Redwood Trust Preferred Stock Performance
| RWT-PA Preferred Stock | 26.00 0.04 0.15% |
Redwood Trust has a performance score of 5 on a scale of 0 to 100. The company holds a Beta of 0.0215, which implies not very significant fluctuations relative to the market. As returns on the market increase, Redwood Trust's returns are expected to increase less than the market. However, during the bear market, the loss of holding Redwood Trust is expected to be smaller as well. Redwood Trust right now holds a risk of 0.72%. Please check Redwood Trust jensen alpha, semi variance, day typical price, as well as the relationship between the maximum drawdown and accumulation distribution , to decide if Redwood Trust will be following its historical price patterns.
Risk-Adjusted Performance
5 of 100
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Modest
Compared to the overall equity markets, risk-adjusted returns on investments in Redwood Trust are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Despite somewhat strong basic indicators, Redwood Trust is not utilizing all of its potentials. The latest stock price disturbance, may contribute to short-term losses for the investors. ...more
Redwood |
Redwood Trust Relative Risk vs. Return Landscape
If you would invest 2,528 in Redwood Trust on October 1, 2024 and sell it today you would earn a total of 72.00 from holding Redwood Trust or generate 2.85% return on investment over 90 days. Redwood Trust is generating 0.0471% of daily returns assuming 0.7186% volatility of returns over the 90 days investment horizon. Simply put, 6% of all preferred stocks have less volatile historical return distribution than Redwood Trust, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
| Risk |
Redwood Trust Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Redwood Trust's investment risk. Standard deviation is the most common way to measure market volatility of preferred stocks, such as Redwood Trust, and traders can use it to determine the average amount a Redwood Trust's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = 0.0656
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| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
| Negative Returns | RWT-PA |
Estimated Market Risk
| 0.72 actual daily | 6 94% of assets are more volatile |
Expected Return
| 0.05 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| 0.07 actual daily | 5 95% of assets perform better |
Based on monthly moving average Redwood Trust is performing at about 5% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Redwood Trust by adding it to a well-diversified portfolio.
About Redwood Trust Performance
By analyzing Redwood Trust's fundamental ratios, stakeholders can gain valuable insights into Redwood Trust's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Redwood Trust has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Redwood Trust has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
Things to note about Redwood Trust performance evaluation
Checking the ongoing alerts about Redwood Trust for important developments is a great way to find new opportunities for your next move. Preferred Stock alerts and notifications screener for Redwood Trust help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.Evaluating Redwood Trust's performance can involve analyzing a variety of financial metrics and factors. Some of the key considerations to evaluate Redwood Trust's preferred stock performance include:- Analyzing Redwood Trust's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Redwood Trust's stock is overvalued or undervalued compared to its peers.
- Examining Redwood Trust's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating Redwood Trust's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Redwood Trust's management team can help you assess the Company's leadership.
- Pay attention to analyst opinions and ratings of Redwood Trust's preferred stock. These opinions can provide insight into Redwood Trust's potential for growth and whether the stock is currently undervalued or overvalued.
Complementary Tools for Redwood Preferred Stock analysis
When running Redwood Trust's price analysis, check to measure Redwood Trust's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Redwood Trust is operating at the current time. Most of Redwood Trust's value examination focuses on studying past and present price action to predict the probability of Redwood Trust's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Redwood Trust's price. Additionally, you may evaluate how the addition of Redwood Trust to your portfolios can decrease your overall portfolio volatility.
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