Redwood Trust, Inc.
RWTReal Estate · Stock · quarterly payer
Forward Yield
19.83%
Annual Dividend
$0.72
Payout Ratio
329%
5-Yr Growth
5.9%
Ex-Date
Sep 23, 2026
Frequency
Quarterly
Summary
As of September 2026, Redwood Trust, Inc. (RWT) yields 19.83% ($0.72 per share annually), with a blended fair-value estimate of $10.90 — +142% upside, so it screens as undervalued. Dividend safety grade: D (39/100). 1 years of dividend growth.
Is RWT a good dividend stock?
Higher riskRedwood Trust, Inc. (RWT) pays a quarterly dividend yielding 19.83% ($0.72/yr), with 1 year of growth and a dividend-safety grade of D. Treat the dividend with caution — recent cuts, a stretched payout or a falling price raise the risk.
Advantages
- Strong 5.9% 5-yr dividend growth
Risks
- Cut its dividend in 2023
- Elevated payout ratio (329%)
- Very high yield can signal elevated risk
- Share price is down over the past 5 years
- Below-average dividend safety score
Key Data
- Dividend Yield
- 19.83%
- Payout Ratio
- 329%
- Annual Dividend
- $0.72
- 5-Yr Avg Growth
- 5.9%
- Ex-Dividend Date
- Sep 23, 2026
- Years of Growth
- 1
- Frequency
- quarterly
- Beta
- 1.43
- Market Cap
- $445.9M
- P/E Ratio
- —
- 5-Yr Total Return
- -72%
- 52-Week Range
- $3.22 – $6.97
- Dividend Safety
- D · 39/100
- Ever Cut?
- Yes (2023)
Frequently Asked Questions
RWT Price — Last 12 Months
Daily close
Price Return
1 Year
-39%
3 Years
-50%
5 Years
-72%
52-Week Range
$3.22 – $6.97
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is RWT worth?
Undervaluedlow confidenceOur blended fair-value estimate for Redwood Trust, Inc. is $10.90 per share, versus a market price of $4.51. That implies 142% of upside — a margin of safety of about 59%.
Fair Value
$10.90
Current Price
$4.51
Upside
+142%
Margin of Safety
59%
How we get there
Dividend discount
Discounts the future dividend stream back to today.
Assumptions: 11.5% discount rate (CAPM), 9.4% stage-1 growth, 2.5% terminal growth, -$0.06 EPS, $0.72 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
RWT Dividend Safety Score
Risky
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Jun 23, 2026 | — | $0.1800 | regular |
| Mar 24, 2026 | — | $0.1800 | regular |
| Dec 23, 2025 | — | $0.1800 | regular |
| Sep 23, 2025 | — | $0.1800 | regular |
| Jun 23, 2025 | — | $0.1800 | regular |
| Mar 24, 2025 | — | $0.1800 | regular |
| Dec 23, 2024 | — | $0.1800 | regular |
| Sep 23, 2024 | — | $0.1700 | regular |
| Jun 21, 2024 | — | $0.1600 | regular |
| Mar 20, 2024 | — | $0.1600 | regular |
| Dec 19, 2023 | — | $0.1600 | regular |
| Sep 21, 2023 | — | $0.1600 | regular |
| Jun 22, 2023 | — | $0.1600 | regular |
| Mar 23, 2023 | — | $0.2300 | regular |
Income Calculator
At $0.72 / yr per share
