Wedbush Comments on Redwood Trust, Inc.’s Q1 2025 Earnings (NYSE:RWT)

by · The Cerbat Gem

Redwood Trust, Inc. (NYSE:RWT – Free Report) – Equities researchers at Wedbush issued their Q1 2025 EPS estimates for Redwood Trust in a report issued on Thursday, October 10th. Wedbush analyst J. Mccanless forecasts that the real estate investment trust will earn $0.16 per share for the quarter. Wedbush has a “Neutral” rating and a $7.00 price objective on the stock. The consensus estimate for Redwood Trust’s current full-year earnings is $0.50 per share. Wedbush also issued estimates for Redwood Trust’s Q2 2025 earnings at $0.17 EPS, Q3 2025 earnings at $0.19 EPS, Q4 2025 earnings at $0.18 EPS, FY2025 earnings at $0.70 EPS and FY2026 earnings at $0.80 EPS.

Redwood Trust (NYSE:RWT – Get Free Report) last announced its earnings results on Thursday, August 1st. The real estate investment trust reported $0.13 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.12 by $0.01. Redwood Trust had a net margin of 4.45% and a return on equity of 4.93%. During the same quarter in the prior year, the company posted $0.14 EPS.

Several other analysts have also recently commented on RWT. Wells Fargo & Company raised their price target on shares of Redwood Trust from $7.50 to $8.50 and gave the stock an “equal weight” rating in a report on Friday, September 20th. JPMorgan Chase & Co. boosted their target price on Redwood Trust from $7.00 to $7.50 and gave the company an “overweight” rating in a research note on Tuesday, July 16th. Raymond James lifted their price target on Redwood Trust from $8.50 to $9.50 and gave the company a “strong-buy” rating in a report on Thursday, September 19th. Piper Sandler raised their price objective on shares of Redwood Trust from $6.50 to $7.50 and gave the company a “neutral” rating in a research report on Monday, August 5th. Finally, JMP Securities raised their price target on shares of Redwood Trust from $8.50 to $9.00 and gave the company a “market outperform” rating in a report on Friday, October 4th. Three analysts have rated the stock with a hold rating, five have given a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $8.14.

View Our Latest Research Report on RWT

Redwood Trust Trading Down 0.5 %

Shares of NYSE RWT opened at $7.52 on Monday. The company has a current ratio of 50.47, a quick ratio of 50.47 and a debt-to-equity ratio of 12.97. Redwood Trust has a one year low of $5.45 and a one year high of $8.15. The business has a 50-day moving average price of $7.48 and a two-hundred day moving average price of $6.82. The firm has a market capitalization of $994.29 million, a PE ratio of 44.24 and a beta of 1.58.

Redwood Trust Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, September 30th. Shareholders of record on Monday, September 23rd were issued a $0.17 dividend. The ex-dividend date of this dividend was Monday, September 23rd. This is an increase from Redwood Trust’s previous quarterly dividend of $0.16. This represents a $0.68 dividend on an annualized basis and a yield of 9.04%. Redwood Trust’s dividend payout ratio is 400.00%.

Hedge Funds Weigh In On Redwood Trust

Large investors have recently added to or reduced their stakes in the company. Wellington Management Group LLP increased its stake in Redwood Trust by 164.4% in the fourth quarter. Wellington Management Group LLP now owns 11,314,715 shares of the real estate investment trust’s stock valued at $83,842,000 after acquiring an additional 7,035,524 shares during the period. Vanguard Group Inc. boosted its holdings in Redwood Trust by 19.5% in the first quarter. Vanguard Group Inc. now owns 15,504,440 shares of the real estate investment trust’s stock valued at $98,763,000 after acquiring an additional 2,530,937 shares during the last quarter. Ceredex Value Advisors LLC raised its holdings in Redwood Trust by 48.8% during the 2nd quarter. Ceredex Value Advisors LLC now owns 906,512 shares of the real estate investment trust’s stock worth $5,883,000 after purchasing an additional 297,100 shares during the last quarter. Van ECK Associates Corp raised its stake in shares of Redwood Trust by 21.7% during the second quarter. Van ECK Associates Corp now owns 976,283 shares of the real estate investment trust’s stock worth $6,336,000 after buying an additional 174,317 shares during the last quarter. Finally, Mirae Asset Global Investments Co. Ltd. lifted its stake in shares of Redwood Trust by 13.0% in the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 1,103,231 shares of the real estate investment trust’s stock valued at $7,182,000 after purchasing an additional 127,143 shares during the period. Institutional investors and hedge funds own 74.34% of the company’s stock.

About Redwood Trust

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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.

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