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Redwood Trust, Inc. RWT

Growth Flags show if company had growth for consecutive years ,
Insider Buys alert about insiders buying in the last 12 month

We limit data available in the Overview Report for users who do not have Powerpack

Get access to target analyst prices, predictions, compound annual growth rates and more than four years of historical data.

Insider Decisions

Total buys
0.93
in millions of $
Nov 25 Feb 26 May 26 Aug 26
Buy 4
Sell
Insider Ownership
1.48%

Capital & Financial Ratios

Market Cap
498.68
Revenue
1,368.64
Net Income
5.72
Free Cash Flow
(14,283.75)
Net Debt
27,181.17
Current Ratio
67.49
Debt/Equity
29.42
P/E ratio
0.00
P/S ratio
0.36
P/B ratio
0.57
Past 5Y EPS Growth
(26.10%)
This Y EPS Growth
253.21%
Next Y EPS Growth
9.37%
Next 5Y EPS Growth
34.49%
in millions of $

Dividends

Payout Ratio
2.31
Annual Dividend Rate
0.64
Annual Dividend Yield
10.94%
total individual payouts
2028 ‡‡‡‡
2027 ‡‡‡‡
2026 0.72
2025 0.72
2024 0.67
2023 0.71
2022 0.92
2021 0.78
2020 0.73
2019 1.20
2018 1.18
2017 1.12
2016 1.12
predictions in italic, special payouts not included in total or ratios

Assets vs Liabilities

2023 2024 2025 Q'26
Cash 368.79 312.93 449.11 291.31
Receivables
Inventory
Other
13,065.01 16,402.44 22,001.54 27,055.47
2023 2024 2025 Q'26
Payables
ST’ Debt 1,558.22
Other
216.80 313.74 398.94 400.90
in millions of $

Compound Annual Growth

10y 5y 3y
Sales ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡
Cash Flow ‡‡‡ ‡‡‡ ‡‡‡
Earnings ‡‡‡ ‡‡‡ ‡‡‡
Book Value ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡

Revenue

Mar Jun Sep Dec Year
’26 356.92 385.22
’25 272.09 284.34 299.53 326.97
1,182.93
’24 204.74 225.42 248.64 266.36
945.16
’23 178.52 178.98 177.07 189.89
724.46
’22 189.40 167.46 177.66 173.34
707.85
’21 128.31 138.70 145.72 162.20
574.93
’20 198.08 129.95 121.98 121.91
571.92
in millions of $

Operating Cash Flow

Mar Jun Sep Dec Year
’26 (4,507.59) (3,747.38)
’25 (1,952.50) (2,113.24) (2,668.14) (3,360.63)
(10,094.52)
’24 (954.17) (1,966.00) (2,088.37) (853.98)
(5,862.52)
’23 102.01 (78.44) (891.03) (1,148.36)
(2,015.82)
’22 (291.68) (199.11) 361.36 (9.71)
(139.14)
’21 (966.16) (1,685.93) (1,128.18) (1,914.29)
(5,694.56)
’20 (241.40) 297.02 (231.55) (329.53)
(505.47)
in millions of $

Free Cash Flow

Mar Jun Sep Dec Year
’26 (4,507.59) (3,747.38)
’25 (1,952.50) (2,113.24) (2,567.52) (3,360.63)
(10,094.52)
’24 (954.17) (1,966.00) (2,036.21) (853.98)
(5,862.52)
’23 102.01 (78.44) (885.68) (1,148.36)
(2,015.82)
’22 (291.68) (199.11) 361.36 (9.71)
(139.14)
’21 (966.16) (1,685.93) (1,128.18) (1,914.29)
(5,694.56)
’20 (241.40) 297.02 (231.55) (329.53)
(505.47)
in millions of $

EPS

Mar Jun Sep Dec Year
’26 (0.07) (0.02)
’25 0.10 (0.76) (0.08) 0.13
(0.61)
’24 0.21 0.10 0.09 (0.07)
0.32
’23 0.02 0.00 (0.29) 0.15
(0.11)
’22 0.24 (0.85) (0.44) (0.40)
(1.43)
’21 0.72 0.66 0.65 0.34
2.37
’20 (8.28) 1.00 1.02 0.42
(5.12)

