Redwood Trust, Inc., together with its subsidiaries, operates as a specialty finance company in the United States.
+ 1 more risk
High growth potential average dividend payer.
Share Price & News
How has Redwood Trust's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: R2V's share price has been volatile over the past 3 months.
7 Day Return
DE Mortgage REITs
1 Year Return
DE Mortgage REITs
Return vs Industry: R2V underperformed the German Mortgage REITs industry which returned -37.5% over the past year.
Return vs Market: R2V underperformed the German Market which returned 8% over the past year.
Price Volatility Vs. Market
How volatile is Redwood Trust's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is Redwood Trust undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: R2V (€5.75) is trading below our estimate of fair value (€9.51)
Significantly Below Fair Value: R2V is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: R2V is unprofitable, so we can't compare its PE Ratio to the XX Mortgage REITs industry average.
PE vs Market: R2V is unprofitable, so we can't compare its PE Ratio to the German market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate R2V's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: R2V is overvalued based on its PB Ratio (0.8x) compared to the XX Mortgage REITs industry average (0.7x).
How is Redwood Trust forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: R2V is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).
Earnings vs Market: R2V is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: R2V's is expected to become profitable in the next 3 years.
Revenue vs Market: R2V's revenue (58.8% per year) is forecast to grow faster than the German market (5.8% per year).
High Growth Revenue: R2V's revenue (58.8% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if R2V's Return on Equity is forecast to be high in 3 years time
How has Redwood Trust performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: R2V is currently unprofitable.
Growing Profit Margin: R2V is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: R2V is unprofitable, and losses have increased over the past 5 years at a rate of 43.7% per year.
Accelerating Growth: Unable to compare R2V's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: R2V is unprofitable, making it difficult to compare its past year earnings growth to the Mortgage REITs industry (-53.4%).
Return on Equity
High ROE: R2V has a negative Return on Equity (-74.15%), as it is currently unprofitable.
How is Redwood Trust's financial position?
Financial Position Analysis
Short Term Liabilities: R2V's short term assets ($9.3B) exceed its short term liabilities ($663.0M).
Long Term Liabilities: R2V's short term assets ($9.3B) exceed its long term liabilities ($8.8B).
Debt to Equity History and Analysis
Debt Level: R2V's debt to equity ratio (986%) is considered high.
Reducing Debt: R2V's debt to equity ratio has increased from 338.6% to 986% over the past 5 years.
Debt Coverage: R2V's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: Insufficient data to determine if R2V's interest payments on its debt are well covered by EBIT.
What is Redwood Trust current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: R2V's dividend (18.74%) is higher than the bottom 25% of dividend payers in the German market (1.24%).
High Dividend: R2V's dividend (18.74%) is in the top 25% of dividend payers in the German market (3.81%)
Stability and Growth of Payments
Stable Dividend: R2V's dividends per share have been stable in the past 10 years.
Growing Dividend: R2V's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: R2V is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Chris Abate (40 yo)
Mr. Christopher J. Abate, also known as Chris, has been the Chief Executive Officer of Redwood Trust, Inc. from May 22, 2018 and serves as its Director since December 2017. Mr. Abate has been employed with ...
CEO Compensation Analysis
Compensation vs Market: Chris's total compensation ($USD6.80M) is above average for companies of similar size in the German market ($USD1.29M).
Compensation vs Earnings: Chris's compensation has increased whilst the company is unprofitable.
|CEO & Director||2.25yrs||US$6.80m||0.13% |
|Chief Financial Officer||2.92yrs||US$1.96m||0.026% |
|Executive VP||11.67yrs||US$2.23m||0.073% |
|Chief Technology Officer||6.17yrs||no data||no data|
|Senior VP & Head of Investor Relations||no data||no data||no data|
|MD & Chief Human Resource Officer||2.33yrs||no data||0.00012% |
|Head of Portfolio Strategy & Risk||no data||US$2.25m||no data|
|Managing Director||no data||no data||no data|
|Managing Director of Residential Portfolio Management Group||no data||no data||no data|
|Managing Director of Purchase Operations||no data||no data||no data|
|Head of Business Development||no data||no data||no data|
Experienced Management: R2V's management team is considered experienced (2.6 years average tenure).
|CEO & Director||2.25yrs||US$6.80m||0.13% |
|Independent Director||0.083yr||no data||no data|
|Independent Vice Chairman of the Board||7.92yrs||US$204.99k||0.31% |
|Independent Director||18.58yrs||US$233.99k||0.093% |
|Independent Chairman of the Board||7.92yrs||US$289.99k||0.041% |
|Independent Director||14.42yrs||US$239.99k||0.0075% |
|Independent Director||4.42yrs||US$215.99k||0.017% |
|Independent Director||10.75yrs||US$234.99k||0.067% |
|Independent Director||1.42yrs||US$209.36k||0.022% |
Experienced Board: R2V's board of directors are considered experienced (7.9 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: R2V insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 17.6%.
Redwood Trust, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Redwood Trust, Inc.
- Ticker: R2V
- Exchange: DB
- Founded: 1994
- Industry: Mortgage REITs
- Sector: Diversified Financials
- Market Cap: US$785.040m
- Listing Market Cap: US$666.970m
- Shares outstanding: 114.94m
- Website: https://www.redwoodtrust.com
Number of Employees
- Redwood Trust, Inc.
- One Belvedere Place
- Suite 300
- Mill Valley
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|RWT||NYSE (New York Stock Exchange)||Yes||Common Shares||US||USD||Aug 1995|
|R2V||DB (Deutsche Boerse AG)||Yes||Common Shares||DE||EUR||Aug 1995|
Redwood Trust, Inc., together with its subsidiaries, operates as a specialty finance company in the United States. The company operates through four segments: Residential Lending, Business Purpose Lending, ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/08/06 22:48|
|End of Day Share Price||2020/08/06 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.