Redwood Trust (NYSE:RWT) Price Target Cut to $4.75 by Analysts at Keefe, Bruyette & Woods

Redwood Trust (NYSE:RWT) had its price objective cut by equities researchers at Keefe, Bruyette & Woods from $5.50 to $4.75 in a note issued to investors on Monday, Benzinga reports. The firm presently has an “outperform” rating on the real estate investment trust’s stock. Keefe, Bruyette & Woods’ price objective suggests a potential upside of 25.83% from the stock’s previous close.

A number of other research firms have also weighed in on RWT. UBS Group lowered their price objective on Redwood Trust from $7.00 to $6.50 and set a “buy” rating on the stock in a research note on Friday, August 21st. Piper Sandler lowered their target price on shares of Redwood Trust from $6.50 to $5.50 and set a “neutral” rating on the stock in a research report on Thursday, July 2nd. Zacks Research downgraded Redwood Trust from a “hold” rating to a “strong sell” rating in a research note on Tuesday, July 21st. JPMorgan Chase & Co. cut their price objective on shares of Redwood Trust from $6.50 to $6.00 and set an “overweight” rating on the stock in a report on Friday, July 17th. Finally, Citizens Jmp reduced their price objective on shares of Redwood Trust from $7.00 to $6.00 and set a “market outperform” rating on the stock in a research note on Wednesday, July 8th. Six investment analysts have rated the stock with a Buy rating, three have given a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $5.84.

Redwood Trust Stock Up 6.3%

NYSE RWT traded up $0.23 on Monday, hitting $3.77. The stock had a trading volume of 4,061,590 shares, compared to its average volume of 2,277,769. The business’s fifty day moving average price is $4.70 and its 200 day moving average price is $5.22. The stock has a market cap of $474.18 million, a price-to-earnings ratio of -94.35 and a beta of 1.37. The company has a debt-to-equity ratio of 31.69, a current ratio of 67.49 and a quick ratio of 67.49. Redwood Trust has a 52-week low of $3.22 and a 52-week high of $6.97.

Redwood Trust (NYSE:RWT) last released its earnings results on Tuesday, July 28th. The real estate investment trust reported $0.25 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.23 by $0.02. The firm had revenue of $56.01 million for the quarter, compared to the consensus estimate of $89.45 million. Redwood Trust had a return on equity of 16.02% and a net margin of 0.42%. Equities research analysts anticipate that Redwood Trust will post 1.03 earnings per share for the current year.

Institutional Investors Weigh In On Redwood Trust

Large investors have recently added to or reduced their stakes in the stock. WINTON GROUP Ltd raised its position in shares of Redwood Trust by 10.8% in the second quarter. WINTON GROUP Ltd now owns 76,700 shares of the real estate investment trust’s stock valued at $364,000 after purchasing an additional 7,500 shares during the period. Engineers Gate Manager LP boosted its holdings in Redwood Trust by 33.5% during the second quarter. Engineers Gate Manager LP now owns 45,400 shares of the real estate investment trust’s stock valued at $215,000 after acquiring an additional 11,400 shares during the period. Squarepoint Ops LLC acquired a new stake in shares of Redwood Trust in the second quarter valued at about $157,000. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new position in shares of Redwood Trust in the second quarter worth about $990,000. Finally, California State Teachers Retirement System lifted its position in shares of Redwood Trust by 518.9% during the 2nd quarter. California State Teachers Retirement System now owns 757,589 shares of the real estate investment trust’s stock worth $3,591,000 after purchasing an additional 635,187 shares during the last quarter. Institutional investors own 74.34% of the company’s stock.

Redwood Trust Company Profile

Redwood Trust, Inc is a real estate investment trust that focuses on residential real estate credit. The company invests in, finances and manages residential mortgage assets, including jumbo and other non-agency mortgage loans, mortgage-backed securities and related credit investments. Its activities are primarily focused on the U.S. housing market.

Redwood operates through businesses that support the origination, financing and securitization of residential mortgage credit. Its platform has historically included Sequoia, which acquires and securitizes residential loans, as well as CoreVest, which provides financing to residential real estate investors and developers.