Target Price Range

High
‡‡‡‡‡
‡‡‡
Average
‡‡‡‡‡
‡‡‡
Low
‡‡‡‡‡
‡‡‡‡

Recommendation Rating

1.5
1
Buy
2
3
Hold
4
5
Sell
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028
‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡ ‡‡‡‡ ‡‡‡‡ 5.52 5.47 5.46 4.68
Low Price
‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 13.69 8.72 8.15 6.73
High Price
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 347 289 283 351
Employees
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 2.04 2.51 3.34 3.37
Revenue/Emp
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 707.85 724.46 945.16 1,182.93 ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡
Revenue
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 21.96% 12.83% 10.86% 6.99%
Gross Margin
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (183.44) (0.64) 72.84 (44.84) ‡‡‡‡‡
EBT
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (25.91%) (0.09%) 7.71% (3.79%) ‡‡‡ ‡‡‡ ‡‡‡
EBT Margin
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (163.52) (2.27) 54.00 (70.03) ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡
Net Income
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 22.18 32.77 24.07 23.05
Depreciation
‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 6.04 6.23 7.16 9.08 ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡
Revenue/Sh
‡‡‡‡ ‡‡‡ ‡‡‡‡ ‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡ (1.43) (0.11) 0.32 (0.61) ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡
Earnings/Sh
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (1.19) (17.34) (44.40) (77.50)
Cash Flow/Sh
‡‡‡‡‡ ‡‡‡ ‡‡‡ ‡‡‡ ‡‡‡ ‡‡‡ 0.00 0.00 0.00 0.00 ‡‡‡ ‡‡‡ ‡‡‡
Capex/Sh
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (1.19) (17.34) (44.40) (77.50)
Free CF/Sh
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 9.25 10.34 9.00 7.54 ‡‡‡‡‡
Book Value/Sh
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 117.23 116.28 132.05 130.25 ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡
Shares
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡ ‡‡‡‡‡ 0.00 0.00 19.79 0.00 ‡‡‡‡ ‡‡‡‡ ‡‡‡‡
PE Ratio
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 1.16 1.16 0.91 0.61 ‡‡‡ ‡‡‡ ‡‡‡
PS Ratio
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 0.76 0.74 0.77 0.79 ‡‡‡ ‡‡‡ ‡‡‡
PB Ratio
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 17.29 20.82 19.61 20.13 ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡
EV/Sales
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (138.41) (7.66) (3.20) (2.40)
EV/FCF
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (139.14) (2,015.82) (5,862.52) (10,094.52) ‡‡‡ ‡‡‡ ‡‡‡
Op' Cash Flow
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡
Capex
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (139.14) (2,015.82) (5,862.52) (10,094.52)
FCF
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 9,489.81 12,848.21 16,088.70 21,602.61
Working Cap'
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 11,749.86 14,609.22 16,733.08 22,291.41
Total Debt
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 11,420.49 14,240.43 16,420.15 21,842.30
Net Debt
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 1,083.99 1,202.69 1,187.86 982.62
Sh' Equity
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (1.18%) (0.07%) 0.29% (0.37%) ‡‡‡‡‡
ROA
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ 0.10% (0.14%) (0.12%) (0.20%)
ROIC
‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ ‡‡‡‡‡ (13.24%) (0.81%) 4.16% (7.57%) ‡‡‡‡‡
ROE
predictions in italic, sparklines do not include predictions

Analyst Commentary (Summary)

Redwood Trust (RWT), a resilient mortgage REIT, has powered through a decade of chaos—from COVID shocks and rate hikes to housing market shifts—with revenue exploding 284% from $246 million in 2016 to $945 million in 2024, fueled by expansions into commercial real estate and bridge lending. Despite compressed margins (gross down 83% to 10.9%) and volatile net income (a $582 million loss in 2020 rebounding to $54 million profit in 2024), operational efficiency shines: revenue per share up 123%, per employee surging 70%. The balance sheet scaled aggressively with debt tripling to $16.7 billion, yet trades at a discounted 0.77x book value, hinting at undervaluation.

Looking ahead, analysts forecast a profitability boom—net income swinging to $112 million in 2026 and $101 million in 2027 (EPS $0.85)—amid moderating revenue but exploding margins from potential Fed rate cuts and housing shortages. Valuation metrics scream opportunity: forward PE at 7.8x, PS at 0.91x, with high price targets implying up to 29% upside and potential 30-50% total returns as ROE climbs toward 10%+.

While risks like negative free cash flow and high debt loom, RWT’s diversification into private credit and single-family rentals positions it for a multi-year upcycle in a disrupted lending landscape. No insider selling adds quiet confidence—dive into the full analysis to see why this could be your next growth play.

