REDWOOD TRUST INC (RWT) Financial Ratio Screen

NYSE Real Estate United States USD 661M
RATIOS FAIL*
Automated financial screen · activity assessed separately
REDWOOD TRUST INC (RWT) is potentially non-compliant in the automated ratio model. The company's debt ratio of 93.4% exceeds the 30% MSCI new-inclusion threshold relative to total assets. REDWOOD TRUST INC operates in the Real Estate sector.

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MSCI new-inclusion financial-ratio snapshot

RWT financial screening at a glance

RATIOS FAIL*Financial ratios shown separately from business review — not a fatwa
Debt ratio
93.4%
Fail vs 30%
Cash ratio
1.1%
Pass vs 30%
Receivables + cash
1.9%
Pass vs 30%
Impermissible income
666.9%
Fail vs 5%

Calculation date: 2026-08-31. Financial period used: December 2025. The ratios are automated proxies inspired by published methodologies; they are not official index determinations.

Independent method comparison

What the available screens say

How MSCI, FTSE and S&P-style screens differ
Request this stock review
MSCI-styleFinancial criteria not metAt least one available ratio exceeds its threshold
FTSE/Yasaar-styleFinancial criteria not metAt least one available ratio exceeds its threshold
S&P-style provisionalNot yet availableRequired denominator or financial data is incomplete
Business activityAssessment pendingFinancial results do not determine business permissibility
Complete screening result: not yet completeA complete result requires both supported financial criteria and adequate activity evidence. This site does not issue a fatwa or official index decision.
Financial periodDecember 2025Calculation date2026-08-31S&P-style historynot availableLast activity reviewnot yet reviewed

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Business activity evidence

Activity assessment in progress

The supplied classification (REIT - Mortgage) is only a starting point. Revenue evidence is being assessed before any complete screening conclusion.

Revenue segments: Not yet checked against an SEC annual filing.

Profile description reviewed: Redwood Trust, Inc., together with its subsidiaries, operates as a specialty finance company in the United States. It operates through four segments: Sequoia Mortgage Banking, CoreVest Mortgage Banking, Redwood Investments, and Legacy Investments. The Residential Consumer Mortgage Banking segment operates a mortgage loan conduit that acquires residential loans from third-party originators for subsequent sale, securitization, or transfer to its investment portfolio. The CoreVest Mortgage Banking segment operates a platform that originates residential investor loans for subsequent securitization, sale, or transfer into the Redwood Investments portfolio or into joint ventures. This segment also includes various derivative financial instruments that we utilize to manage certain risks associated with our inventory of loans held for sale. The Redwood Investments segment primarily targets investments with sensitivity to housing credit risk, sourced through our operating platforms where control the underwriting and collateral review. Going forward, the Redwood Investments portfolio will focus on retained interests from the company's own securitizations and other investment vehicles, rather than third-party securities, consistent with Redwood's strategic shift toward internally originated investments. The Legacy Investments segment consists of assets no longer aligned with our core strategic objectives, including legacy unsecuritized bridge and term loans, residential re-performing loan securities, and other non-core legacy assets that are in the active process of sale, runoff, or other disposition as part of the accelerated strategic repositioning of our business model. Redwood Trust, Inc. was incorporated in 1994 and is headquartered in Mill Valley, California.

Sources to verify: Secondary company profile and classification · Issuer website · SEC issuer filings

A sector label or company description can flag a risk but cannot establish a compliant-revenue percentage. Only sourced segment disclosures may support that calculation.

Published-ratio reproductions (not certifications)

The table shows implemented MSCI and FTSE/Yasaar-style asset-based models plus a provisional S&P-style leverage reconstruction where a complete 36-month denominator exists. These are independent calculations, not official index results or Shariah determinations. See formulas, sources and limitations.

