Redwood Trust (NYSE:RWT) Given New $4.00 Price Target at Citizens Jmp

Redwood Trust (NYSE:RWT) had its price objective reduced by research analysts at Citizens Jmp from $6.00 to $4.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The brokerage presently has a “market outperform” rating on the real estate investment trust’s stock. Citizens Jmp’s target price would suggest a potential upside of 35.82% from the company’s current price.

A number of other brokerages also recently issued reports on RWT. Wells Fargo & Company cut their price objective on Redwood Trust from $7.00 to $6.00 and set an “equal weight” rating for the company in a research note on Wednesday, July 29th. JonesTrading decreased their target price on shares of Redwood Trust from $6.25 to $6.00 and set a “buy” rating on the stock in a research note on Tuesday, July 28th. Piper Sandler dropped their price target on shares of Redwood Trust from $5.25 to $3.75 and set a “neutral” rating for the company in a research report on Friday, October 9th. BTIG Research reduced their price objective on shares of Redwood Trust from $6.00 to $5.00 and set a “buy” rating for the company in a research note on Tuesday, October 6th. Finally, Keefe, Bruyette & Woods decreased their price objective on shares of Redwood Trust from $5.50 to $4.75 and set an “outperform” rating on the stock in a research report on Monday, September 14th. Seven analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Redwood Trust presently has an average rating of “Moderate Buy” and a consensus target price of $5.25.

Redwood Trust Price Performance

Shares of Redwood Trust stock opened at $2.94 on Thursday. Redwood Trust has a one year low of $2.91 and a one year high of $6.97. The stock’s fifty day moving average is $4.13 and its 200 day moving average is $4.86. The stock has a market cap of $369.93 million, a P/E ratio of -73.61 and a beta of 1.45. The company has a debt-to-equity ratio of 31.69, a quick ratio of 67.49 and a current ratio of 67.49.

Redwood Trust (NYSE:RWT) last released its earnings results on Tuesday, July 28th. The real estate investment trust reported $0.25 earnings per share for the quarter, beating the consensus estimate of $0.23 by $0.02. Redwood Trust had a return on equity of 16.02% and a net margin of 0.42%. The company had revenue of $56.01 million for the quarter, compared to the consensus estimate of $89.45 million. Sell-side analysts anticipate that Redwood Trust will post 1.01 earnings per share for the current year.

Insider Activity at Redwood Trust

In related news, CFO Brooke Carillo bought 26,065 shares of the business’s stock in a transaction that occurred on Tuesday, September 15th. The stock was bought at an average cost of $3.85 per share, with a total value of $100,350.25. Following the completion of the purchase, the chief financial officer owned 140,481 shares of the company’s stock, valued at approximately $540,851.85. The trade was a 22.78% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Greg H. Kubicek bought 50,000 shares of the business’s stock in a transaction that occurred on Tuesday, September 15th. The shares were bought at an average cost of $3.85 per share, with a total value of $192,500.00. Following the completion of the purchase, the director directly owned 127,185 shares of the company’s stock, valued at $489,662.25. This represents a 64.78% increase in their position. The disclosure for this purchase is available in the SEC filing. In the last three months, insiders have bought 244,171 shares of company stock worth $948,402. 3.30% of the stock is currently owned by corporate insiders.

Institutional Trading of Redwood Trust

Hedge funds have recently bought and sold shares of the stock. Envestnet Asset Management Inc. raised its holdings in shares of Redwood Trust by 371.2% during the 2nd quarter. Envestnet Asset Management Inc. now owns 107,266 shares of the real estate investment trust’s stock worth $508,000 after acquiring an additional 84,502 shares in the last quarter. State Street Corp boosted its position in shares of Redwood Trust by 5.1% during the 2nd quarter. State Street Corp now owns 5,216,721 shares of the real estate investment trust’s stock valued at $24,727,000 after acquiring an additional 254,399 shares during the last quarter. WINTON GROUP Ltd grew its holdings in shares of Redwood Trust by 10.8% in the second quarter. WINTON GROUP Ltd now owns 76,700 shares of the real estate investment trust’s stock valued at $364,000 after purchasing an additional 7,500 shares in the last quarter. Engineers Gate Manager LP grew its holdings in shares of Redwood Trust by 33.5% in the second quarter. Engineers Gate Manager LP now owns 45,400 shares of the real estate investment trust’s stock valued at $215,000 after purchasing an additional 11,400 shares in the last quarter. Finally, Squarepoint Ops LLC purchased a new position in shares of Redwood Trust in the second quarter valued at $157,000. Hedge funds and other institutional investors own 74.34% of the company’s stock.

Redwood Trust Company Profile

Redwood Trust, Inc (NYSE: RWT) is a specialty finance company focused on housing credit and residential real estate finance. Organized as a real estate investment trust, the company invests in and manages residential credit assets, including mortgage loans and mortgage-related securities, with an emphasis on assets that are not typically financed through traditional government-sponsored mortgage programs.

Redwood operates through several business platforms. Its residential mortgage banking activities include acquiring and financing prime jumbo loans and other residential mortgages, which may be held for investment or placed into private-label securitizations.