Track market-moving stories before they get noisy

Nintendo's Switch 2 has proven demand, selling nearly 20 million units and becoming the company's fastest-selling console launch ever. Investors are focusing on slowing hardware growth while overlooking Nintendo's expanding ecosystem and software monetization strategy. Nintendo continues to report strong software momentum, rising digital sales, and healthy engagement across its 129 million annual playing users.

HomeInvestingYour Digital SelfYour Digital SelfWhy the coming $1,000 videogame console will squeeze hardware stocksLast Updated: June 9, 2026 at 4:16 p.m. ET
First Published: June 8, 2026 at 2:21 p.m. ET

Most of the artificial-intelligence story gets told from the supplier side, where the numbers are spectacular. On the other side are the companies that buy that memory and build it into things they sell: game consoles, phones, laptops and the components inside a desktop computer. They did not create the shortage, but their products are being repriced by it.

For an investor, the question is no longer whether a company is involved with AI. It is which side of the data center a company sells to. The memory and storage makers are printing money. The hardware companies that depend on them are eating the cost, and the market is only starting to tell the two apart.

Capri Holdings is rated a 'buy' as its turnaround gains traction, with the Versace sale stabilizing the balance sheet and debt now manageable. Jimmy Choo demonstrates sustained growth and margin strength, while Michael Kors remains challenged by entrenched brand perception and structural decline. Management's strategy focuses on store renovations, disciplined pricing, and targeting younger consumers, aiming for margin recovery from 6.6% to 10% EBITDA.

As the quarterly earnings season gathers pace, investor focus is turning toward the apparel space, where companies are showing resilience despite cautious discretionary spending, tariff-related cost pressures and fast-changing fashion preferences. Consumers remain selective, but demand has held up for brands offering compelling assortments, strong value propositions and differentiated customer engagement.

Per the latest Zacks Earnings Outlook, the Retail – Wholesale sector (which houses Retail – Apparel and Shoes stocks) is likely to witness bottom-line growth of 2% this earnings season, with revenues expected to increase 7.9%.

Key Apparel Trends This Earnings SeasonThis earnings season, several apparel players are benefiting from improved product acceptance, disciplined inventory management and lower promotional activity. Many companies have been driving higher full-price selling, refining pricing architectures and strengthening brand relevance through targeted marketing, social media engagement and product innovation. These efforts are helping support merchandise margins and improve overall business quality despite industry-wide cost pressures.

Tariffs and sourcing-related expenses remain key watchpoints. Companies with diversified sourcing strategies, selective pricing actions and tighter expense controls appear better positioned to protect profitability. At the same time, supply-chain efficiencies, better inventory alignment and reduced markdown dependency are helping stabilize margin trends heading into earnings.

Another encouraging trend is the growing emphasis on customer engagement and category expansion. Apparel retailers are increasingly leveraging loyalty programs, digital capabilities, influencer marketing and localized assortments to deepen customer relationships and drive traffic. Several players are also pursuing opportunities in adjacent categories, international markets and newer customer cohorts, particularly younger shoppers seeking trend-right products at accessible price points.

Although macroeconomic uncertainty and uneven consumer demand continue to create volatility, operational discipline and sharper execution are emerging as important differentiators. Companies balancing innovation, inventory control and margin management may be better positioned to outperform expectations this season.

Finding the Right StocksIdentifying likely earnings outperformers is not easy, but our proprietary methodology helps narrow the field. With the help of the Zacks Stock Screener, we have picked a few apparel stocks that appear well-positioned to surpass the Zacks Consensus Estimate this earnings season.

Our research shows that for stocks with the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), the chance of an earnings surprise is as high as 70%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

3 Stocks Primed for Earnings BeatFIGS, Inc. (FIGS - Free Report) enters the earnings season with strong customer momentum, international growth and improving execution. Strength in scrub wear, layering systems and emerging categories such as outerwear, compression socks and loungewear is supporting growth. FIGS is also benefiting from effective marketing and rising brand engagement. Disciplined inventory management, fulfillment efficiencies and reduced promotions are aiding profitability despite tariff pressure.

FIGS, Inc. Price, Consensus and EPS SurpriseWith product innovation, community hubs and deeper healthcare-professional engagement, FIGS appears well-positioned heading into earnings. The company currently has an Earnings ESP of +100.00% and a Zacks Rank #1. The Zacks Consensus Estimate for first-quarter fiscal 2026 earnings per share (EPS) has remained unchanged at 1 cent in the past 30 days. FIGS has a trailing four-quarter earnings surprise of 187.5%, on average. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Gap, Inc. (GAP - Free Report) appears well-positioned heading into earnings, backed by sustained brand momentum, disciplined execution and healthier merchandise productivity. The company delivered its eighth straight quarter of positive comparable sales in the fourth quarter of fiscal 2025, led by strength across Gap, Old Navy and Banana Republic. Management highlighted traction from product innovation, culturally relevant marketing and reduced discounting, which supported higher average unit retails and solid margin trends.

Gap brand continues to benefit from Gen Z engagement, denim gains and improved store formats, while Old Navy remains strong in activewear, denim and kids. Cost discipline, sourcing actions and inventory control further support profitability, making GAP favorably placed this earnings season. Gap currently has an Earnings ESP of +25.11% and a Zacks Rank #3. The Zacks Consensus Estimate for first-quarter fiscal 2026 EPS has risen by 2 cents to 39 cents in the past 30 days. GAP has a trailing four-quarter earnings surprise of 6.6%, on average.

Capri Holdings Limited (CPRI - Free Report) looks well-placed as turnaround efforts at Michael Kors and Jimmy Choo gain traction. On its third-quarter fiscal 2026 earnings call, management cited sequential improvement in retail trends, stronger full-price sell-throughs and lower promotional activity, which supported underlying gross margin expansion despite tariff pressure. Michael Kors is benefiting from refreshed assortments, improved pricing architecture and better response to newer styles, while Jimmy Choo is seeing momentum in accessories and casual footwear.

