Redwood Trust Increases Dividend by 6.25%

By Bobby Samwell • Thursday, September 12 15:18 • Permanent Link

Redwood Trust, Inc. (NYSE: RWT) has announced a 6.25% increase in its common stock dividend for the third quarter of 2024. The regular common stock dividend has been authorized at $0.17 per share, marking the company's 101st consecutive quarterly common dividend. This increase reflects the company's confidence in the strength of its balance sheet and its outlook in a more accommodative interest rate environment.

Additionally, in accordance with the terms of Redwood's 10.00% Series A Fixed-Rate Reset Cumulative Redeemable Preferred Stock ("Series A"), the board has authorized the declaration of a Series A dividend for the third quarter of 2024 at $0.625 per share.

Christopher Abate, the Chief Executive Officer of Redwood Trust, expressed the company's commitment to generating long-term value for its shareholders and anticipation of further scale in its mortgage banking operations, unlocking the embedded value in its investment portfolio, driving earnings, and book value expansion through time. This announcement reaffirms the company's progress towards the goals laid out at its March 2024 investor day. The market has reacted to these announcements by moving the company's shares 5.1% to a price of $7.78. Check out the company's full 8-K submission here.

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