Redwood Trust (NYSE:RWT) Price Target Raised to $7.00

Redwood Trust (NYSE:RWT) had its price objective upped by UBS Group from $6.50 to $7.00 in a report published on Wednesday morning, Marketbeat.com reports. They currently have a buy rating on the real estate investment trust’s stock.

Several other research analysts have also recently issued reports on the stock. Keefe, Bruyette & Woods lowered their target price on shares of Redwood Trust from $6.50 to $5.75 and set a “market perform” rating for the company in a report on Tuesday, August 5th. Wall Street Zen cut shares of Redwood Trust from a “hold” rating to a “strong sell” rating in a research note on Saturday, August 2nd. Finally, JMP Securities reduced their price objective on shares of Redwood Trust from $7.50 to $7.00 and set a “market outperform” rating for the company in a research note on Thursday, July 31st. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and three have given a Hold rating to the company. According to MarketBeat, Redwood Trust currently has an average rating of “Moderate Buy” and an average target price of $7.25.

Redwood Trust Price Performance

Shares of RWT opened at $6.37 on Wednesday. Redwood Trust has a fifty-two week low of $4.68 and a fifty-two week high of $8.15. The firm’s 50 day moving average price is $5.97 and its 200 day moving average price is $5.91. The company has a market cap of $822.49 million, a P/E ratio of -9.95 and a beta of 1.37. The company has a quick ratio of 40.39, a current ratio of 40.39 and a debt-to-equity ratio of 20.00.

Redwood Trust (NYSE:RWT) last announced its earnings results on Wednesday, July 30th. The real estate investment trust reported $0.18 earnings per share for the quarter, missing the consensus estimate of $0.19 by ($0.01). Redwood Trust had a positive return on equity of 8.70% and a negative net margin of 6.93%.The business had revenue of ($38.10) million for the quarter, compared to analysts’ expectations of $31.00 million. On average, research analysts forecast that Redwood Trust will post 0.78 earnings per share for the current fiscal year.

Redwood Trust Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, June 30th. Shareholders of record on Monday, June 23rd were given a dividend of $0.18 per share. This represents a $0.72 dividend on an annualized basis and a yield of 11.3%. The ex-dividend date of this dividend was Monday, June 23rd. Redwood Trust’s payout ratio is -112.50%.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. Cambridge Investment Research Advisors Inc. raised its holdings in Redwood Trust by 3.1% in the first quarter. Cambridge Investment Research Advisors Inc. now owns 59,300 shares of the real estate investment trust’s stock valued at $360,000 after acquiring an additional 1,767 shares in the last quarter. Northern Trust Corp grew its position in shares of Redwood Trust by 14.4% during the fourth quarter. Northern Trust Corp now owns 1,569,301 shares of the real estate investment trust’s stock worth $10,248,000 after acquiring an additional 197,719 shares during the last quarter. New York State Teachers Retirement System grew its position in shares of Redwood Trust by 1.5% during the first quarter. New York State Teachers Retirement System now owns 152,430 shares of the real estate investment trust’s stock worth $925,000 after acquiring an additional 2,326 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in shares of Redwood Trust by 33.3% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 388,768 shares of the real estate investment trust’s stock worth $2,539,000 after acquiring an additional 97,205 shares during the last quarter. Finally, Principal Financial Group Inc. grew its position in shares of Redwood Trust by 2.9% during the first quarter. Principal Financial Group Inc. now owns 659,909 shares of the real estate investment trust’s stock worth $4,006,000 after acquiring an additional 18,499 shares during the last quarter. 74.34% of the stock is owned by institutional investors and hedge funds.

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.