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
MSCI 93.4%
/ 30%
1.1%
/ 30%
1.9%
/ 30%
666.93%
/ 5%
RATIOS FAIL*
FTSE 93.4%
/ 33%
1.1%
/ 33%
1.9%
/ 50%
666.93%
/ 5%
RATIOS FAIL*

Financial Highlights

EPS
$-0.63
Dividend Yield
1361.0%
Payout: 328.6%
P/B Ratio
0.7
Revenue
$177M
Growth: 93.1%
Beta
1.6
High volatility
Current Ratio
99.0

Profitability

Gross Margin 73.8%
Operating Margin 32.1%
Net Margin -39.5%
Return on Equity (ROE) -6.4%
Return on Assets (ROA) -0.3%

Cash Flow & Balance Sheet

Operating Cash Flow-$10.1B
Free Cash Flow-$10.1B
Total Debt$22.1B
Debt-to-Equity2269.1
Current Ratio99.0
Total Assets$23.7B

Price & Trading

Last Close$5.36
50-Day MA$5.85
200-Day MA$5.76
Avg Volume1.7M
Beta1.6
52-Week Range
$4.68
$6.97

Financial data provenance and verification

The displayed fields were imported from yfinance on 2026-03-29 for the financial period December 2025. This is a secondary data feed and can differ from amended or newly filed statements.

Verification rule: check debt, cash, receivables, revenue and interest income against the latest primary filing before relying on an automated ratio.

About REDWOOD TRUST INC (RWT)

CEO
Mr. Christopher J. Abate CPA
Employees
351
Sector
Real Estate
Industry
REIT - Mortgage
Country
United States
Exchange
NYSE
Market Cap (listing currency)
USD 661M
Currency
USD

Redwood Trust, Inc., together with its subsidiaries, operates as a specialty finance company in the United States. It operates through four segments: Sequoia Mortgage Banking, CoreVest Mortgage Banking, Redwood Investments, and Legacy Investments. The Residential Consumer Mortgage Banking segment operates a mortgage loan conduit that acquires residential loans from third-party originators for subsequent sale, securitization, or transfer to its investment portfolio. The CoreVest Mortgage Banking segment operates a platform that originates residential investor loans for subsequent securitization, sale, or transfer into the Redwood Investments portfolio or into joint ventures. This segment also includes various derivative financial instruments that we utilize to manage certain risks associated with our inventory of loans held for sale. The Redwood Investments segment primarily targets investments with sensitivity to housing credit risk, sourced through our operating platforms where control the underwriting and collateral review. Going forward, the Redwood Investments portfolio will focus on retained interests from the company's own securitizations and other investment vehicles, rather than third-party securities, consistent with Redwood's strategic shift toward internally originated investments. The Legacy Investments segment consists of assets no longer aligned with our core strategic objectives, including legacy unsecuritized bridge and term loans, residential re-performing loan securities, and other non-core legacy assets that are in the active process of sale, runoff, or other disposition as part of the accelerated strategic repositioning of our business model. Redwood Trust, Inc. was incorporated in 1994 and is headquartered in Mill Valley, California.

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Frequently Asked Questions

Is REDWOOD TRUST INC (RWT) halal to invest in?

The current automated result is Financial criteria not met or an activity exclusion was detected. It uses available public financial fields and simplified methodology proxies. It is not a fatwa or an official determination by AAOIFI, DJIM, MSCI, S&P, or FTSE.

What is REDWOOD TRUST INC's debt ratio?

REDWOOD TRUST INC's debt ratio is 93.4% in the MSCI new-inclusion reproduction: total debt divided by total assets, against a 30% threshold. See the methodology page for the official source and limitations.

What are REDWOOD TRUST INC's key financial metrics?

REDWOOD TRUST INC has a market capitalization of USD 661M in its listing currency, and revenue of $177M. The company maintains a gross margin of 73.8% and a net margin of -39.5%. Return on equity stands at -6.4%.

How often is the screening data updated?

Calculation date: 2026-08-31. Financial period: December 2025. These dates are shown separately because regenerating this page does not refresh the underlying data.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.