Redwood Trust with ticker code (RWT) now have 8 analysts in total covering the stock. The consensus rating is ‘Buy’. The target price ranges between 16.5 and 13 with the average target price sitting at 14.97. Given that the stocks previous close was at 11.18 this indicates there is a potential upside of 33.9%. The 50 day MA is 12.69 and the 200 day moving average is 12.49. The market cap for the company is $1,260m. Company Website: https://www.redwoodtrust.com
The potential market cap would be $1,688m based on the market concensus.
Redwood Trust, together with its subsidiaries, operates as a specialty finance company in the United States. The company operates through three segments: Residential Lending, Business Purpose Lending, and Third-Party Investments. The Residential Lending segment operates a mortgage loan conduit that acquires residential loans from third-party originators for subsequent sale, securitization, or transfer to its investment portfolio. This segment also offers derivative financial instruments to manage risks associated with residential loans. The Business Purpose Lending segment operates a platform that originates and acquires business purpose loans, such as single-family rental and bridge loans for subsequent securitization or transfer into its investment portfolio. The Third-Party Investments segment invests in residential mortgage-backed securities issued by third parties, as well as in K-Series multifamily loan securitizations and SLST reperforming loan securitizations. This segment also offers servicer advance, and other residential and multifamily credit investments. The company qualifies as a real estate investment trust (REIT) for federal income tax purposes. As a REIT, it intends to distribute at least 90% of its taxable income as dividends to shareholders. Redwood Trust was incorporated in 1994 and is headquartered in Mill Valley, California.
