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Redwood Issues $50M Convertible Senior Notes

Story Highlights
  • Redwood Trust issued $50 million in convertible notes, increasing total to $297.17 million.
  • The notes offer conversion and redemption options, impacting financial management and REIT status.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Redwood Issues $50M Convertible Senior Notes

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An update from Redwood ( (RWT) ) is now available.

On August 25, 2025, Redwood Trust, Inc. issued $50 million in 7.75% Convertible Senior Notes due 2027, expanding its existing series of notes originally issued in 2022 and 2024. This issuance increases the total outstanding notes to $297.17 million, providing the company with additional unsecured obligations that rank equally with its other senior unsecured debts. The notes offer conversion options and redemption rights, allowing the company flexibility in managing its financial obligations and maintaining its REIT status, with implications for stakeholders regarding potential conversions and redemptions based on stock performance and market conditions.

The most recent analyst rating on (RWT) stock is a Hold with a $5.75 price target. To see the full list of analyst forecasts on Redwood stock, see the RWT Stock Forecast page.

Spark’s Take on RWT Stock

According to Spark, TipRanks’ AI Analyst, RWT is a Neutral.

RWT’s overall score reflects significant financial challenges, including high leverage and negative cash flows, which are the most critical concerns. Technical analysis and valuation provide some balance, with a high dividend yield and oversold indicators. Strategic initiatives discussed in the earnings call and corporate events suggest potential long-term improvements, but immediate financial instability remains a major risk.

To see Spark’s full report on RWT stock, click here.

More about Redwood

Redwood Trust, Inc. operates in the real estate investment sector, primarily focusing on issuing convertible senior notes as part of its financial strategy. The company is structured as a real estate investment trust (REIT) for U.S. federal income tax purposes.

Average Trading Volume: 1,052,609

Technical Sentiment Signal: Buy

Current Market Cap: $789.6M

See more data about RWT stock on TipRanks’ Stock Analysis page.

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