Elevated marketing, influencer engagement and store renovations are also strengthening brand desirability. With better execution, a healthier sales mix and disciplined cost control, CPRI appears positioned for a solid earnings show. Capri Holdings currently has an Earnings ESP of +20.37% and a Zacks Rank #3. The Zacks Consensus Estimate for fourth-quarter fiscal 2026 EPS has remained unchanged at 11 cents in the past 30 days. CPRI delivered an earnings surprise of 3.85% in the last reported quarter.

On May 21, 2026, Capri Holdings Ltd CPRI shares rose 3.0%, closing at $18.38. Despite today's positive movement, the stock has experienced significant volatility, with a 52-week range between $16.22 and $28.27.

GF Value™ verdict: Current price of $18.38 represents an 18.7% discount to the GF Value™ of $22.60.GF Score™ is 69/100, indicating an above-average rating for the stock.Insider activity shows that insiders have purchased $1.0M worth of shares in the last three months, with no selling reported. Is CPRI Overvalued or Undervalued? Capri Holdings Ltd's current trading price of $18.38 is significantly below the GF Value™ of $22.60, suggesting that the stock is undervalued by 18.7%. This disparity creates a potential opportunity for investors, as the margin of safety indicates that the stock may be priced lower than its intrinsic value. The GF Valuation label of "Modestly Undervalued" further supports this assertion, implying that there is room for price appreciation if market conditions improve or if the company executes its strategic plans effectively.

However, it is essential to consider the risks associated with this undervaluation. The stock has shown volatility, with a year-to-date decline of 24.7% and a three-year drop of 22.5%. While the current price presents an attractive entry point based on the GF Value™, potential investors should remain cautious due to the company's financial strength rating of 3/10, which indicates possible underlying issues that could affect future performance. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.

How Does CPRI's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 10.1x 14.3x Currently, Capri Holdings Ltd is trading at a forward P/E of 10.1x, which is notably lower than its 5-year median P/E of 14.3x. This analysis aligns with the GF Value™ verdict, indicating that the stock is undervalued compared to its historical valuation metrics. The lower current P/E suggests that the market may not be fully pricing in the company's potential for recovery, adding further credence to the opportunity highlighted by the GF Value™ assessment.

What Does CPRI's GF Score™ Tell Us? Metric Rating GF Score™ 69/100 Financial Strength 3/10 Profitability 6/10 Growth 3/10 Valuation 8/10 Momentum 7/10 The GF Score™ of 69/100 indicates that Capri Holdings Ltd is positioned above average compared to its peers. The strongest aspect is the Valuation rank of 8/10, suggesting that the stock is attractively priced relative to its intrinsic value. Conversely, the Financial Strength score of 3/10 and Growth rank of 3/10 highlight areas of concern, indicating potential weaknesses that could impact long-term performance and stability. Overall, while the valuation metrics are favorable, the weaker financial and growth indicators warrant careful consideration.

What Are Insiders Doing with CPRI Stock? Recent insider activity for Capri Holdings Ltd reflects a bullish sentiment, as insiders have purchased $1.0M worth of shares in the last three months without any selling reported. This pattern of insider buying can often be interpreted as a sign of confidence in the company's future performance and prospects. Insiders typically have a deeper understanding of the company's operations and may be more aware of forthcoming developments that could positively impact the stock price.

What This Means for Investors Based on the GF Value™ assessment, Capri Holdings Ltd CPRI is currently undervalued, presenting a potential opportunity for investors seeking exposure in the retail sector. However, it is crucial to remain aware of the company's financial health and market volatility that may impact future performance.

For the complete analysis, visit the Capri Holdings Ltd CPRI stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is CPRI's GF Score™?

CPRI's GF Score™ is 69/100, indicating it is rated above average compared to its peers, suggesting potential for higher long-term returns.

Is CPRI overvalued or undervalued?

According to the GF Value™, CPRI is currently undervalued with a price of $18.38 compared to its intrinsic value estimate of $22.60.

What is CPRI's P/E ratio?

CPRI's forward P/E ratio is 10.1x, which is below its 5-year median P/E of 14.3x, indicating that the stock may be undervalued based on historical trading multiples.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

The logo of Michael Kors is seen on an outlet store in Metzingen, Germany, June 16, 2017. REUTERS/Michaela Rehle Purchase Licensing Rights, opens new tab

SummaryCompaniesForecasts annual sales in line with estimatesMichael Kors sales drop for 14th straight quarterExpects to recover all IEEPA tariffsCompany bets on full-price sales to revive Michael KorsMay 27 (Reuters) - Capri Holdings (CPRI.N), opens new tab forecast another quarter of ‌declining sales on Wednesday but provided an upbeat annual profit target as it bets on a turnaround strategy focused on reviving demand for its Michael Kors brand.

Capri is trying to draw in a broader customer base, especially younger and wealthier shoppers, who continue ​to spend on nice-to-have items such as handbags despite inflationary pressures from higher gas and food ​costs.

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The company has been pulling back on promotions and selling handbags and apparel at full ⁠price to help drive a reset at Michael Kors, executives said in a post-earnings call.

It is also ​shifting its product mix, particularly towards smaller handbags and more casual footwear, which it said was resonating more with ​younger shoppers.

"A premium brand like Michael Kors must avoid excessive discounting or it degrades the value of the brand," said David Swartz, analyst at Morningstar, adding that even with higher prices, Michael Kors products are priced much lower than those of luxury brands.

Capri ​reported another quarterly decline for the Michael Kors brand, which makes up the bulk of its sales. Revenue fell 5.5% ​to $656 million, the company said.

