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Redwood Trust (FRA:R2V) 5-Year Yield-on-Cost % : 6.12 (As of Jun. 20, 2024)


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What is Redwood Trust 5-Year Yield-on-Cost %?

Redwood Trust's yield on cost for the quarter that ended in Mar. 2024 was 6.12.


The historical rank and industry rank for Redwood Trust's 5-Year Yield-on-Cost % or its related term are showing as below:

FRA:R2V' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 2.86   Med: 4.61   Max: 29.91
Current: 6.12


During the past 13 years, Redwood Trust's highest Yield on Cost was 29.91. The lowest was 2.86. And the median was 4.61.


FRA:R2V's 5-Year Yield-on-Cost % is ranked worse than
58.98% of 846 companies
in the REITs industry
Industry Median: 7.03 vs FRA:R2V: 6.12

Competitive Comparison of Redwood Trust's 5-Year Yield-on-Cost %

For the REIT - Mortgage subindustry, Redwood Trust's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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's 5-Year Yield-on-Cost % Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Redwood Trust's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where Redwood Trust's 5-Year Yield-on-Cost % falls into.



Redwood Trust 5-Year Yield-on-Cost % Calculation

Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of Redwood Trust is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5

Redwood Trust  (FRA:R2V) 5-Year Yield-on-Cost % Explanation

Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.


Redwood Trust 5-Year Yield-on-Cost % Related Terms

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Redwood Trust (FRA:R2V) Business Description

Traded in Other Exchanges
Address
One Belvedere Place, Suite 300, Mill Valley, CA, USA, 94941
Redwood Trust Inc is a real estate investment trust focused on different areas of housing credit. The company operates in three segments: the Residential Mortgage Banking segment consists of a mortgage loan conduit that acquires residential loans from third-party originators for subsequent sale to whole loan buyers, securitization through SEMT (Sequoia) private-label securitization program, or transfer into its investment portfolio, Business Purpose Mortgage Banking segment consists of a platform that originates and acquires business purpose lending (BPL) loans for subsequent securitization, sale, or transfers into its investment portfolio, and Investment Portfolio segment consists of organic investments sourced through residential and business-purpose mortgage banking operations.

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