Redwood Trust (NYSE:RWT) Given New $4.00 Price Target at Citizens Jmp

Redwood Trust (NYSE:RWT) had its price objective cut by equities research analysts at Citizens Jmp from $6.00 to $4.00 in a research note issued to investors on Thursday, Benzinga reports. The firm currently has a “market outperform” rating on the real estate investment trust’s stock. Citizens Jmp’s target price would indicate a potential upside of 35.82% from the stock’s current price.

RWT has been the topic of several other reports. Piper Sandler reduced their price objective on Redwood Trust from $5.25 to $3.75 and set a “neutral” rating on the stock in a research note on Friday, October 9th. JPMorgan Chase & Co. lowered their price objective on Redwood Trust from $6.50 to $6.00 and set an “overweight” rating for the company in a research note on Friday, July 17th. Citigroup reaffirmed a “market outperform” rating on shares of Redwood Trust in a research note on Thursday. Keefe, Bruyette & Woods dropped their target price on Redwood Trust from $5.50 to $4.75 and set an “outperform” rating for the company in a report on Monday, September 14th. Finally, Wells Fargo & Company cut their target price on Redwood Trust from $7.00 to $6.00 and set an “equal weight” rating on the stock in a research report on Wednesday, July 29th. Seven investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Redwood Trust currently has an average rating of “Moderate Buy” and an average price target of $5.25.

Redwood Trust Stock Down 3.4%

Shares of NYSE RWT opened at $2.94 on Thursday. The firm’s 50-day moving average price is $4.13 and its 200-day moving average price is $4.86. The company has a current ratio of 67.49, a quick ratio of 67.49 and a debt-to-equity ratio of 31.69. The stock has a market capitalization of $369.93 million, a price-to-earnings ratio of -73.61 and a beta of 1.45. Redwood Trust has a 12-month low of $2.91 and a 12-month high of $6.97.

Redwood Trust (NYSE:RWT) last announced its quarterly earnings results on Tuesday, July 28th. The real estate investment trust reported $0.25 EPS for the quarter, beating analysts’ consensus estimates of $0.23 by $0.02. Redwood Trust had a net margin of 0.42% and a return on equity of 16.02%. The firm had revenue of $56.01 million during the quarter, compared to the consensus estimate of $89.45 million. On average, equities research analysts anticipate that Redwood Trust will post 1.01 EPS for the current fiscal year.

Insider Activity

In other Redwood Trust news, CFO Brooke Carillo bought 26,065 shares of the company’s stock in a transaction on Tuesday, September 15th. The stock was acquired at an average price of $3.85 per share, for a total transaction of $100,350.25. Following the completion of the transaction, the chief financial officer directly owned 140,481 shares of the company’s stock, valued at approximately $540,851.85. This represents a 22.78% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Greg Kubicek bought 50,000 shares of the company’s stock in a transaction on Tuesday, September 15th. The shares were acquired at an average price of $3.85 per share, with a total value of $192,500.00. Following the transaction, the director directly owned 127,185 shares of the company’s stock, valued at approximately $489,662.25. This trade represents a 64.78% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders acquired 244,171 shares of company stock worth $948,402 in the last ninety days. 3.30% of the stock is currently owned by company insiders.

Institutional Trading of Redwood Trust

Large investors have recently modified their holdings of the company. Envestnet Asset Management Inc. grew its position in shares of Redwood Trust by 371.2% during the 2nd quarter. Envestnet Asset Management Inc. now owns 107,266 shares of the real estate investment trust’s stock worth $508,000 after buying an additional 84,502 shares in the last quarter. State Street Corp raised its holdings in shares of Redwood Trust by 5.1% in the second quarter. State Street Corp now owns 5,216,721 shares of the real estate investment trust’s stock valued at $24,727,000 after acquiring an additional 254,399 shares in the last quarter. WINTON GROUP Ltd raised its holdings 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 acquiring an additional 7,500 shares in the last quarter. Engineers Gate Manager LP raised its holdings in shares of Redwood Trust by 33.5% in 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 in the last quarter. Finally, Squarepoint Ops LLC purchased a new stake in Redwood Trust in the second quarter worth about $157,000. Hedge funds and other institutional investors own 74.34% of the company’s stock.

Redwood Trust Company Profile

Redwood Trust, Inc (NYSE: RWT) is a specialty finance company focused on housing credit and residential real estate finance. Organized as a real estate investment trust, the company invests in and manages residential credit assets, including mortgage loans and mortgage-related securities, with an emphasis on assets that are not typically financed through traditional government-sponsored mortgage programs.

Redwood operates through several business platforms. Its residential mortgage banking activities include acquiring and financing prime jumbo loans and other residential mortgages, which may be held for investment or placed into private-label securitizations.