Benzinga - by Zacks, Benzinga Contributor.
Redwood Trust (NYSE: RWT) reported $24 million in revenue for the quarter ended March 2024, representing a year-over-year decline of 7.7%. EPS of $0.08 for the same period compares to $0.11 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $22.51 million, representing a surprise of +6.62%. The company has not delivered EPS surprise, with the consensus EPS estimate being $0.08.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Redwood Trust performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Net interest income: $24 million compared to the $23.19 million average estimate based on five analysts.
- Residential Consumer Mortgage Banking Activities, net: $8 million versus the five-analyst average estimate of $10.82 million.
- Residential Investor Mortgage Banking Activities, net: $7 million versus $10.62 million estimated by five analysts on average.
- Total non-interest income (loss), net: $50 million versus the five-analyst average estimate of $32.53 million.
- Other income, net: $5 million versus $3.55 million estimated by four analysts on average.
- Interest income: $205 million versus $207.64 million estimated by three analysts on average.
- Investment fair value changes, net: $22 million versus $5.58 million estimated by three analysts on average.
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