Michael Kors has faced criticism in recent years for its lack of design innovation and consecutive quarters ‌of declining ⁠sales, in contrast to handbag rival Coach, owned by Tapestry (TPR.N), opens new tab, which analysts say benefits from stronger brand power.

Capri expects first-quarter total revenue of about $750 million, compared with an estimate of $789.7 million, according to data compiled by LSEG. The company's shares reversed course after early premarket gains and fell about 2%.

"There is enough demand for both brands (Jimmy Choo and Michael ​Kors). I think investors were ​discouraged that the Q1 ⁠sales outlook was not higher, but it's a long process," Swartz said.

Failing to capitalize on the inclusion of the Italian brand Versace in its portfolio, the company sold ​it to Prada last year, highlighting Capri's push to raise cash and pay ​down its debt.

Capri reports fourteen straight quarters of revenue decline, with declining sales at its key revenue driving brand, Michael KorsCapri's ⁠fourth-quarter revenue of $796 million was largely in line with expectations, but adjusted earnings per share of 22 cents topped an estimate of 11 cents per share, while gross margin also grew.

It plans to recover all tariffs paid under the International Emergency ⁠Economic Powers ​Act as of March 28 and has recorded a refund of $65 ​million, it said.

The company expects fiscal year 2027 profit per share of about $2.15, compared to analysts' expectation of $1.83.

Reporting by Sanskriti Shekhar and Juveria Tabassum in Bengaluru and Danielle Kaye in New York; Editing by Pooja Desai

Our Standards: The Thomson Reuters Trust Principles., opens new tab

For the quarter ended March 2026, Capri Holdings (CPRI - Free Report) reported revenue of $796 million, down 23.1% over the same period last year. EPS came in at $0.22, compared to -$4.90 in the year-ago quarter.

The reported revenue represents a surprise of -0.95% over the Zacks Consensus Estimate of $803.66 million. With the consensus EPS estimate being $0.11, the EPS surprise was +103.7%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Capri Holdings performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Revenue- Jimmy Choo: $140 million compared to the $137.84 million average estimate based on three analysts. The reported number represents a change of +5.3% year over year.Revenue- Michael Kors: $656 million versus $665.82 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -5.5% change.Income from operations- Michael Kors: $57 million versus $27.09 million estimated by three analysts on average.Income from operations- Jimmy Choo: $-20 million compared to the $-8.52 million average estimate based on three analysts.View all Key Company Metrics for Capri Holdings here>>>

Shares of Capri Holdings have returned -6.8% over the past month versus the Zacks S&P 500 composite's +5.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

The major indexes are pulling back from earlier gains to trade mixed at midday. Investors are focused on reports that Iran will reopen the Strait of Hormuz, pressuring crude prices back below $90 and sending the Dow Jones Industrial Average (DJI) to a fresh record high. The S&P 500 Index (SPX) and Nasdaq Composite (IXIC) are cooling off from the Micron-induced tech surge, with Zscaler (ZS) trailing, adding pressure and dragging the broader cloud sector down with it. 

Continue reading for more on today's market, including:

Retail stock surging after quarterly blowout. More on Zscaler stock's major post-earnings pullback. Plus, call traders circle PEP; soccer team scoring big gains; and a struggling retail stock.

Beverage behemoth PepsiCo Inc (NASDAQ:PEP) was last seen up 2% to trade at $148.65, continuing its whipsaw price action on the charts. While the catalyst remains unclear, call traders are circling, with 45,000 contracts traded already today. This amount is six times the average daily pace, with the September 170 call being most popular and seeing selling activity. PEP is currently clinging to a 3.5% year-to-date gain.

One of the top performers on the New York Stock Exchange (NYSE) is Manchester United PLC (NYSE:MANU), up 12.5% at $22.19 at last glance, after the English soccer club posted a fiscal third-quarter revenue rise of 18% and hiked its full-year revenue outlook. This is overshadowing a Q3 net loss of roughly $16 million. MANU has been climbing the charts this year, closing out the 25/26 Premier League season with a 57% year-over-year gain. The shares also tapped a nearly three-year high of $22.56, with the 100-day moving average capturing its April pullback.

Retailer Capri Holdings Ltd (NYSE:CPRI) is near the bottom of the NYSE, last seen down 5.4% to trade at $17.50, brushing off a fiscal fourth-quarter profit beat after quarterly sales disappointed once again. The Michael Kors parent has shed 28% in 2026 and is continuing back toward its late-March lows.

Capri Holdings (NYSE:CPRI) reported fiscal fourth quarter results that showed stronger-than-expected profitability but weaker-than-expected revenue, sending shares down more than 6% on Wednesday afternoon.

The company posted adjusted earnings per share of $0.22, more than double the $0.11 consensus estimate.

Revenue totaled $796 million, below Wall Street expectations of $803.7 million and down 3.7% year-over-year, or down 7% on a constant currency basis.

For fiscal 2027, Capri Holdings expects total revenue of approximately $3.53 billion and operating income of about $190 million.

Capital expenditures are projected to be around $125 million, while diluted earnings per share are expected to come in at approximately $2.15.

“We are building upon the improving trends resulting from the success of our strategic initiatives,” Capri CEO John Idol said. “In fiscal 2027 we expect to return to low single digit revenue growth and approximately 40% earnings per share growth.”

Jefferies analysts described the quarter as mixed, noting that revenue came in slightly below expectations, driven primarily by Michael Kors, while EBIT and EPS beat consensus.

They noted that profit outperformance was supported in part by approximately $40 million in IEEPA tariff refunds, and cautioned that excluding this benefit, underlying EBIT appeared softer, though timing and offsetting factors may have played a role.

Looking ahead, Jefferies highlighted financial year 2027 guidance that came in broadly in line on revenue but above expectations on EBIT and EPS, supported by an anticipated 200 basis point improvement in gross margin.

The firm noted that the outlook also included moving items below the EBIT line, including interest income, tax rate assumptions, and share count benefits from buybacks.

