Redwood Trust (NYSE:RWT) Lowered to Market Perform Rating by Keefe, Bruyette & Woods

Redwood Trust (NYSE:RWT - Get Free Report) was downgraded by Keefe, Bruyette & Woods from an "outperform" rating to a "market perform" rating in a research note issued on Thursday, MarketBeat Ratings reports. They presently have a $6.50 target price on the real estate investment trust's stock, down from their previous target price of $7.00. Keefe, Bruyette & Woods' price target suggests a potential upside of 8.15% from the stock's current price.

Several other equities analysts also recently issued reports on RWT. JMP Securities dropped their price target on shares of Redwood Trust from $8.00 to $7.50 and set a "market outperform" rating for the company in a research note on Thursday, April 17th. Jones Trading reaffirmed a "buy" rating and set a $7.00 price target on shares of Redwood Trust in a research note on Friday, May 2nd. JPMorgan Chase & Co. lifted their target price on shares of Redwood Trust from $5.50 to $6.00 and gave the stock a "neutral" rating in a research note on Thursday, May 1st. UBS Group lifted their target price on shares of Redwood Trust from $6.50 to $7.00 and gave the stock a "buy" rating in a research note on Monday, May 5th. Finally, Wall Street Zen raised shares of Redwood Trust from a "sell" rating to a "hold" rating in a research note on Thursday, May 22nd. Six equities research analysts have rated the stock with a hold rating, three have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $7.39.

Redwood Trust Trading Down 0.2%

Shares of RWT stock traded down $0.01 during trading hours on Thursday, hitting $6.01. 730,119 shares of the company's stock traded hands, compared to its average volume of 946,854. The stock's 50 day simple moving average is $5.76 and its 200 day simple moving average is $6.04. The stock has a market cap of $800.05 million, a PE ratio of 27.32 and a beta of 1.30. Redwood Trust has a 12 month low of $4.68 and a 12 month high of $8.15. The company has a quick ratio of 39.35, a current ratio of 39.35 and a debt-to-equity ratio of 16.32.

Redwood Trust (NYSE:RWT - Get Free Report) last released its quarterly 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 the consensus estimate of $26.55 million. Redwood Trust had a net margin of 3.93% and a return on equity of 7.82%. On average, sell-side analysts anticipate that Redwood Trust will post 0.78 EPS for the current year.

Institutional Investors Weigh In On Redwood Trust

A number of large investors have recently bought and sold shares of the stock. Westbourne Investments Inc. grew its holdings in Redwood Trust by 26.3% in the second quarter. Westbourne Investments Inc. now owns 35,800 shares of the real estate investment trust's stock worth $212,000 after purchasing an additional 7,446 shares during the period. Strs Ohio acquired a new stake in Redwood Trust in the first quarter worth $149,000. Jane Street Group LLC acquired a new stake in Redwood Trust in the first quarter worth $2,018,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in Redwood Trust by 26.7% in the first 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 worth $2,990,000 after purchasing an additional 103,893 shares during the period. Finally, Caxton Associates LLP acquired a new stake in Redwood Trust in the first quarter worth $418,000. 74.34% of the stock is currently owned by institutional investors and hedge funds.

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.