Redwood Trust, Inc. (NYSE:RWT) Given Consensus Recommendation of “Moderate Buy” by Brokerages

Shares of Redwood Trust, Inc. (NYSE:RWT) have received an average recommendation of “Moderate Buy” from the nine brokerages that are covering the firm, MarketBeat.com reports. Three investment analysts have rated the stock with a hold rating, five have given a buy rating and one has issued a strong buy rating on the company. The average twelve-month price target among brokers that have covered the stock in the last year is $8.19.

RWT has been the subject of several recent research reports. Piper Sandler boosted their target price on shares of Redwood Trust from $6.50 to $7.50 and gave the stock a “neutral” rating in a research report on Monday, August 5th. JPMorgan Chase & Co. upped 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. Wedbush lifted their price objective on Redwood Trust from $6.50 to $7.00 and gave the company a “neutral” rating in a research report on Friday, August 2nd. Wells Fargo & Company upped their price objective on Redwood Trust from $7.50 to $8.50 and gave the stock an “equal weight” rating in a report on Friday, September 20th. Finally, StockNews.com raised Redwood Trust from a “sell” rating to a “hold” rating in a research note on Monday, November 11th.

Redwood Trust Trading Up 0.3 %

NYSE:RWT opened at $7.06 on Monday. The stock has a market cap of $933.83 million, a PE ratio of 12.84 and a beta of 1.59. Redwood Trust has a fifty-two week low of $5.45 and a fifty-two week high of $8.15. The company has a debt-to-equity ratio of 14.55, a current ratio of 44.36 and a quick ratio of 44.36. The stock’s 50-day moving average is $7.54 and its two-hundred day moving average is $7.05.

Redwood Trust Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, September 30th. Stockholders of record on Monday, September 23rd were issued a $0.17 dividend. This is a positive change from Redwood Trust’s previous quarterly dividend of $0.16. The ex-dividend date of this dividend was Monday, September 23rd. This represents a $0.68 annualized dividend and a dividend yield of 9.63%. Redwood Trust’s payout ratio is 123.64%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Geode Capital Management LLC raised its position in Redwood Trust by 0.8% in the 3rd quarter. Geode Capital Management LLC now owns 3,038,438 shares of the real estate investment trust’s stock valued at $23,492,000 after buying an additional 25,444 shares during the last quarter. Wellington Management Group LLP raised its holdings in shares of Redwood Trust by 6.9% in the third quarter. Wellington Management Group LLP now owns 14,611,264 shares of the real estate investment trust’s stock valued at $112,945,000 after purchasing an additional 941,223 shares during the last quarter. State Street Corp lifted its position in shares of Redwood Trust by 2.0% in the third quarter. State Street Corp now owns 5,189,667 shares of the real estate investment trust’s stock worth $40,116,000 after purchasing an additional 102,274 shares in the last quarter. Systematic Financial Management LP bought a new stake in Redwood Trust during the 3rd quarter worth about $1,217,000. Finally, NFC Investments LLC boosted its position in Redwood Trust by 127.7% during the third quarter. NFC Investments LLC now owns 484,975 shares of the real estate investment trust’s stock valued at $3,749,000 after purchasing an additional 271,975 shares during the last quarter. 74.34% of the stock is owned by institutional investors and hedge funds.

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.