At the same time, Jefferies pointed to a softer-than-expected first-quarter outlook, with both revenue and EBIT guided below Street expectations, even as EPS came in higher due to tax rate dynamics.

On brand performance, the analysts highlighted continued strength in Michael Kors retail full-price comparable sales and sequential improvement in wholesale trends, alongside similar momentum at Jimmy Choo. They also noted that the company repurchased approximately 4 million shares for $79 million during the quarter.

Capri Holdings Limited (CPRI) Q4 2026 Earnings Call Transcript

Capri Holdings Has Become Somewhat Cheaply Valued

RetailMeNot's Summer Issue savings event runs June 4-8, featuring stackable deals, shopping inspiration and seasonal savings across top retailers New summer research reveals Y2K-inspired fashion resurgence and growing demand for polished, versatile alternatives like capris , /PRNewswire/ -- RetailMeNot today announced its first-ever Chief Capri Officer (CCO) search, a summer initiative offering one consumer the opportunity to bring one of the season's biggest fashion comebacks to life. The opportunity is part of RetailMeNot's Summer Issue savings event and is informed by new consumer data showing that shoppers are increasingly rethinking traditional summer staples in favor of more polished, versatile styles.

RetailMeNot's Summer Issue is a new summer savings event running June 4-8 designed to help consumers save on everything they need for the season. Curated to feel like a go-to summer magazine for inspiration and savings, the event brings together promo codes, cash back offers and exclusive deals from top retailers to help shoppers save on everyday summer essentials. Participating retailers span key categories including fashion, beauty, travel and more, with brands such as Ulta, Ray-Ban, Expedia, Kendra Scott and Macy's.

New summer consumer data from RetailMeNot suggests capris are emerging as one of the season's standout fashion trends, with 28% of women planning to purchase a pair this summer and many embracing the style as a more polished, versatile alternative to shorts. To bring this trend to life, RetailMeNot is launching its first-ever Chief Capri Officer search, giving one consumer the opportunity to showcase one of summer's biggest fashion comebacks.

"The Chief Capri Officer search brings one of summer's top trends to life in a way that's fun, relatable, and rooted in real shopping behavior," said Stephanie Carls, Retail Insights Expert at RetailMeNot. "Half of millennial women prefer capris over shorts across occasions. That's a movement, and the Summer Issue is the perfect place to shop it."

Survey Data Signals a Shift in Summer Style
Findings from RetailMeNot's summer consumer survey* reveal a clear shift in how women are approaching warm-weather dressing:

50% of Millennial women say capris are more appropriate than shorts for brunch or casual dining. Only 11% of women believe shorts work across all summer occasions. 28% of women plan to purchase capris this summer, making them one of the top Y2K-inspired fashion trends. Together, the data suggests that shoppers are embracing styles that feel both practical and elevated, easily transitioning from casual outings to more social settings.

RetailMeNot's Chief Capri Officer Program
RetailMeNot will select one Chief Capri Officer to showcase how capris fit into real-life summer wardrobes. The chosen candidate will receive a $5,000 shopping stipend to style and shop the trend. The program reflects how consumers discover trends today, blending inspiration, practicality, and savings to turn aspirational ideas into everyday style.

To learn more or apply to be RetailMeNot's Chief Capri Officer, visit RetailMeNot.com/CCO

RetailMeNot's Summer Issue can be explored at RetailMeNot.com/Summer

How to Apply
Consumers can apply between June 4 and June 18, 2026. Applicants must be U.S. residents, age 21 or older. No purchase is necessary.

To enter:

Submit a short application at RetailMeNot.com/CCO Share why you're the ideal CCO and how you would style capris this summer. The selected winner will:

Receive a $5,000 shopping stipend. Create user-generated content featuring capri styling and have the opportunity to be featured across RetailMeNot's social channels. *Survey Methodology: Source: RetailMeNot Summer 2026 Spending Survey among adults from 18 to 44. N=896. Fielded in April 2026

About RetailMeNot Group: The RetailMeNot Group brings together leading shopping, savings, and deal discovery brands that help people shop smarter and help businesses connect with high-intent consumers at moments of purchase. The RetailMeNot Group portfolio includes RetailMeNot, Offers.com, BlackFriday.com, TechBargains, Deals of America and R BrandWorks, reaching millions of consumers through trusted social content, real-time deals, cash back, and seasonal shopping moments. RetailMeNot Group operates as part of Ziff Davis, a leading digital media and internet company. To learn more, visit www.ziffdavis.com/brands/shopping

About Ziff Davis: Ziff Davis (Nasdaq: ZD) is a vertically focused digital media and internet company whose portfolio includes leading brands in technology, entertainment, shopping, health, cybersecurity, and martech. For more information, visit www.ziffdavis.com.

Press Contact:
[email protected]

SOURCE RetailMeNot, Inc.

MILL VALLEY, Calif.--(BUSINESS WIRE)--Redwood Trust, Inc. (NYSE: RWT; “Redwood” or the “Company”), a leader in expanding access to housing for homebuyers and renters, today announced the closing of SEMT 2026-MED1, the inaugural Medical Professionals loan securitization issued through Sequoia, Redwood's jumbo mortgage platform. The $482 million transaction marks Sequoia's 165th securitization and represents an important milestone for the platform as a first-of-its-kind securitization backed by m.

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MILL VALLEY, Calif.--(BUSINESS WIRE)--Redwood Trust, Inc. (NYSE: RWT; “Redwood” or the “Company”), a leader in expanding access to housing for homebuyers and renters, is scheduled to release its first quarter 2026 results on Wednesday, April 29, 2026 after the close of the New York Stock Exchange. In addition, Redwood's senior management team plans to hold a conference call to discuss its first quarter 2026 financial results that same afternoon at 5:00 p.m. Eastern Time / 2:00 p.m. Pacific Time.

