Redwood Trust

Redwood Trust reported Q1 EPS of $0.21 (expectation $0.17), while revenue of $63.9m fell well short of the $89.75m forecast. The company recorded a GAAP net loss of $7m, but achieved a mortgage volume of $8.5bn and showed high capital efficiency. The stock reaction was mixed (after-hours -3.3%, pre-market +2.7%). For 2026, Redwood Trust guides to full-year EPS of $1.05 and expects Q3/Q4 EPS of $0.26 and $0.25, respectively; management emphasizes operational efficiency and product innovations to address the revenue shortfall. » Plus sur de.investing.com

Redwood Trust recorded mortgage originations of $8.5 billion in Q1 2026, its third consecutive operational record quarter. The company announced a strategic joint venture with Castlelake that should create up to $8 billion in purchasing capacity for prime-jumbo loans and is expected to materially increase capital efficiency. On a non-GAAP basis Redwood beat earnings estimates with $0.21 per share but reported a GAAP net loss of $0.07 and missed the revenue consensus; the quarterly dividend of $0.18 remains unchanged. Management also highlighted AI initiatives to boost efficiency, while recourse leverage and warehouse capacity were expanded. » Plus sur de.investing.com

Redwood Trust reports a record mortgage volume of $8.5 billion for Q1 2026 and a strategic joint venture with Castlelake to acquire prime-jumbo loans of up to $8 billion. On an operational basis, non-GAAP EAD rose to $0.21 per share and core segments delivered a 19.1% return on equity, while GAAP showed a net loss of $7.3 million due to negative fair-value adjustments. The company improved capital efficiency, achieved a record securitization volume of $5.2 billion and materially reduced legacy holdings; the quarterly dividend remains $0.18 per share. Management expects the JV to drive further scale, EPS growth and increased market share, but warns of market and interest-rate risks. » Plus sur de.investing.com