Redwood Trust (NYSE:RWT) Hits New 1-Year Low – Here’s What Happened

Redwood Trust, Inc. (NYSE:RWT) shares hit a new 52-week low on Monday . The company traded as low as $4.39 and last traded at $4.3750, with a volume of 373265 shares changing hands. The stock had previously closed at $4.48.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on RWT. BTIG Research reduced their price target on shares of Redwood Trust from $8.50 to $6.00 and set a “buy” rating for the company in a report on Wednesday, June 17th. JonesTrading restated a “buy” rating and set a $6.25 price objective on shares of Redwood Trust in a report on Thursday, April 30th. Wall Street Zen raised shares of Redwood Trust from a “sell” rating to a “hold” rating in a research report on Saturday, May 9th. Zacks Research lowered shares of Redwood Trust from a “strong-buy” rating to a “hold” rating in a research note on Monday, April 13th. Finally, Weiss Ratings reiterated a “sell (d)” rating on shares of Redwood Trust in a report on Wednesday, June 24th. Five equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $6.39.

Redwood Trust Price Performance

The stock has a market cap of $537.82 million, a P/E ratio of -5.49 and a beta of 1.37. The company has a 50 day simple moving average of $5.23 and a 200 day simple moving average of $5.59. The company has a current ratio of 59.63, a quick ratio of 59.63 and a debt-to-equity ratio of 28.42.

Redwood Trust Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Tuesday, June 23rd were issued a $0.18 dividend. The ex-dividend date was Tuesday, June 23rd. This represents a $0.72 dividend on an annualized basis and a dividend yield of 16.8%. Redwood Trust’s dividend payout ratio (DPR) is -92.31%.

Institutional Trading of Redwood Trust

Institutional investors have recently made changes to their positions in the business. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Redwood Trust by 26.7% in 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 buying an additional 103,893 shares during the last quarter. Jane Street Group LLC acquired a new position in shares of Redwood Trust during the 1st quarter worth about $2,018,000. Strs Ohio acquired a new position in shares of Redwood Trust during the 1st quarter worth about $149,000. XTX Topco Ltd grew its holdings in shares of Redwood Trust by 35.4% in the 2nd quarter. XTX Topco Ltd now owns 14,513 shares of the real estate investment trust’s stock valued at $86,000 after acquiring an additional 3,795 shares in the last quarter. Finally, Russell Investments Group Ltd. grew its holdings in shares of Redwood Trust by 331.8% in the 2nd quarter. Russell Investments Group Ltd. now owns 7,915 shares of the real estate investment trust’s stock valued at $47,000 after acquiring an additional 6,082 shares in the last quarter. Institutional investors own 74.34% of the company’s stock.

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.