Redwood Trust, Inc. (NYSE:RWT) Declares Quarterly Dividend of $0.18

Key Points

• Redwood Trust, Inc. has announced a quarterly dividend of $0.18 per share, payable on September 30th to investors recorded on September 23rd, reflecting an annual yield of 11.6%.
• The company reported a loss in revenue and missed earnings expectations, posting an EPS of $0.18 for the last quarter, below the consensus estimate of $0.19.
• Analysts have mixed ratings on Redwood Trust, with a consensus rating of "Moderate Buy" and an average price target of $7.25, as some firms downgraded their ratings while others set new price targets.

Redwood Trust, Inc. (NYSE:RWT - Get Free Report) announced a quarterly dividend on Thursday, September 11th, RTT News reports. Shareholders of record on Tuesday, September 23rd will be paid a dividend of 0.18 per share by the real estate investment trust on Tuesday, September 30th. This represents a c) dividend on an annualized basis and a yield of 11.9%. The ex-dividend date is Tuesday, September 23rd.

Redwood Trust has a dividend payout ratio of 86.7% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings fall. Analysts expect Redwood Trust to earn $0.90 per share next year, which means the company should continue to be able to cover its $0.72 annual dividend with an expected future payout ratio of 80.0%.

Redwood Trust Stock Performance

Redwood Trust stock traded down $0.11 during mid-day trading on Tuesday, reaching $6.03. The company had a trading volume of 867,774 shares, compared to its average volume of 836,204. The company has a quick ratio of 40.39, a current ratio of 40.39 and a debt-to-equity ratio of 20.00. Redwood Trust has a 52 week low of $4.68 and a 52 week high of $8.15. The company has a 50 day moving average of $5.99 and a 200-day moving average of $5.89. The firm has a market cap of $779.20 million, a price-to-earnings ratio of -9.42 and a beta of 1.37.

Redwood Trust (NYSE:RWT - Get Free Report) last issued its quarterly earnings results on Wednesday, July 30th. The real estate investment trust reported $0.18 earnings per share for the quarter, missing analysts' consensus estimates of $0.19 by ($0.01). Redwood Trust had a negative net margin of 6.93% and a positive return on equity of 8.70%. The company had revenue of ($38.10) million during the quarter, compared to the consensus estimate of $31.00 million. On average, sell-side analysts expect that Redwood Trust will post 0.78 EPS for the current fiscal year.

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.