Wells Fargo & Company Boosts Redwood Trust (NYSE:RWT) Price Target to $8.50

Redwood Trust (NYSE:RWT) had its target price lifted by Wells Fargo & Company from $7.50 to $8.50 in a research note released on Friday morning, Benzinga reports. They currently have an equal weight rating on the real estate investment trust’s stock.

A number of other equities research analysts have also recently issued reports on the company. JPMorgan Chase & Co. boosted their price objective on Redwood Trust from $7.00 to $7.50 and gave the stock an overweight rating in a report on Tuesday, July 16th. Piper Sandler boosted their price objective on Redwood Trust from $6.50 to $7.50 and gave the stock a neutral rating in a report on Monday, August 5th. Wedbush boosted their price objective on Redwood Trust from $6.50 to $7.00 and gave the stock a neutral rating in a report on Friday, August 2nd. Raymond James boosted their price target on Redwood Trust from $8.50 to $9.50 and gave the company a strong-buy rating in a research note on Thursday, September 19th. Finally, JMP Securities boosted their price target on Redwood Trust from $8.00 to $8.50 and gave the company a market outperform rating in a research note on Friday, July 19th. Four equities research analysts have rated the stock with a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of Moderate Buy and a consensus price target of $8.08.

Redwood Trust Trading Down 2.4 %

Shares of NYSE:RWT opened at $7.74 on Friday. Redwood Trust has a 12-month low of $5.45 and a 12-month high of $8.15. The stock has a market cap of $1.02 billion, a PE ratio of 110.57 and a beta of 1.58. The business has a 50 day moving average of $7.39 and a 200-day moving average of $6.66. The company has a quick ratio of 50.47, a current ratio of 50.47 and a debt-to-equity ratio of 12.97.

Redwood Trust (NYSE:RWT) last issued its quarterly earnings data on Thursday, August 1st. The real estate investment trust reported $0.13 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.12 by $0.01. Redwood Trust had a return on equity of 4.93% and a net margin of 4.45%. During the same quarter in the previous year, the firm earned $0.14 earnings per share. As a group, equities research analysts forecast that Redwood Trust will post 0.5 earnings per share for the current year.

Redwood Trust Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, September 30th. Investors of record on Monday, September 23rd will be paid a $0.17 dividend. This is a boost from Redwood Trust’s previous quarterly dividend of $0.16. This represents a $0.68 annualized dividend and a dividend yield of 8.79%. The ex-dividend date of this dividend is Monday, September 23rd. Redwood Trust’s payout ratio is 971.43%.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Concurrent Investment Advisors LLC acquired a new position in Redwood Trust during the second quarter valued at approximately $69,000. MQS Management LLC acquired a new position in shares of Redwood Trust during the first quarter worth $72,000. Algert Global LLC acquired a new position in shares of Redwood Trust during the second quarter worth $86,000. Ameritas Investment Partners Inc. increased its holdings in shares of Redwood Trust by 26.5% during the first quarter. Ameritas Investment Partners Inc. now owns 14,324 shares of the real estate investment trust’s stock worth $91,000 after buying an additional 3,000 shares in the last quarter. Finally, Quest Partners LLC acquired a new position in shares of Redwood Trust during the fourth quarter worth $107,000. 74.34% of the stock is currently owned by institutional investors and hedge funds.

About Redwood Trust

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.