Redwood Trust (NYSE:RWT) Issues Earnings Results, Misses Estimates By $0.03 EPS

Redwood Trust (NYSE:RWT) issued its quarterly earnings data on Thursday. The real estate investment trust reported $0.13 earnings per share for the quarter, missing the consensus estimate of $0.16 by ($0.03), Zacks reports. Redwood Trust had a return on equity of 6.01% and a net margin of 9.35%.

Redwood Trust Stock Down 1.5 %

RWT opened at $6.37 on Friday. The firm has a 50 day moving average price of $6.58 and a 200 day moving average price of $7.10. The company has a market cap of $843.49 million, a PE ratio of 11.57 and a beta of 1.57. Redwood Trust has a 1 year low of $5.45 and a 1 year high of $8.15. The company has a debt-to-equity ratio of 14.55, a quick ratio of 44.36 and a current ratio of 44.36.

Redwood Trust Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, December 30th. Investors of record on Monday, December 23rd were given a dividend of $0.18 per share. This represents a $0.72 dividend on an annualized basis and a yield of 11.31%. The ex-dividend date of this dividend was Monday, December 23rd. This is an increase from Redwood Trust’s previous quarterly dividend of $0.17. Redwood Trust’s dividend payout ratio is 130.91%.

Analysts Set New Price Targets

Several brokerages have issued reports on RWT. JMP Securities reissued a “market outperform” rating and issued a $8.00 price objective on shares of Redwood Trust in a research note on Friday. StockNews.com raised shares of Redwood Trust from a “sell” rating to a “hold” rating in a research note on Monday, November 11th. Finally, JPMorgan Chase & Co. decreased their price objective on shares of Redwood Trust from $7.00 to $6.50 and set a “neutral” rating on the stock in a research report on Tuesday, January 21st. Five analysts have rated the stock with a hold rating, three have assigned a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $7.84.

Redwood Trust Company Profile

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.