Redwood Trust (NYSE:RWT) Upgraded by JPMorgan Chase & Co. to Overweight Rating

Redwood Trust (NYSE:RWT) was upgraded by stock analysts at JPMorgan Chase & Co. from a “neutral” rating to an “overweight” rating in a research note issued to investors on Friday, MarketBeat Ratings reports. The firm currently has a $6.00 price objective on the real estate investment trust’s stock. JPMorgan Chase & Co.‘s price objective suggests a potential upside of 6.38% from the company’s current price.

Other equities research analysts have also recently issued research reports about the company. BTIG Research reiterated a “buy” rating and set a $8.50 price objective on shares of Redwood Trust in a research note on Friday, September 26th. Weiss Ratings reiterated a “sell (d)” rating on shares of Redwood Trust in a research note on Wednesday, October 8th. Wall Street Zen lowered shares of Redwood Trust from a “hold” rating to a “sell” rating in a research note on Saturday, January 17th. Finally, Jones Trading cut their target price on shares of Redwood Trust from $7.00 to $6.25 and set a “buy” rating for the company in a research note on Thursday, October 30th. Five investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $6.75.

Redwood Trust Stock Down 1.1%

RWT stock opened at $5.64 on Friday. The company has a debt-to-equity ratio of 22.73, a current ratio of 57.77 and a quick ratio of 57.77. The stock has a market capitalization of $714.48 million, a P/E ratio of -6.96 and a beta of 1.58. The business has a 50-day moving average of $5.54 and a 200-day moving average of $5.72. Redwood Trust has a fifty-two week low of $4.68 and a fifty-two week high of $6.73.

Redwood Trust (NYSE:RWT) last issued its quarterly earnings results on Wednesday, October 29th. The real estate investment trust reported $0.20 EPS for the quarter, topping the consensus estimate of $0.16 by $0.04. The firm had revenue of $54.37 million for the quarter, compared to analysts’ expectations of $31.04 million. Redwood Trust had a negative net margin of 8.62% and a positive return on equity of 9.19%. On average, sell-side analysts anticipate that Redwood Trust will post 0.78 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Redwood Trust

A number of large investors have recently modified their holdings of RWT. CWM LLC boosted its stake in Redwood Trust by 270.5% in the second quarter. CWM LLC now owns 6,168 shares of the real estate investment trust’s stock valued at $36,000 after buying an additional 4,503 shares in the last quarter. Russell Investments Group Ltd. grew its stake 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 during the last quarter. Westbourne Investments Inc. acquired a new position in Redwood Trust in the 4th quarter worth about $55,000. Tower Research Capital LLC TRC raised its holdings in Redwood Trust by 136.9% in the 2nd quarter. Tower Research Capital LLC TRC now owns 10,823 shares of the real estate investment trust’s stock valued at $64,000 after buying an additional 6,255 shares during the last quarter. Finally, Verition Fund Management LLC bought a new position in shares of Redwood Trust during the third quarter valued at $64,000. 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.