Redwood Trust (NYSE:RWT) Raised to “Hold” at Wall Street Zen

Redwood Trust (NYSE:RWT) was upgraded by equities researchers at Wall Street Zen from a “sell” rating to a “hold” rating in a research note issued on Sunday.

RWT has been the topic of several other research reports. Jones Trading lowered their target price on shares of Redwood Trust from $7.00 to $6.25 and set a “buy” rating on the stock in a research note on Thursday, October 30th. Weiss Ratings reissued a “sell (d)” rating on shares of Redwood Trust in a report on Thursday. Finally, JPMorgan Chase & Co. upgraded shares of Redwood Trust from a “neutral” rating to an “overweight” rating and set a $6.00 price objective on the stock in a research report on Friday. Five analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $6.75.

Redwood Trust Stock Performance

Shares of RWT opened at $5.82 on Friday. The company has a market cap of $736.64 million, a price-to-earnings ratio of -7.18 and a beta of 1.58. The business’s fifty day simple moving average is $5.55 and its two-hundred day simple moving average is $5.72. Redwood Trust has a 12 month low of $4.68 and a 12 month high of $6.73. The company has a current ratio of 57.77, a quick ratio of 57.77 and a debt-to-equity ratio of 22.73.

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

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in RWT. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in shares of Redwood Trust by 26.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 492,661 shares of the real estate investment trust’s stock valued at $2,990,000 after acquiring an additional 103,893 shares during the period. Jane Street Group LLC purchased a new position in Redwood Trust during the first quarter valued at $2,018,000. Strs Ohio bought a new stake in Redwood Trust during the first quarter valued at about $149,000. State of Alaska Department of Revenue increased its position in Redwood Trust by 8.0% in the second quarter. State of Alaska Department of Revenue now owns 79,299 shares of the real estate investment trust’s stock worth $467,000 after buying an additional 5,871 shares in the last quarter. Finally, Inspire Investing LLC increased its position in Redwood Trust by 16.8% in the second quarter. Inspire Investing LLC now owns 66,356 shares of the real estate investment trust’s stock worth $392,000 after buying an additional 9,547 shares in the last quarter. 74.34% of the stock is currently owned by institutional investors.

About Redwood Trust

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.