Redwood Trust (NYSE:RWT) Sets New 12-Month Low – What’s Next?

Redwood Trust, Inc. (NYSE:RWT)’s share price hit a new 52-week low on Monday . The company traded as low as $4.99 and last traded at $4.9950, with a volume of 705894 shares. The stock had previously closed at $5.16.

Analyst Ratings Changes

Several research analysts have commented on the company. BTIG Research cut their price objective on Redwood Trust from $8.50 to $6.00 and set a “buy” rating on the stock in a research report on Wednesday, June 17th. Wall Street Zen raised Redwood Trust from a “sell” rating to a “hold” rating in a research report on Saturday, May 9th. Piper Sandler increased their target price on Redwood Trust from $6.00 to $6.50 and gave the company a “neutral” rating in a research note on Thursday, April 30th. Zacks Research lowered Redwood Trust from a “strong-buy” rating to a “hold” rating in a research note on Monday, April 13th. Finally, JonesTrading reiterated a “buy” rating and set a $6.25 target price on shares of Redwood Trust in a report on Thursday, April 30th. Five research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, Redwood Trust currently has a consensus rating of “Hold” and an average price target of $6.54.

Redwood Trust Trading Down 4.2%

The company has a current ratio of 59.63, a quick ratio of 59.63 and a debt-to-equity ratio of 28.42. The business’s 50-day simple moving average is $5.47 and its two-hundred day simple moving average is $5.65. The company has a market capitalization of $619.21 million, a PE ratio of -6.34 and a beta of 1.37.

Redwood Trust Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Tuesday, June 23rd will be paid a $0.18 dividend. The ex-dividend date is Tuesday, June 23rd. This represents a $0.72 annualized dividend and a dividend yield of 14.6%. Redwood Trust’s payout ratio is -92.31%.

Institutional Investors Weigh In On Redwood Trust

A number of hedge funds have recently bought and sold shares of the business. Clearstead Advisors LLC raised its position in shares of Redwood Trust by 192.5% in the 4th quarter. Clearstead Advisors LLC now owns 5,428 shares of the real estate investment trust’s stock valued at $30,000 after purchasing an additional 3,572 shares in the last quarter. Russell Investments Group Ltd. grew its position in shares of Redwood Trust by 331.8% during the second quarter. Russell Investments Group Ltd. now owns 7,915 shares of the real estate investment trust’s stock worth $47,000 after buying an additional 6,082 shares in the last quarter. Westbourne Investments Inc. bought a new stake in shares of Redwood Trust in the fourth quarter worth $55,000. Bank of Marin bought a new stake in shares of Redwood Trust in the fourth quarter worth $58,000. Finally, Abel Hall LLC acquired a new stake in Redwood Trust in the fourth quarter valued at $58,000. Institutional investors and hedge funds own 74.34% of the company’s stock.

Redwood Trust Company Profile

Redwood Trust, Inc (NYSE:RWT) is a publicly traded real estate investment trust specializing in the U.S. residential mortgage market. Headquartered in Mill Valley, California, the company focuses on investing in a diversified portfolio of residential mortgage assets, including whole loans, agency and non-agency mortgage-backed securities, and structured credit products.

The company’s core activities encompass the acquisition, financing, and management of prime residential mortgage whole loans and mortgage-backed securities.