Redwood Trust (STU:R2V) Moat Score: 3/10 (As of Jul. 11, 2026)


STU:R2V Redwood Trust Inc STU:R2V
42 GF Score
Price €4.47
GF Value €4.28
Valuation Fairly Valued
! 5 Warning Signs
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What is Redwood Trust Moat Score?

Redwood Trust STU:R2V +1.27% 42 Moat Score is 3 as of Jul. 11, 2026. GuruFocus rates STU:R2V with a GF Score™ of 42/100 and a GF Value™ of €4.28 (Fairly Valued). The stock has 5 warning signs investors should review. Among 983 REITs companies, Redwood Trust ranks better than 76.91% on this metric.

Redwood Trust has the Moat Score of 3, which implies that the company might have No Moat - Very weak/transient advantages.

Redwood Trust has No Moat: Redwood Trust Inc operates in the mortgage finance sector with limited market leadership and no significant customer switching costs. The company lacks valuable intellectual property, strong brand strength, or durable cost advantages, resulting in a very weak competitive position.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Redwood Trust might have No Moat - Very weak/transient advantages.

Redwood Trust  (STU:R2V) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Redwood Trust Moat Score Related Terms

STU:R2V vs FBRT, TRTX, BRSP: Moat Score Comparison

For the REIT - Mortgage subindustry, Redwood Trust's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Redwood Trust Moat Score vs REITs Industry

For the REITs industry and Real Estate sector, Redwood Trust's Moat Score distribution charts can be found below:

* The bar in red indicates where Redwood Trust's Moat Score falls into.


STU:R2V
42GF Score
Redwood Trust Inc STU:R2V
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 3 mean?
Redwood Trust (STU:R2V) has a Moat Score of 3 as of Jul. 11, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Redwood Trust ranks #227 out of 983 companies in the REITs industry, placing it in the top 23.1%.
Is Redwood Trust's Moat Score too high?
Redwood Trust's current Moat Score is 3. Based on the distribution chart, Redwood Trust ranks #227 out of 983 companies in the REITs industry, which is in the top quartile — a strong position relative to peers. Overall, Redwood Trust has a GF Score™ of 42/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Redwood Trust's Moat Score compare to FBRT and TRTX?
According to the REITs industry distribution chart, Redwood Trust ranks #227 out of 983 companies for Moat Score. This places Redwood Trust in the top 23% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a REITs company?
A good Moat Score depends on the REITs industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Redwood Trust's current Moat Score is 3. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Redwood Trust stock overvalued right now?
Based on GuruFocus' analysis, Redwood Trust (STU:R2V) is currently considered Fairly Valued. The stock's GF Value™ is €4.28, compared to a current price of €4.47 — trading 4.4% above its estimated fair value. The current Moat Score is 3. Redwood Trust's overall GF Score™ is 42/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Redwood Trust (STU:R2V), the current Moat Score is 3 as of Jul. 11, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Redwood Trust (STU:R2V) Overvalued in 2026?

Based on GuruFocus' analysis, Redwood Trust stock appears to be overvalued. The current stock price of €4.47 is trading 4.4% above its estimated GF Value™ of €4.28. GuruFocus considers Redwood Trust to be Fairly Valued.

Key valuation signals for STU:R2V:

  • Moat Score: 3
  • GF Value™: €4.28 vs. price of €4.47 (4.4% above fair value)
  • GF Score™: 42/100 with 5 warning signs

No single metric tells the full story. See the STU:R2V stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Redwood Trust Business Description

Industry Real EstateREITs
Other Exchanges RWT:USA
Address One Belvedere Place, Suite 300, Mill Valley, CA, USA, 94941
Redwood Trust Inc is a specialty finance company focused on several distinct areas of housing credit. The company delivers customized housing credit investments to a diverse mix of investors through securitization platforms, whole-loan distribution activities, and its publicly traded securities. The company has four reportable segments: Sequoia Mortgage Banking, CoreVest Mortgage Banking, Redwood Investments, and Legacy Investments. Maximum revenue is generated from the Sequoia Mortgage Banking segment, comprising a mortgage loan conduit that acquires residential consumer loans from third-party originators for subsequent sale to whole loan buyers, securitization through its SEMT private-label securitization program, or transfer into its Redwood Investments portfolio.
42GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€4.47
Price
€4.28
GF Value