Webcast Information

The conference call will be webcast live in listen-only mode through the News & Events section of Redwood Trust’s Investor Relations website at https://www.redwoodtrust.com/investor-relations/news-events/events. To listen to the webcast, please go to Redwood's website at least 15 minutes before the call to register and to download and install any needed audio software. An audio replay of the call will also be available on Redwood's website following the call.

Conference Call Information

To participate by phone, please dial-in at least 15 minutes prior to the start time to allow for wait times to access the conference call. The live conference call will be accessible domestically or internationally, by dialing 1-877-423-9813 or 1-201-689-8573, respectively. In addition to the aforementioned dial-in information, participants can also access the call, bypassing the live operator and receiving an instant callback, by accessing the callback link on the Investor Relations section of the Company’s website or using the following link (this feature is available 15 minutes prior to the scheduled event): https://callme.viavid.com/viavid/?callme=true&passcode=13721503&h=true&info=company&r=true&B=6.

A replay of the conference call will be available after 9:00 p.m. Eastern Time / 6:00 p.m. Pacific Time on Wednesday, April 29, 2026, through 11:59 p.m. Eastern Time / 8:59 p.m. Pacific Time on Wednesday, May 13, 2026. To access the replay, listeners may use 1-844-512-2921 (domestic) or 1-412-317-6671 (international). The passcode for the replay is 13759155.

ABOUT REDWOOD TRUST

Redwood Trust, Inc. (NYSE: RWT) is a specialty finance company focused on several distinct areas of housing credit where we provide liquidity to growing segments of the U.S. housing market not well served by government programs. We deliver customized housing credit investments to a diverse mix of investors, through our best-in-class securitization platforms, whole-loan distribution activities, joint ventures and our publicly traded shares. We operate through three core residential housing-focused platforms — Sequoia, Aspire, and CoreVest — alongside a complementary investment portfolio primarily composed of assets we source through these businesses. In addition, through RWT Horizons®, our venture investing initiative, we invest in early-stage companies that have a direct nexus to our operating platforms. Our goal is to provide attractive returns to shareholders through a stable and growing stream of earnings and dividends, capital appreciation, and a commitment to technological innovation that facilitates risk-minded scale. Redwood Trust is internally managed and structured as a real estate investment trust ("REIT") for tax purposes. For more information about Redwood, please visit our website at www.redwoodtrust.com or connect with us on LinkedIn.

More News From Redwood Trust, Inc.

Back to Newsroom

The market expects Redwood Trust (RWT - Free Report) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended March 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on April 29. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus EstimateThis specialty finance company is expected to post quarterly earnings of $0.28 per share in its upcoming report, which represents a year-over-year change of +100%.

Revenues are expected to be $31.58 million, up 13.2% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 8.96% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Redwood Trust?For Redwood Trust, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +20.00%.

On the other hand, the stock currently carries a Zacks Rank of #3.

So, this combination indicates that Redwood Trust will most likely beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Redwood Trust would post earnings of $0.23 per share when it actually produced earnings of $0.33, delivering a surprise of +43.48%.

Over the last four quarters, the company has beaten consensus EPS estimates two times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Redwood Trust appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Posted by Defense World Staff on Apr 27th, 2026

Redwood Trust (NYSE:RWT – Get Free Report) is expected to release its Q1 2026 results after the market closes on Wednesday, April 29th. Analysts expect Redwood Trust to post earnings of $0.2239 per share and revenue of $89.5440 million for the quarter. Interested persons can find conference call details on the company’s upcoming Q1 2026 earning report page for the latest details on the call scheduled for Wednesday, April 29, 2026 at 5:00 PM ET.

Redwood Trust (NYSE:RWT – Get Free Report) last released its earnings results on Wednesday, February 11th. The real estate investment trust reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.02). The firm had revenue of $140.33 million during the quarter, compared to analysts’ expectations of $24.88 million. Redwood Trust had a negative net margin of 5.93% and a positive return on equity of 12.00%. On average, analysts expect Redwood Trust to post $1 EPS for the current fiscal year and $1 EPS for the next fiscal year.

Redwood Trust Trading Up 0.1% RWT opened at $5.72 on Monday. The stock has a market cap of $714.38 million, a PE ratio of -9.37 and a beta of 1.52. The company has a quick ratio of 55.15, a current ratio of 55.15 and a debt-to-equity ratio of 24.34. The business has a 50 day moving average of $5.87 and a 200-day moving average of $5.67. Redwood Trust has a 52 week low of $5.00 and a 52 week high of $6.97.

Redwood Trust Announces Dividend The company also recently announced a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Tuesday, March 24th were paid a $0.18 dividend. This represents a $0.72 dividend on an annualized basis and a dividend yield of 12.6%. The ex-dividend date was Tuesday, March 24th. Redwood Trust’s dividend payout ratio (DPR) is presently -118.03%.

Institutional Investors Weigh In On Redwood Trust Institutional investors and hedge funds have recently made changes to their positions in the company. CIBC Bancorp USA Inc. bought a new stake in shares of Redwood Trust in the 3rd quarter worth $82,000. Mercer Global Advisors Inc. ADV bought a new stake in shares of Redwood Trust in the 3rd quarter worth $89,000. Brooklyn Investment Group increased its holdings in shares of Redwood Trust by 1,884.5% in the 3rd quarter. Brooklyn Investment Group now owns 15,400 shares of the real estate investment trust’s stock worth $89,000 after purchasing an additional 14,624 shares in the last quarter. Caption Management LLC bought a new stake in shares of Redwood Trust in the 3rd quarter worth $100,000. Finally, BNP Paribas Financial Markets increased its holdings in shares of Redwood Trust by 53.2% in the 2nd quarter. BNP Paribas Financial Markets now owns 13,506 shares of the real estate investment trust’s stock worth $80,000 after purchasing an additional 4,692 shares in the last quarter. Institutional investors own 74.34% of the company’s stock.

