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) by 22.2% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 11,369,304 shares of the real estate investment trust’s stock after selling 3,241,960 shares during the period. Wellington Management Group LLP owned about 8.58% of Redwood Trust worth $74,242,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently modified their holdings of the business. LPL Financial LLC raised its position in shares of Redwood Trust by 11.9% during the 4th quarter. LPL Financial LLC now owns 145,459 shares of the real estate investment trust’s stock worth $950,000 after purchasing an additional 15,437 shares during the last quarter. KLP Kapitalforvaltning AS acquired a new position in shares of Redwood Trust in the fourth quarter worth $169,000. Virtu Financial LLC purchased a new stake in shares of Redwood Trust in the fourth quarter valued at $208,000. Boston Partners increased its position in Redwood Trust by 8.3% during the 4th quarter. Boston Partners now owns 2,707,027 shares of the real estate investment trust’s stock worth $17,561,000 after purchasing an additional 206,698 shares in the last quarter. Finally, Cibc World Markets Corp purchased a new stake in Redwood Trust during the 4th quarter worth about $80,000. Hedge funds and other institutional investors own 74.34% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on RWT. StockNews.com raised shares of Redwood Trust from a “sell” rating to a “hold” rating in a research note on Wednesday, March 5th. JMP Securities restated a “market outperform” rating and set a $8.00 target price on shares of Redwood Trust in a research report on Friday, February 14th. Finally, JPMorgan Chase & Co. cut their price target on Redwood Trust from $7.00 to $6.50 and set a “neutral” rating for the company in a report on Tuesday, January 21st. Five investment analysts have rated the stock with a hold rating, two have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $7.75.

Redwood Trust Stock Performance

Shares of RWT stock opened at $5.37 on Friday. The company has a debt-to-equity ratio of 14.09, a quick ratio of 44.36 and a current ratio of 44.36. The firm has a market capitalization of $710.97 million, a price-to-earnings ratio of 16.26 and a beta of 1.15. Redwood Trust, Inc. has a one year low of $5.34 and a one year high of $8.15. The company has a 50 day moving average price of $6.37 and a 200 day moving average price of $6.85.

Redwood Trust (NYSE:RWT) last issued its earnings results on Thursday, February 13th. The real estate investment trust reported $0.13 earnings per share for the quarter, missing the consensus estimate of $0.16 by ($0.03). Redwood Trust had a return on equity of 6.91% and a net margin of 9.35%. The firm had revenue of $27.60 million during the quarter, compared to analysts’ expectations of $26.00 million. Sell-side analysts anticipate that Redwood Trust, Inc. will post 0.78 EPS for the current year.

Redwood Trust Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, March 31st. Stockholders of record on Monday, March 24th were paid a $0.18 dividend. This represents a $0.72 annualized dividend and a dividend yield of 13.42%. The ex-dividend date of this dividend was Monday, March 24th. Redwood Trust’s dividend payout ratio is currently 218.18%.

Redwood Trust 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.