Vanguard Group Inc. Lowers Stock Holdings in Redwood Trust, Inc. $RWT

Vanguard Group Inc. lowered its holdings in Redwood Trust, Inc. (NYSE:RWT) by 18.3% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 11,666,505 shares of the real estate investment trust’s stock after selling 2,613,936 shares during the period. Vanguard Group Inc. owned 9.21% of Redwood Trust worth $64,516,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also made changes to their positions in RWT. Russell Investments Group Ltd. grew its position in shares of Redwood Trust by 331.8% in the second quarter. Russell Investments Group Ltd. now owns 7,915 shares of the real estate investment trust’s stock valued at $47,000 after purchasing an additional 6,082 shares during the period. CWM LLC grew its position in shares of Redwood Trust by 54.2% in the third quarter. CWM LLC now owns 9,514 shares of the real estate investment trust’s stock valued at $55,000 after purchasing an additional 3,346 shares during the period. Westbourne Investments Inc. purchased a new stake in shares of Redwood Trust in the fourth quarter valued at $55,000. GAMMA Investing LLC grew its position in shares of Redwood Trust by 71.6% in the fourth quarter. GAMMA Investing LLC now owns 11,054 shares of the real estate investment trust’s stock valued at $61,000 after purchasing an additional 4,611 shares during the period. Finally, Tower Research Capital LLC TRC grew its position in shares of Redwood Trust by 136.9% in the second quarter. Tower Research Capital LLC TRC now owns 10,823 shares of the real estate investment trust’s stock valued at $64,000 after purchasing an additional 6,255 shares during the period. Hedge funds and other institutional investors own 74.34% of the company’s stock.

Redwood Trust Price Performance

Shares of Redwood Trust stock opened at $5.27 on Friday. Redwood Trust, Inc. has a twelve month low of $5.00 and a twelve month high of $6.97. The stock has a market capitalization of $659.28 million, a P/E ratio of -6.75 and a beta of 1.40. 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 fifty day moving average price is $5.71 and its 200 day moving average price is $5.66.

Redwood Trust (NYSE:RWT) last issued its earnings results on Wednesday, February 11th. The real estate investment trust reported $0.20 earnings per share for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.02). The firm had revenue of $140.33 million during the quarter, compared to analyst estimates of $24.88 million. Redwood Trust had a negative net margin of 7.23% and a positive return on equity of 14.53%. As a group, research analysts anticipate that Redwood Trust, Inc. will post 1.28 earnings per share for the current year.

Redwood Trust Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Tuesday, March 24th were given a $0.18 dividend. The ex-dividend date of this dividend was Tuesday, March 24th. This represents a $0.72 annualized dividend and a dividend yield of 13.7%. Redwood Trust’s dividend payout ratio is presently -92.31%.

Wall Street Analysts Forecast Growth

RWT has been the subject of a number of recent analyst reports. Citigroup reaffirmed a “market perform” rating on shares of Redwood Trust in a research report on Wednesday, February 18th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Redwood Trust in a research report on Thursday, January 22nd. JonesTrading reiterated a “buy” rating and issued a $6.25 target price on shares of Redwood Trust in a report on Thursday, April 30th. Piper Sandler lifted their target price on Redwood Trust from $6.00 to $6.50 and gave the company a “neutral” rating in a report on Thursday, April 30th. Finally, Wall Street Zen upgraded Redwood Trust from a “sell” rating to a “hold” rating in a report on Saturday, May 9th. Five analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Redwood Trust has an average rating of “Hold” and an average target price of $6.89.

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.