Brevan Howard Capital Management LP Makes New Investment in Redwood Trust, Inc. (NYSE:RWT)

Brevan Howard Capital Management LP purchased a new position in Redwood Trust, Inc. (NYSE:RWT - Free Report) during the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor purchased 50,703 shares of the real estate investment trust's stock, valued at approximately $331,000.

Several other institutional investors have also made changes to their positions in the company. LaSalle St. Investment Advisors LLC bought a new position in Redwood Trust in the 4th quarter worth $37,000. Sovran Advisors LLC bought a new position in shares of Redwood Trust during the 4th quarter worth approximately $63,000. KBC Group NV raised its position in Redwood Trust by 86.7% in the 4th quarter. KBC Group NV now owns 10,313 shares of the real estate investment trust's stock valued at $67,000 after purchasing an additional 4,788 shares during the last quarter. Zacks Investment Management acquired a new position in shares of Redwood Trust during the fourth quarter worth approximately $74,000. Finally, Cibc World Markets Corp acquired a new stake in shares of Redwood Trust in the 4th quarter valued at $80,000. 74.34% of the stock is currently owned by institutional investors and hedge funds.

Redwood Trust Trading Up 0.3%

Shares of Redwood Trust stock traded up $0.02 during midday trading on Tuesday, reaching $5.94. The company had a trading volume of 678,274 shares, compared to its average volume of 946,564. The firm has a market cap of $789.92 million, a PE ratio of 18.00 and a beta of 1.45. The company has a debt-to-equity ratio of 14.09, a current ratio of 44.36 and a quick ratio of 44.36. Redwood Trust, Inc. has a fifty-two week low of $4.68 and a fifty-two week high of $8.15. The stock has a fifty day moving average price of $5.88 and a 200 day moving average price of $6.45.

Redwood Trust (NYSE:RWT - Get Free Report) last issued its earnings results on Wednesday, April 30th. The real estate investment trust reported $0.14 EPS for the quarter, missing the consensus estimate of $0.17 by ($0.03). Redwood Trust had a net margin of 9.35% and a return on equity of 6.91%. The firm had revenue of $73.80 million during the quarter, compared to analyst estimates of $26.55 million. On average, equities analysts anticipate that Redwood Trust, Inc. will post 0.78 earnings per share for the current year.

Redwood Trust Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Monday, March 31st. Shareholders of record on Monday, March 24th were given a $0.18 dividend. This represents a $0.72 dividend on an annualized basis and a yield of 12.12%. The ex-dividend date was Monday, March 24th. Redwood Trust's payout ratio is 327.27%.

Analysts Set New Price Targets

Several research analysts have recently issued reports on the company. UBS Group raised their price target on Redwood Trust from $6.50 to $7.00 and gave the stock a "buy" rating in a research report on Monday, May 5th. JMP Securities dropped their target price on Redwood Trust from $8.00 to $7.50 and set a "market outperform" rating on the stock in a report on Thursday, April 17th. Keefe, Bruyette & Woods dropped their price target on Redwood Trust from $7.75 to $7.00 and set an "outperform" rating on the stock in a research note on Tuesday, May 6th. StockNews.com upgraded shares of Redwood Trust from a "sell" rating to a "hold" rating in a research note on Wednesday, March 5th. Finally, Jones Trading reissued a "buy" rating and issued a $7.00 price objective on shares of Redwood Trust in a research note on Friday, May 2nd. Five research analysts have rated the stock with a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $7.44.

About Redwood Trust

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.