Redwood Trust, Inc.
Redwood Trust, Inc.’s revenue for fiscal 2025 (year ended December 2025) was $1.2 billion, up 25.2% from fiscal 2024. In the quarter to June 2026, revenue grew 35.5%, EPS grew 97.4%, free cash flow fell 77.3% and total debt rose 39.2%, each against the same quarter a year earlier. Dividend growth for three consecutive years, revenue growth for five; insiders bought in the last twelve months.
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Redwood Trust, Inc. (RWT) Piotroski F-score
Redwood Trust, Inc.'s Piotroski F-score for fiscal 2025 is 2 out of 9: 2 of nine tests of profitability, leverage and efficiency passed, down from 3 in fiscal 2024.
Piotroski F-score, annual
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Annual newest first
| Period | Piotroski F-score | Change (points) |
|---|---|---|
| FY2025 | 2 | (1.00) |
| FY2024 | 3 | (1.00) |
| FY2023 | 4 | 1.00 |
| FY2022 | 3 | (2.00) |
| FY2021 | 5 | 2.00 |
| FY2020 | 3 | 0.00 |
| FY2019 | 3 | 0.00 |
| FY2018 | 3 | 1.00 |
| FY2017 | 2 | (3.00) |
| FY2016 | 5 | — |
How fiscal 2025’s score is made up
| Test | This year | Year before | Result | Points |
|---|---|---|---|---|
| Positive return on assets | (0.37%) | 0.29% | Fail | 0 |
| Positive operating cash flow | (10.09b) | (5.86b) | Fail | 0 |
| Rising return on assets | (0.37%) | 0.29% | Fail | 0 |
| Cash flow above net income | (10.02b) | (5.91b) | Fail | 0 |
| Falling long-term leverage | 1.06 | 1.02 | Fail | 0 |
| Rising current ratio | 55.15 | 52.28 | Pass | 1 |
| No new shares issued | 130,250,000 | 132,051,000 | Pass | 1 |
| Rising gross margin | 6.99% | 10.86% | Fail | 0 |
| Rising asset turnover | 0.06 | 0.06 | Fail | 0 |
| Piotroski F-score | Weak — most fundamentals deteriorated | 2 | ||
How the Piotroski F-score works
One point for each of nine tests, this fiscal year against the one before: positive return on assets, positive operating cash flow, rising return on assets, cash flow above net income, falling long-term leverage, a rising current ratio, no new shares issued, a rising gross margin and rising asset turnover. The ratios are the ones on this site, so each can be checked.
Joseph Piotroski (2000) called 8–9 high and 0–1 low; reading it in three bands is the common convention:
| 7–9 | Strong — most fundamentals improved |
|---|---|
| 4–6 | Mixed |
| 0–3 | Weak — most fundamentals deteriorated |
Where this differs from the paper: return on assets is on average rather than beginning-of-year assets, and weighted basic shares stand in for shares issued. The score is shown only when all nine tests can be worked out, which takes three fiscal years; banks and insurers, which report no current assets or gross profit, have none.
Piotroski F-score against peers
| Company | Piotroski F-score |
|---|---|
| FBRT Franklin BSP Realty Trust, Inc. compare | 6 |
| IVR INVESCO MORTGAGE CAPITAL INC compare | 6 |
| BRSP BrightSpire Capital, Inc. compare | 5 |
| TRTX TPG RE Finance Trust, Inc. compare | 5 |
| ABR Arbor Realty Trust compare | 4 |
| NREF NexPoint Real Estate Finance, Inc. compare | 4 |
| KREF KKR Real Estate Finance Trust compare | 4 |
| PMT PennyMac Mortgage Investment Trust compare | 3 |
| RWT Redwood Trust, Inc. | 2 |
What Piotroski F-score is
The Piotroski F-Score tells an investor how many signs of improving profitability, funding and efficiency a company shows against a year earlier.
One point for each of nine tests against a year earlier: positive return on assets, positive operating cash flow, rising return on assets, cash flow above net income, falling long-term leverage, rising current ratio, no new shares issued, rising gross margin, and rising asset turnover