Redwood Trust, Inc. (RWT) Latest News

News by impact score

Fine-tune

17 Sep

3 , 12:16 AM
Redwood Trust prices $185M of convertible securities, raising questions whether maturity relief offsets higher interest costs. Convertible issuance modifies Redwood Trust debt maturity and interest burden but leaves core mortgage operations unchanged.

14 Sep

4 , 1:45 PM
Activist investor Bradley L. Radoff urges Redwood Trust’s board to explore a sale of the company. Activist push for sale exploration can trigger strategic review and potential transaction altering company direction.

11 Sep

3 , 12:04 AM
Redwood Trust, Inc. priced an upsized $185.0 million convertible senior notes offering. Notes issuance supplies capital but adds debt and dilution risk without altering core operations.

10 Sep

3 , 6:59 AM
Redwood Trust, Inc. announces offering of convertible senior notes due 2030. Convertible notes offering raises capital for Redwood Trust potentially influencing its financial structure and market valuation.

29 Jul

3 app.moby.co, 8:30 AM
Redwood Trust, Inc. held its Q2 2026 earnings call covering financial results, portfolio performance, and forward guidance. Quarterly earnings updates typically deliver moderate short-term market reaction without altering long-term strategy.

28 Jul

4 , 3:01 PM
Redwood Trust Inc (RWT) reported strong mortgage banking volume in its Q2 2026 earnings call. Strong mortgage banking volume directly strengthens core operations and is likely to lift earnings and investor sentiment.

4 , 7:00 AM
Redwood Trust reported second quarter financial results with mortgage banking production exceeding 8 billion dollars for the second consecutive quarter. Mortgage production above 8 billion dollars for two straight quarters signals major growth in core operations with direct positive effects on revenue and trajectory.

3 , 9:30 AM
Redwood Trust (RWT) Q2 earnings key metrics detail financial performance, operational indicators and results for the period. Q2 earnings metrics directly shape views of Redwood Trust financial health and near-term trajectory.

3 transcript www.marketbeat.com, 9:03 AM
Redwood Trust reported Q2 results with updates on portfolio performance, net interest income, and credit metrics. Management highlighted housing market trends, funding strategies, and dividend outlook during the earnings call. Q2 earnings details and forward commentary may influence near-term stock sentiment and valuation but lack transformative strategic shifts.

7 Jul

3 , 9:20 AM
Redwood Trust reports continued Aspire momentum, advances in AI-powered technology, and preliminary second quarter business updates. AI technology progress and quarterly updates point to moderate influence on operations and market views.

19 May

3 Business Wire, 8:33 PM
Redwood Trust priced a $125.0 million senior notes offering. The $125 million senior notes issuance supplies fresh capital that can support lending activity and modestly adjust the company's leverage profile.

2 May

4 www.marketbeat.com, 6:35 AM
Redwood Trust reported Q1 earnings call highlights, including financial results, investment portfolio updates, dividend declarations, and forward-looking guidance on market conditions and strategy. Q1 earnings highlights reveal financial performance and strategic outlook, significantly impacting investor sentiment and stock trajectory.

30 Apr

4 app.moby.co, 8:30 AM
Redwood Trust, Inc. released Q1 2026 earnings call summary detailing quarterly financial results, business updates, strategic initiatives, and forward guidance. Quarterly earnings summaries directly influence financial performance metrics, investor sentiment, and stock trajectory through results and outlook.

4 GuruFocus.com, 3:18 AM
Redwood Trust Inc. (RWT) reported record mortgage banking volume in Q1 2026 earnings call highlights, signaling strong performance amid other key developments. Record mortgage banking volume represents a major positive shift in operations likely to enhance financial performance and investor sentiment.

29 Apr

4 Zacks, 7:30 PM
Redwood Trust (RWT) Q1 earnings analyzed with key metrics compared against estimates. Q1 earnings metrics versus estimates can significantly influence RWT's stock trajectory and investor sentiment.

4 transcript www.fool.com, 6:38 PM
Redwood Trust, Inc. (RWT) released its Q1 2026 earnings call transcript, detailing quarterly financial results, business updates, and management's outlook. Q1 2026 earnings transcript discloses financial performance and guidance that could significantly alter RWT's trajectory and investor sentiment.

4 Business Wire, 4:15 PM
Redwood Trust reports first quarter financial results, achieving record mortgage banking production of $8.5 billion. Record $8.5 billion mortgage banking production boosts financial performance and strengthens competitive position in core operations.