Analyst Upgrades and Downgrades A number of research firms have recently commented on RWT. Wall Street Zen cut Redwood Trust from a “hold” rating to a “sell” rating in a research note on Monday, April 6th. JonesTrading reissued a “buy” rating and issued a $6.25 target price on shares of Redwood Trust in a research note on Tuesday, March 3rd. Keefe, Bruyette & Woods raised their price target on Redwood Trust from $5.75 to $7.00 and gave the company a “market perform” rating in a report on Wednesday, February 18th. Citigroup reaffirmed a “market perform” rating on shares of Redwood Trust in a research report on Wednesday, February 18th. Finally, JPMorgan Chase & Co. upgraded shares of Redwood Trust from a “neutral” rating to an “overweight” rating and set a $6.00 price target on the stock in a research note on Friday, January 23rd. Five research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, Redwood Trust currently has a consensus rating of “Hold” and an average price target of $6.82.

View Our Latest Report on RWT

Redwood Trust Company Profile (Get Free Report)

Redwood Trust, Inc (NYSE:RWT) is a publicly traded real estate investment trust specializing in the U.S. residential mortgage market. Headquartered in Mill Valley, California, the company focuses on investing in a diversified portfolio of residential mortgage assets, including whole loans, agency and non-agency mortgage-backed securities, and structured credit products.

The company’s core activities encompass the acquisition, financing, and management of prime residential mortgage whole loans and mortgage-backed securities.

See Also Five stocks we like better than Redwood Trust

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If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Redwood Trust (RWT - Free Report) . This company, which is in the Zacks REIT and Equity Trust industry, shows potential for another earnings beat.

When looking at the last two reports, this specialty finance company has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 34.24%, on average, in the last two quarters.

For the last reported quarter, Redwood Trust came out with earnings of $0.33 per share versus the Zacks Consensus Estimate of $0.23 per share, representing a surprise of 43.48%. For the previous quarter, the company was expected to post earnings of $0.16 per share and it actually produced earnings of $0.2 per share, delivering a surprise of 25.00%.

Price and EPS Surprise

Thanks in part to this history, there has been a favorable change in earnings estimates for Redwood Trust lately. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the stock is positive, which is a great indicator of an earnings beat, particularly when combined with its solid Zacks Rank.

Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Redwood Trust currently has an Earnings ESP of +20.00%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #3 (Hold) indicates that another beat is possibly around the corner. We expect the company's next earnings report to be released on April 29, 2026.

When the Earnings ESP comes up negative, investors should note that this will reduce the predictive power of the metric. But, a negative value is not indicative of a stock's earnings miss.

Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate.

Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

MILL VALLEY, Calif.--(BUSINESS WIRE)--Redwood Trust, Inc. (NYSE:RWT; "Redwood", the "Company"), a leader in expanding access to housing for homebuyers and renters, today reported its financial results for the quarter ended March 31, 2026.

First Quarter 2026 Highlights

On a consolidated basis, GAAP net loss was $(0.07) per basic and diluted common share. Non- GAAP Earnings Available for Distribution ("EAD") was $0.21 per share(1), an increase from the prior quarter and once again exceeding the Company’s dividend Demonstrated sustained momentum in Mortgage Banking despite a more volatile and uncertain macroeconomic backdrop Mortgage Banking production reached a record $8.5 billion, up from $7.3 billion in the previous quarter and marking a third consecutive quarterly record(2) Gross margins remained within targeted ranges despite increased market volatility late in the quarter from changes in interest rates and mortgage spreads Distribution remained strong across platforms, supported by record securitization activity and continued momentum in whole loan sales, enabling efficient risk transfer and consistent market access Variability between Consolidated GAAP and EAD results primarily reflects market-driven changes in portfolio valuations rather than underlying operating performance Key Financial First Quarter 2026 Results and Metrics

GAAP book value per common share was $7.12 at March 31, 2026, compared to $7.36 per share at December 31, 2025 Economic return on book value of (0.8)% for the first quarter 2026(3) GAAP net loss of $(7.3) million or $(0.07) per basic and diluted common share Non-GAAP Earnings Available for Distribution ("EAD") of $27.1 million or $0.21 per basic common share(1) Non-GAAP Core Segments Earnings Available for Distribution ("Core Segments EAD") of $36.5 million, or $0.28 per basic common share(4) Declared and paid a regular quarterly dividend of $0.18 per common share “We delivered a third consecutive quarter of record mortgage banking volume, as Sequoia and Aspire continued to scale while maintaining disciplined margins,” said Christopher Abate, Chief Executive Officer of Redwood Trust. “What stands out in this environment is not just the level of production, but how we’re processing it using active distribution and technology to drive capital turnover and efficiently manage risk. As we expand our product set and deepen relationships across our ecosystem, we are seeing sustained demand from institutional investors seeking consistent access to the high-quality assets we source.”

Three Months Ended

3/31/2026

12/31/2025

Financial Performance

Book Value per Common Share

$

7.12

$

7.36

Economic Return on Book Value (3)

(0.8

)%

2.6

%

Net (Loss) Income per Basic Common Share

$

(0.07

)

$

0.13

Non-GAAP EAD per Basic Common Share (non-GAAP) (1)

$

0.21

$

0.20

Non-GAAP Core Segments EAD per Basic Common Share (4)

$

0.28

$

0.33

Dividends per Common Share

$

0.18

$

0.18

   Q1 2026 Segment Highlights (5)   GAAP Segment Net (Loss) Income Results Summary

($ in millions)

Three Months Ended

3/31/2026

12/31/2025

Core Segments:

Mortgage Banking Platforms:

Sequoia Mortgage Banking

$

37.8

$

33.3

Aspire Mortgage Banking

2.3

3.3

CoreVest Mortgage Banking

(3.4

)

