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Redwood Trust, Inc. RWT NYSE

NYSE • Real Estate • REIT - Mortgage • US • USD

SharesGrow Score
49/100
2/7 Pass
SharesGrow Intrinsic Value
$5.07
-16.3%
Analyst Price Target
$8.50
+40.5%
SharesGrow 7-Criteria Score All 7 criteria scored · valuation-related highlighted on this page

Redwood Trust, Inc. (RWT) has a negative trailing P/E of -11.9, meaning the company is currently unprofitable on a trailing twelve-month (TTM) basis. The forward P/E of 7.4 based on analyst estimates suggests a return to profitability is expected. Trailing earnings yield is -8.39%, forward earnings yield 13.51%. PEG 0.45 (Peter Lynch undervalued ≤1.0).

Criteria proven by this page:

  • VALUE (90/100, Pass) — PEG ≤ 1.0 — Peter Lynch undervalued (0.45); analyst target implies upside (+40.5%).
  • Forward P/E 7.4 — analysts expect a return to profitability with estimated EPS of $0.82 for FY2026.
  • PEG Ratio 0.45 — below 1.0 suggests the stock is undervalued relative to its earnings growth rate (Peter Lynch criterion).
  • Trailing Earnings Yield -8.39% — negative yield confirms the company is currently unprofitable. Investors are paying for a turnaround rather than current earnings. Forward yield improves to 13.51% as earnings recover.
  • Analyst consensus target $8.50 (+40.5% upside) — significant upside potential according to Wall Street analysts.

Overall SharesGrow Score: 49/100 with 2/7 criteria passed.

SharesGrow 7-Criteria Score
49/100
SG Score
View full scorecard →
VALUE
90/100
Price-to-Earnings & upside
Proven by this page
~
FUTURE
52/100
Analyst consensus
→ Forecast
PAST
25/100
→ Income
HEALTH
0/100
Debt-to-Equity & liquidity
→ Health
~
MOAT
64/100
→ Income
GROWTH
100/100
→ Income
INCOME
10/100
→ Income

Valuation Snapshot — RWT

Valuation Multiples
P/E (TTM)-11.9
Forward P/E7.4
PEG Ratio0.45
Forward PEG0.45
P/B Ratio0.75
P/S Ratio2.71
EV/EBITDA21.4
Per Share Data
EPS (TTM)$-0.49
Forward EPS (Est.)$0.82
Book Value / Share$7.78
Revenue / Share$2.13
FCF / Share$-79.93
Yields & Fair Value
Earnings Yield-8.39%
Forward Earnings Yield13.51%
Dividend Yield12.33%
SharesGrow IV$5.07 (-16.3%)
Analyst Target$8.50 (+40.5%)

Historical Valuation

Year P/E (TTM) PEG Ratio P/B Ratio P/S Ratio Dividend Yield
2016 8.9 0.23 1.02 4.50 7.58%
2017 9.2 0.90 1.07 5.43 6.80%
2018 11.2 -0.49 0.99 6.20 7.22%
2019 11.3 3.19 1.05 5.85 6.77%
2020 -1.7 0.00 0.90 -3.15 8.40%
2021 4.7 -0.03 1.08 2.77 6.14%
2022 -4.8 0.03 0.73 -35.85 14.09%
2023 -378.9 4.10 0.72 5.43 10.86%
2024 16.0 -0.04 0.73 3.56 11.59%
2025 -8.9 0.03 0.64 3.53 16.95%

EPS: Actual vs Estimates

P/E Ratio & Earnings Yield

Earnings Per Share (EPS) History

Year EPS (Diluted) Revenue Net Income Net Margin
2016 $1.54 $333.69M $131M 39.3%
2017 $1.60 $229M $163.91M 71.6%
2018 $1.09 $214M $120M 56.1%
2019 $1.46 $295.94M $169M 57.1%
2020 $-5.11 $-363M $-581.85M -
2021 $2.37 $526M $319.61M 60.8%
2022 $-1.43 $-27M $-163.52M -
2023 $-0.11 $165.63M $-6.27M -3.8%
2024 $0.33 $945.16M $54M 5.7%
2025 $-0.63 $177.37M $-70.03M -39.5%

Analyst Estimates

Year EPS (Avg) EPS Range Revenue (Avg) Revenue Range Analysts
2026 $0.81 $0.58 – $1.04 $376.38M $312M – $440.77M 5
2027 $0.96 $0.78 – $1.17 $394.83M $342.19M – $454.06M 4
2028 $1.11 $0.90 – $1.35 $429.69M $372.4M – $494.16M 1
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