4 PR Newswire, 8:00 AM
Castlelake and Redwood Trust announce strategic joint venture to purchase up to $8 billion of prime jumbo mortgage loans. Strategic joint venture for up to $8 billion in prime jumbo loans significantly expands RWT's high-quality asset base and enhances growth trajectory.

28 Apr

3 Zacks, 12:10 PM
Redwood Trust (RWT) has beaten earnings estimates in recent quarters, sparking questions on whether it will achieve this again in the next report amid analysis of financial metrics, market conditions, and analyst forecasts. Earnings preview speculation tied to past beats can moderately sway financial performance expectations and short-term market sentiment.

27 Apr

3 Zacks, 11:55 AM
Redwood Trust, Inc. (RWT) is scheduled to report first-quarter earnings, with analysts outlining expectations for key financial metrics, portfolio performance, and operational highlights in the mortgage investment space. Q1 earnings report expected to moderately influence RWT's financial results and short-term market sentiment.

22 Apr

4 transcript www.fool.com, 5:24 PM
Redwood Trust (RWT) released Q3 2024 earnings call transcript detailing financial results, business updates, and management outlook. Q3 earnings transcript discloses financial performance, guidance, and strategy shifts that significantly influence stock price and long-term trajectory.

3 , 10:00 AM
Redwood Trust (RWT) reports earnings next week with Wall Street expecting growth. Upcoming earnings report with expected growth will moderately influence RWT's financial performance and market sentiment.

26 Mar

4 Business Wire, 4:15 PM
Redwood Trust announced the closing of Sequoia’s inaugural securitization of medical professional loans. Closing Sequoia’s first medical professional loan securitization expands RWT into a new high-value lending segment via core securitization expertise, driving significant growth and positive market sentiment.

9 Mar

3 Zacks, 8:55 AM
Redwood Trust (RWT) shows fast-paced momentum but remains a bargain stock. Fast-paced momentum and bargain valuation likely boost investor sentiment moderately without fundamental changes.

6 Mar

4 Business Wire, 4:15 PM
Redwood Trust announces the closing of Aspire's inaugural Non-QM securitization. Aspire's first Non-QM securitization closing unlocks scalable capital recycling for Redwood Trust's mortgage platform growth.

19 Feb

4 Zacks, 12:00 PM
Redwood Trust (RWT) qualifies as a new strong buy stock based on its robust fundamentals, attractive valuation, and growth prospects in residential and commercial real estate investments. Strong buy designation signals major positive shift in investor sentiment and potential stock price trajectory.

3 ZacksZacksZacksZacks, 12:20 PM
Earnings estimates for Redwood Trust (RWT) are trending higher, raising questions on whether now is the time to buy the stock. Rising earnings estimates indicate stronger expected financial performance, moderately boosting market sentiment.

12 Feb

4 transcript GuruFocus.com, 12:01 AM
Redwood Trust, Inc. (RWT) reported record mortgage banking activity in its Q4 2025 earnings call, highlighting strong performance in its core operations. The company emphasized growth in its mortgage origination segment and outlined strategic initiatives aimed at enhancing its market position. Management expressed optimism about future prospects, citing favorable market conditions and increased demand for mortgage products. Overall, the earnings call reflected a positive outlook for RWT's continued growth and profitability. Record mortgage banking activity and strategic initiatives are likely to significantly impact future performance and investor sentiment.

3 transcript app.moby.co, 8:07 PM
Redwood Trust, Inc. reported its Q4 2025 earnings, highlighting key financial metrics and strategic initiatives. The company experienced fluctuations in its mortgage-backed securities portfolio, impacting overall profitability. Management emphasized a focus on enhancing operational efficiency and adapting to market conditions. Future guidance suggests cautious optimism amid ongoing economic challenges. Fluctuations in the mortgage-backed securities portfolio may moderately influence financial performance and market sentiment.

11 Feb

3 transcript www.marketbeat.com, 9:37 PM
Redwood Trust, Inc. reported its Q4 earnings, highlighting key financial metrics and strategic initiatives. The company emphasized its focus on enhancing its investment portfolio and navigating market challenges. Management discussed the impact of interest rates on performance and outlined plans for future growth. Overall, the earnings call provided insights into the company's operational strategies and market positioning. The earnings call revealed strategic initiatives that may moderately influence financial performance and market positioning.