JPMorgan Chase & Co. Has Lowered Expectations for Redwood Trust (NYSE:RWT) Stock Price

Redwood Trust (NYSE:RWT) had its price objective cut by research analysts at JPMorgan Chase & Co. from $7.00 to $6.50 in a research note issued to investors on Tuesday,Benzinga reports. The firm presently has a “neutral” rating on the real estate investment trust’s stock. JPMorgan Chase & Co.‘s price target would indicate a potential upside of 2.60% from the company’s previous close.

A number of other research firms have also commented on RWT. StockNews.com raised shares of Redwood Trust from a “sell” rating to a “hold” rating in a research report on Monday, November 11th. JMP Securities raised their target price on shares of Redwood Trust from $8.50 to $9.00 and gave the company a “market outperform” rating in a research note on Friday, October 4th. Five research analysts have rated the stock with a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, Redwood Trust has an average rating of “Moderate Buy” and an average price target of $7.97.

Redwood Trust Trading Down 1.3 %

Shares of NYSE:RWT opened at $6.34 on Tuesday. The company has a current ratio of 44.36, a quick ratio of 44.36 and a debt-to-equity ratio of 14.55. The stock has a market capitalization of $839.51 million, a PE ratio of 11.52 and a beta of 1.57. Redwood Trust has a 1 year low of $5.45 and a 1 year high of $8.15. The firm has a fifty day moving average price of $6.79 and a 200 day moving average price of $7.18.

Redwood Trust (NYSE:RWT) last released its quarterly earnings results on Wednesday, October 30th. The real estate investment trust reported $0.18 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.14 by $0.04. Redwood Trust had a return on equity of 6.01% and a net margin of 9.35%. During the same quarter in the prior year, the firm posted $0.09 earnings per share. Analysts expect that Redwood Trust will post 0.57 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Victory Capital Management Inc. grew its position in Redwood Trust by 7.8% during the second quarter. Victory Capital Management Inc. now owns 33,849 shares of the real estate investment trust’s stock worth $220,000 after buying an additional 2,450 shares in the last quarter. Intech Investment Management LLC bought a new stake in shares of Redwood Trust in the 2nd quarter worth approximately $113,000. Public Sector Pension Investment Board grew its holdings in shares of Redwood Trust by 7.9% during the 2nd quarter. Public Sector Pension Investment Board now owns 290,767 shares of the real estate investment trust’s stock worth $1,887,000 after purchasing an additional 21,232 shares in the last quarter. Caxton Associates LP acquired a new stake in shares of Redwood Trust during the 2nd quarter worth approximately $234,000. Finally, Algert Global LLC bought a new stake in shares of Redwood Trust during the second quarter valued at approximately $86,000. 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.