Insider Buying: Redwood Trust (NYSE:RWT) CFO Purchases $100,350.25 in Stock

Redwood Trust, Inc. (NYSE:RWT) CFO Brooke Carillo bought 26,065 shares of the stock in a transaction on Tuesday, September 15th. The stock was acquired at an average price of $3.85 per share, with a total value of $100,350.25. Following the completion of the acquisition, the chief financial officer owned 140,481 shares of the company’s stock, valued at $540,851.85. This represents a 22.78% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink.

Redwood Trust Price Performance

Shares of RWT opened at $3.96 on Friday. Redwood Trust, Inc. has a 52-week low of $3.22 and a 52-week high of $6.97. The company has a debt-to-equity ratio of 31.69, a quick ratio of 67.49 and a current ratio of 67.49. The business’s 50 day moving average price is $4.63 and its two-hundred day moving average price is $5.16. The firm has a market cap of $496.79 million, a PE ratio of -98.85 and a beta of 1.37.

Redwood Trust (NYSE:RWT) last announced its quarterly earnings data on Tuesday, July 28th. The real estate investment trust reported $0.25 EPS for the quarter, topping the consensus estimate of $0.23 by $0.02. The company had revenue of $56.01 million during the quarter, compared to the consensus estimate of $89.45 million. Redwood Trust had a net margin of 0.42% and a return on equity of 16.02%. On average, equities analysts anticipate that Redwood Trust, Inc. will post 1.03 EPS for the current year.

Redwood Trust Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 23rd will be issued a $0.18 dividend. This represents a $0.72 dividend on an annualized basis and a yield of 18.2%. The ex-dividend date is Wednesday, September 23rd. Redwood Trust’s dividend payout ratio (DPR) is presently -1,800.00%.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on RWT. Weiss Ratings reiterated a “sell (d)” rating on shares of Redwood Trust in a report on Wednesday, June 24th. BTIG Research restated a “buy” rating and issued a $6.00 target price on shares of Redwood Trust in a research note on Tuesday, July 28th. Zacks Research raised Redwood Trust from a “strong sell” rating to a “hold” rating in a research report on Tuesday. Piper Sandler dropped their price target on Redwood Trust from $6.50 to $5.50 and set a “neutral” rating on the stock in a research note on Thursday, July 2nd. Finally, Wells Fargo & Company cut their price target on Redwood Trust from $7.00 to $6.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 29th. Six investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $5.84.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the business. WINTON GROUP Ltd grew its holdings in shares of Redwood Trust by 10.8% during the second quarter. WINTON GROUP Ltd now owns 76,700 shares of the real estate investment trust’s stock valued at $364,000 after buying an additional 7,500 shares during the last quarter. Engineers Gate Manager LP lifted its position in Redwood Trust by 33.5% in the 2nd quarter. Engineers Gate Manager LP now owns 45,400 shares of the real estate investment trust’s stock valued at $215,000 after acquiring an additional 11,400 shares in the last quarter. Squarepoint Ops LLC bought a new position in Redwood Trust in the 2nd quarter valued at about $157,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in Redwood Trust during the 2nd quarter valued at about $990,000. Finally, Two Sigma Securities LLC acquired a new position in Redwood Trust during the 2nd quarter valued at about $140,000. 74.34% of the stock is owned by institutional investors.

Redwood Trust Company Profile

Redwood Trust, Inc is a real estate investment trust that focuses on residential real estate credit. The company invests in, finances and manages residential mortgage assets, including jumbo and other non-agency mortgage loans, mortgage-backed securities and related credit investments. Its activities are primarily focused on the U.S. housing market.

Redwood operates through businesses that support the origination, financing and securitization of residential mortgage credit. Its platform has historically included Sequoia, which acquires and securitizes residential loans, as well as CoreVest, which provides financing to residential real estate investors and developers.