Zacks Research Downgrades Redwood Trust (NYSE:RWT) to Strong Sell

Redwood Trust (NYSE:RWT) was downgraded by stock analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued to investors on Tuesday,Zacks.com reports.

RWT has been the topic of a number of other reports. Wall Street Zen upgraded Redwood Trust from a “sell” rating to a “hold” rating in a report on Saturday, May 9th. Weiss Ratings restated a “sell (d)” rating on shares of Redwood Trust in a report on Wednesday, June 24th. Citizens Jmp cut their price objective on Redwood Trust from $7.00 to $6.00 and set a “market outperform” rating for the company in a report on Wednesday, July 8th. BTIG Research dropped their price target on shares of Redwood Trust from $8.50 to $6.00 and set a “buy” rating on the stock in a research report on Wednesday, June 17th. Finally, Keefe, Bruyette & Woods upgraded shares of Redwood Trust from a “market perform” rating to an “outperform” rating and cut their target price for the company from $7.00 to $6.00 in a research note on Thursday, July 9th. Six analysts have rated the stock with a Buy rating, two have given a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, Redwood Trust currently has a consensus rating of “Hold” and an average price target of $6.11.

Redwood Trust Price Performance

NYSE RWT opened at $5.08 on Tuesday. The company has a debt-to-equity ratio of 28.42, a quick ratio of 59.63 and a current ratio of 59.63. The stock has a market cap of $636.74 million, a price-to-earnings ratio of -6.52 and a beta of 1.37. The business has a 50 day simple moving average of $5.08 and a 200 day simple moving average of $5.54. Redwood Trust has a 52-week low of $4.19 and a 52-week high of $6.97.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the business. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its stake in shares of 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 valued at $2,990,000 after buying an additional 103,893 shares during the period. Jane Street Group LLC acquired a new position in Redwood Trust in the 1st quarter valued at $2,018,000. Strs Ohio bought a new stake in shares of Redwood Trust during the 1st quarter valued at $149,000. XTX Topco Ltd lifted its position in shares of Redwood Trust by 35.4% during the 2nd quarter. XTX Topco Ltd now owns 14,513 shares of the real estate investment trust’s stock valued at $86,000 after acquiring an additional 3,795 shares during the period. Finally, Russell Investments Group Ltd. grew its holdings in shares of Redwood Trust by 331.8% during the 2nd quarter. Russell Investments Group Ltd. now owns 7,915 shares of the real estate investment trust’s stock worth $47,000 after purchasing an additional 6,082 shares in the last quarter. Institutional investors and hedge funds own 74.34% of the company’s stock.

Redwood Trust Company Profile

Redwood Trust, Inc (NYSE:RWT) is a publicly traded real estate investment trust specializing in the U.S. residential mortgage market. Headquartered in Mill Valley, California, the company focuses on investing in a diversified portfolio of residential mortgage assets, including whole loans, agency and non-agency mortgage-backed securities, and structured credit products.

The company’s core activities encompass the acquisition, financing, and management of prime residential mortgage whole loans and mortgage-backed securities.