Redwood Trust, Inc. (NYSE:RWT) Shares Sold by Wellington Management Group LLP

Wellington Management Group LLP lowered its holdings in shares of Redwood Trust, Inc. (NYSE:RWT - Free Report) by 22.2% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 11,369,304 shares of the real estate investment trust's stock after selling 3,241,960 shares during the quarter. Wellington Management Group LLP owned approximately 8.58% of Redwood Trust worth $74,242,000 at the end of the most recent reporting period.

A number of other hedge funds also recently bought and sold shares of the business. LaSalle St. Investment Advisors LLC purchased a new position in shares of Redwood Trust in the fourth quarter valued at approximately $37,000. Sovran Advisors LLC purchased a new position in Redwood Trust during the fourth quarter worth approximately $63,000. KBC Group NV lifted its position in Redwood Trust by 86.7% during the fourth quarter. KBC Group NV now owns 10,313 shares of the real estate investment trust's stock worth $67,000 after buying an additional 4,788 shares in the last quarter. Zacks Investment Management purchased a new position in Redwood Trust during the fourth quarter worth approximately $74,000. Finally, Cibc World Markets Corp purchased a new position in Redwood Trust during the fourth quarter worth approximately $80,000. Hedge funds and other institutional investors own 74.34% of the company's stock.

Redwood Trust Trading Down 1.4%

RWT stock traded down $0.08 during midday trading on Friday, hitting $5.46. 795,814 shares of the company's stock were exchanged, compared to its average volume of 945,629. The business has a 50-day simple moving average of $5.69 and a two-hundred day simple moving average of $6.30. The company has a current ratio of 44.36, a quick ratio of 44.36 and a debt-to-equity ratio of 14.09. The stock has a market capitalization of $726.82 million, a PE ratio of 16.55 and a beta of 1.45. Redwood Trust, Inc. has a 1-year low of $4.68 and a 1-year high of $8.15.

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

Redwood Trust Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, March 31st. Shareholders of record on Monday, March 24th were paid a dividend of $0.18 per share. The ex-dividend date of this dividend was Monday, March 24th. This represents a $0.72 annualized dividend and a yield of 13.19%. Redwood Trust's dividend payout ratio (DPR) is 327.27%.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on RWT shares. JMP Securities reduced their price objective on Redwood Trust from $8.00 to $7.50 and set a "market outperform" rating on the stock in a research report on Thursday, April 17th. JPMorgan Chase & Co. lifted their price objective on Redwood Trust from $5.50 to $6.00 and gave the stock a "neutral" rating in a research report on Thursday, May 1st. Jones Trading reiterated a "buy" rating and set a $7.00 price objective on shares of Redwood Trust in a research report on Friday, May 2nd. UBS Group lifted their price objective on Redwood Trust from $6.50 to $7.00 and gave the stock a "buy" rating in a research report on Monday, May 5th. Finally, Wall Street Zen upgraded Redwood Trust from a "sell" rating to a "hold" rating in a research report on Thursday, May 22nd. Five equities research analysts have rated the stock with a hold rating, four have assigned a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $7.44.

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.