6.8

Total Mortgage Banking Platforms

$

36.7

$

43.5

Redwood Investments

(8.0

)

15.2

Total Core Segments

$

28.7

$

58.7

Legacy Investments

$

(13.1

)

$

(22.9

)

Corporate/Other

$

(22.9

)

$

(17.5

)

Total GAAP Net (Loss) Income

$

(7.3

)

$

18.3

Mortgage Banking Platforms

Total Mortgage Banking Platforms GAAP net income of $36.7 million Generated 38% annualized return on capital ("ROC")(6) Continued expansion across platforms, including Sequoia’s new medical professional loan program and Aspire’s inaugural non-QM securitization, supporting volume growth and expanded distribution capabilities Aspire Mortgage Banking reported as a separate segment beginning in the first quarter of 2026 Sequoia Mortgage Banking(5)

Gain on sale margin of 96 basis points, at the higher end of the Company’s target range, and partially impacted by market volatility late in the first quarter Locked $6.5 billion of loans, up 22% from the fourth quarter 2025 and 67% from the first quarter 2025(7) Distributed $5.5 billion of loans through a combination of securitizations ($4.6 billion) and whole loan sales ($915 million), a 35% increase from the prior quarter Completed a record level of securitization activity, including the first ever securitization backed by medical professional loans Cost per loan improved to 18 basis points in the first quarter(8), compared to 26 basis points in the prior quarter, reflecting continued operating scale benefits Aspire Mortgage Banking(5)

Gain on sale margins of 73 basis points, compared to 92 basis points in the fourth quarter 2025 Lock volume of $1.6 billion reflects incremental growth from the fourth quarter and strong underlying demand for Aspire products from a growing network of loan sellers(7) Distributed $1.0 billion of loans through a combination of securitizations ($391 million) and whole loan sales ($656 million), a 44% increase from the prior quarter Expanded distribution capabilities through issuance of Aspire’s inaugural securitization CoreVest Mortgage Banking(5)

Segment GAAP net loss of $(3.4) million included $5.0 million of expenses related to organizational changes during the quarter, impacting comparability to the prior quarter. Non-GAAP EAD was $1.8 million Funded $432 million of loans (61% bridge and 39% term), a 6% decrease from the fourth quarter 2025 and a 10% decrease from the first quarter 2025 Distributed $694 million of newly-originated loans through whole loan sales, securitizations and sales to joint ventures ("JVs"), up 19% from the fourth quarter 2025 Volume reflected a more cautious approach late in the quarter, with intentional pipeline discipline during March volatility and heightened month-end activity, as we worked closely with our borrowers to manage execution in response to evolving investor demand Redwood Investments

Generated a segment GAAP net loss of $(8.0) million Results were primarily driven by unrealized market-related valuation changes during the quarter, partially offset by net interest income from portfolio investments Redwood Investments recourse leverage ratio increased to 1.1x at March 31, 2026, from 1.0x at December 31, 2025(10) Legacy Investments

Segment GAAP net loss of $(13.1) million Continued resolution activity within the legacy bridge portfolio supported capital redeployment and a reduction in portfolio exposure Segment capital allocation decreased to 15% of total invested capital, compared to 19% at December 31, 2025 Closed a $225 million securitization backed by a mix of performing/non-performing bridge loans which included $66 million of loans from the legacy investments portfolio Legacy Investments recourse leverage ratio of 1.6x at March 31, 2026(11) Capital and Financing

