Group Inc. now owns 682,706 shares of the real estate investment trust’s stock worth $4,349,000 after purchasing an additional 64,981 shares during the period. Finally, Peregrine Capital Management LLC grew its holdings in Redwood Trust by 13.3% during the first quarter. Peregrine Capital Management LLC now owns 1,148,565 shares of the real estate investment trust’s stock valued at $7,316,000 after purchasing an additional 134,715 shares during the last quarter. 74.34% of the stock is owned by institutional investors.

Redwood Trust Stock Performance

Shares of RWT opened at $6.34 on Thursday. The company has a 50-day moving average of $6.03 and a two-hundred day moving average of $6.61. The stock has a market cap of $834.20 million, a price-to-earnings ratio of 90.57 and a beta of 1.50. The company has a debt-to-equity ratio of 10.08, a current ratio of 10.79 and a quick ratio of 7.36. Redwood Trust has a one year low of $5.45 and a one year high of $8.30.

Redwood Trust Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, March 28th. Investors of record on Thursday, March 21st were given a dividend of $0.16 per share. This represents a $0.64 annualized dividend and a yield of 10.09%. The ex-dividend date was Wednesday, March 20th. Redwood Trust’s payout ratio is presently 914.29%.

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.