
Redwood, Trust But Verify After 90% Distribution Cut
Redwood Trust, Inc. slashed its dividend by 90% and is converting from a REIT to a taxable C-Corp structure. RWT's legacy portfolio remains a risk, with $682 million in non-core assets and high leverage at 9:1. The C-Corp shift unlocks $304 million in federal net operating losses and increases GAAP book value by $0.75 per share.
Seeking Alpha11/4/2026Negative

