Redwood Trust, Inc. (NYSE:RWT) Receives $8.03 Average Target Price from Brokerages

Shares of Redwood Trust, Inc. (NYSE:RWT) have earned an average recommendation of “Moderate Buy” from the eight research firms that are covering the company, Marketbeat reports. Four research analysts have rated the stock with a hold recommendation, three have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 12-month target price among brokerages that have issued ratings on the stock in the last year is $8.03.

Several brokerages have recently weighed in on RWT. Raymond James increased their price objective on shares of Redwood Trust from $8.50 to $9.50 and gave the stock a “strong-buy” rating in a research note on Thursday, September 19th. StockNews.com upgraded shares of Redwood Trust from a “sell” rating to a “hold” rating in a research report on Monday, November 11th. JMP Securities boosted their price objective on shares of Redwood Trust from $8.50 to $9.00 and gave the company a “market outperform” rating in a research report on Friday, October 4th. JPMorgan Chase & Co. reaffirmed a “neutral” rating and issued a $7.00 target price (down from $8.00) on shares of Redwood Trust in a report on Monday, December 9th. Finally, Wells Fargo & Company boosted their price target on Redwood Trust from $7.50 to $8.50 and gave the company an “equal weight” rating in a report on Friday, September 20th.

Redwood Trust Stock Down 1.8 %

Redwood Trust stock opened at $6.97 on Friday. Redwood Trust has a one year low of $5.45 and a one year high of $8.15. The stock has a fifty day moving average of $7.26 and a 200 day moving average of $7.17. The company has a debt-to-equity ratio of 14.55, a quick ratio of 44.36 and a current ratio of 44.36. The stock has a market cap of $921.90 million, a PE ratio of 12.67 and a beta of 1.57.

Redwood Trust Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, December 30th. Shareholders of record on Monday, December 23rd will be paid a $0.18 dividend. This represents a $0.72 dividend on an annualized basis and a yield of 10.33%. The ex-dividend date of this dividend is Monday, December 23rd. This is a positive change from Redwood Trust’s previous quarterly dividend of $0.17. Redwood Trust’s dividend payout ratio is presently 130.91%.

Hedge Funds Weigh In On Redwood Trust

Several large investors have recently made changes to their positions in RWT. SG Americas Securities LLC bought a new stake in Redwood Trust during the 2nd quarter valued at approximately $242,000. Nisa Investment Advisors LLC raised its position in shares of Redwood Trust by 7.1% during the second quarter. Nisa Investment Advisors LLC now owns 93,427 shares of the real estate investment trust’s stock valued at $606,000 after buying an additional 6,192 shares during the last quarter. Louisiana State Employees Retirement System raised its position in shares of Redwood Trust by 2.2% during the second quarter. Louisiana State Employees Retirement System now owns 66,500 shares of the real estate investment trust’s stock valued at $432,000 after buying an additional 1,400 shares during the last quarter. Ceredex Value Advisors LLC boosted its position in shares of Redwood Trust by 48.8% during the second quarter. Ceredex Value Advisors LLC now owns 906,512 shares of the real estate investment trust’s stock worth $5,883,000 after acquiring an additional 297,100 shares during the last quarter. Finally, Raymond James Trust N.A. boosted its position in shares of Redwood Trust by 53.5% during the second quarter. Raymond James Trust N.A. now owns 18,118 shares of the real estate investment trust’s stock worth $118,000 after acquiring an additional 6,318 shares during the last quarter. 74.34% of the stock is currently owned by hedge funds and other institutional investors.

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.