FY2024 Earnings Forecast for Redwood Trust Issued By Wedbush

Redwood Trust, Inc. (NYSE:RWT) – Wedbush increased their FY2024 earnings per share estimates for Redwood Trust in a report released on Thursday, October 31st. Wedbush analyst J. Mccanless now anticipates that the real estate investment trust will post earnings per share of $0.55 for the year, up from their prior estimate of $0.50. Wedbush currently has a “Neutral” rating and a $7.00 target price on the stock. The consensus estimate for Redwood Trust’s current full-year earnings is $0.54 per share. Wedbush also issued estimates for Redwood Trust’s Q4 2024 earnings at $0.16 EPS, Q1 2025 earnings at $0.17 EPS, Q2 2025 earnings at $0.19 EPS, Q3 2025 earnings at $0.20 EPS, Q4 2025 earnings at $0.19 EPS, FY2025 earnings at $0.75 EPS and FY2026 earnings at $0.85 EPS.

Other equities research analysts have also issued research reports about the company. JMP Securities increased their target price on Redwood Trust from $8.50 to $9.00 and gave the company a “market outperform” rating in a research note on Friday, October 4th. StockNews.com lowered Redwood Trust from a “hold” rating to a “sell” rating in a research note on Friday, November 1st. Raymond James raised their price objective on Redwood Trust from $8.50 to $9.50 and gave the company a “strong-buy” rating in a research note on Thursday, September 19th. JPMorgan Chase & Co. raised their price objective on Redwood Trust from $7.50 to $8.00 and gave the company an “overweight” rating in a research note on Thursday, October 17th. Finally, Piper Sandler raised their price objective on Redwood Trust from $6.50 to $7.50 and gave the company a “neutral” rating in a research note on Monday, August 5th. One equities research analyst has rated the stock with a sell rating, three have issued a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $8.19.

Redwood Trust Price Performance

RWT stock opened at $7.23 on Monday. The company has a debt-to-equity ratio of 13.75, a quick ratio of 50.47 and a current ratio of 50.47. Redwood Trust has a 1 year low of $5.45 and a 1 year high of $8.15. The firm has a market cap of $955.26 million, a P/E ratio of 13.14 and a beta of 1.59. The stock has a 50-day simple moving average of $7.59 and a 200-day simple moving average of $6.98.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in RWT. GAMMA Investing LLC lifted its holdings in shares of Redwood Trust by 65.4% in the 3rd quarter. GAMMA Investing LLC now owns 5,169 shares of the real estate investment trust’s stock worth $40,000 after purchasing an additional 2,043 shares during the last quarter. Concurrent Investment Advisors LLC bought a new stake in shares of Redwood Trust in the 2nd quarter worth approximately $69,000. MQS Management LLC bought a new stake in shares of Redwood Trust in the 1st quarter worth approximately $72,000. Algert Global LLC bought a new stake in shares of Redwood Trust in the 2nd quarter worth approximately $86,000. Finally, Ameritas Investment Partners Inc. lifted its holdings in shares of Redwood Trust by 26.5% in the 1st quarter. Ameritas Investment Partners Inc. now owns 14,324 shares of the real estate investment trust’s stock worth $91,000 after purchasing an additional 3,000 shares during the last quarter. Institutional investors and hedge funds own 74.34% of the company’s stock.

Redwood Trust Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, September 30th. Stockholders of record on Monday, September 23rd were given a $0.17 dividend. This is a positive change from Redwood Trust’s previous quarterly dividend of $0.16. The ex-dividend date was Monday, September 23rd. This represents a $0.68 annualized dividend and a dividend yield of 9.41%. Redwood Trust’s dividend payout ratio (DPR) is presently 123.64%.

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.