Maintained strong liquidity and stable recourse leverage, supporting continued investment in operating platforms Unrestricted cash and cash equivalents of $202 million at March 31, 2026 Recourse debt of $4.7 billion at March 31, 2026 compared to $4.4 billion at December 31, 2025(12) Increased overall warehouse capacity and added a new financing counterparty, supporting continued scale across the mortgage operating platforms Renewed or established over $2.8 billion in total financing capacity Total excess warehouse financing capacity of $3.9 billion at March 31, 2026 Tightened financing spreads and improved advance rates across key facilities Earnings available for distribution ("EAD"), EAD per share and EAD ROE are non-GAAP measures. See Non-GAAP Disclosures section that follows for additional information on these measures. Mortgage Banking refers to the combined performance or data related to Sequoia Mortgage Banking, Aspire Mortgage Banking and CoreVest Mortgage Banking segments. Production consists of loan locks from Sequoia Mortgage Banking and Aspire Mortgage Banking, as well as loan fundings from CoreVest Mortgage Banking. Economic return on book value is based on the period change in GAAP book value per common share plus dividends declared per common share in the period. Core Segments EAD is a non-GAAP measure used to present management’s non-GAAP analysis of the combined performance of the Company’s mortgage banking platforms and related investments (which consist of the Company’s Sequoia Mortgage Banking, Aspire Mortgage Banking, CoreVest Mortgage Banking and Redwood Investments segments), inclusive of an allocated portion of the Company’s Corporate segment relating to those Core Segments. Core Segments EAD excludes the Company’s Legacy Investments segment and excludes an allocated portion of the Company’s Corporate segment relating to the Legacy Investments segment. Core Segments EAD per basic common share and Core Segments EAD ROE are also non-GAAP financial measures and are calculated using Core Segments EAD. See Non-GAAP Disclosures section that follows for additional information on these measures. Beginning in the first quarter of 2026, we revised our segment reporting to (i) present Aspire Mortgage Banking as a new reportable segment separate from our Sequoia Mortgage Banking segment and (ii) allocate corporate financing costs to our Sequoia, Aspire, CoreVest Mortgage Banking, Redwood Investments and Legacy Investments segments. This change had no impact on the consolidated financial statements and all prior period amounts were conformed to the current presentation. ROC for the combined Mortgage Banking platforms is a non-GAAP measure calculated as annualized net income for the Company’s combined Mortgage Banking platforms divided by the average capital utilized by the combined Mortgage Banking platforms for the period. Average capital utilized represents management's internal estimate of the average capital deployed to support the activities of each segment and for Q1'26 the combined Mortgage Banking platform average capital was $386 million.
Beginning in the first quarter of 2026, we revised our segment reporting to allocate corporate financing costs to our Sequoia, Aspire, CoreVest Mortgage Banking, Redwood Investments and Legacy Investments segments. This change had no impact on the consolidated financial statements and all prior period amounts were conformed to the current presentation. Lock volume represents loans identified for purchase from loan sellers. Lock volume does not account for potential fallout from pipeline that typically occurs through the lending process. Cost per loan for the Sequoia Mortgage Banking segment is calculated as general and administrative expenses and loan acquisition costs of this segment divided by loan purchase commitments of this segment. EAD ROC for a segment is calculated as non-GAAP segment EAD annualized divided by average capital utilized for the segment during the period. Non-GAAP EAD is defined as: GAAP net income (loss) available (related) to common stockholders adjusted to: (i) exclude investment fair value changes, net; (ii) exclude realized gains and losses; (iii) exclude acquisition related expenses; (iv) exclude certain organizational restructuring charges (as applicable); and (v) adjust for the hypothetical income taxes associated with these adjustments. Average capital utilized represents management's internal estimate of the average economic capital allocated to support the activities of each segment. Redwood Investments recourse leverage ratio is defined as recourse debt at Redwood Investments divided by capital invested. At March 31, 2026 recourse debt excludes $20.5 billion of consolidated securitization debt (ABS issued and servicer advance financing), other liabilities and other debt that is non-recourse to Redwood at Redwood Investments. Capital invested in our Redwood Investments segment at March 31, 2026 was $510 million. Legacy Investments recourse leverage ratio is defined as recourse debt at Legacy Investments divided by capital invested. At March 31, 2026 recourse debt excludes $181 million of consolidated securitization debt (ABS issued), other liabilities and other debt that is non-recourse to Redwood at Legacy Investments. Capital invested in our Legacy Investments segment at March 31, 2026 was $242 million. At March 31, 2026, and December 31, 2025, recourse debt excluded $21.2 billion and $18.3 billion, respectively, of consolidated securitization debt (ABS issued and servicer advance financing), other liabilities and other debt that is non-recourse to Redwood, and tangible stockholders' equity excluded $32 million and $34 million, respectively, of goodwill and intangible assets. First Quarter 2026 Redwood Review and Supplemental Tables Available Online

A further discussion of Redwood's business and financial results is included in the first quarter 2026 Shareholder Letter and Redwood Review which are available under "Financial Info" within the Investor Relations section of the Company’s website at redwoodtrust.com/investor-relations. Additional supplemental financial tables can also be found within this section of the Company's website.

Conference Call and Webcast

Redwood will host an earnings call today, April 29, 2026, at 5:00 p.m. Eastern Time / 2:00 p.m. Pacific Time to discuss its first quarter 2026 financial results. The number to dial in order to listen to the conference call is 1-877-423-9813 in the U.S. and Canada. International callers must dial 1-201-689-8573. A replay of the call will be available through midnight on Wednesday, May 13, 2026, and can be accessed by dialing 1-844-512-2921 in the U.S. and Canada or 1-412-317-6671 internationally and entering access code #13759155.

The conference call will be webcast live in listen-only mode through the News & Events section of Redwood’s Investor Relations website at https://www.redwoodtrust.com/investor-relations/news-events/events. To listen to the webcast, please go to Redwood's website at least 15 minutes before the call to register and to download and install any audio software needed. An audio replay of the call will also be available on Redwood's website following the call. Redwood plans to file its Quarterly Report on Form 10-Q with the Securities and Exchange Commission by Monday, May 11, 2026, and also make it available on Redwood’s website.

REDWOOD TRUST, INC.

Consolidated Income Statements (1)

Three Months Ended

($ in millions, except share and per share data)

3/31/26

12/31/25

Net Interest Income

$

34.7

$

25.9

Non-interest income

Mortgage banking activities, net

32.0

53.1

Investment fair value changes, net

(23.2

)

(0.5

)

HEI income, net

7.1

3.0

Servicing income, net

8.0

3.6

Fee income, net

2.9

1.8

Other income, net

2.4

2.2

Realized gains, net

—

(1.8

)

Total non-interest income, net

$

29.2

$

61.3

General and administrative expenses

(49.4

)

(40.8

)

Portfolio management costs

(8.7

)

(4.8

)

Loan acquisition costs

(6.7

)

(5.4

)

Other expenses

(7.1

)

(8.2

)

Benefit from (Provision for) income taxes

2.5

(8.0

)

Net (loss) income

$

(5.5

)

$

20.0

Dividends on preferred stock

(1.8

)

(1.8

)

Net (loss) income (related) available to common stockholders

$

(7.3

)

$

18.3

Weighted average basic common shares (thousands)

124,769

126,295

Weighted average diluted common shares (thousands) (2)

124,769

126,570

(Loss) Earnings per basic common share

$

(0.07

)

$

0.13

(Loss) Earnings per diluted common share

$

(0.07

)

$

0.13

Regular dividends declared per common share

$

0.18

$

0.18

REDWOOD TRUST, INC.

Consolidated Balance Sheets (1)

($ in millions, except share and per share data)

3/31/26

12/31/25

Residential consumer loans

$

21,300

$

17,936

Residential investor loans

3,311

3,617

Real estate securities

476

423

Home equity investments (HEI)

341

330

Servicing investments

300

302

Strategic investments

107

102

Cash and cash equivalents

202

256

Other assets

779

736

Total assets

$

26,816

$

23,701

Asset-backed securities issued, net

$

20,418

$

17,492

Debt obligations, net

4,867

4,799

Other liabilities

574

427

Total liabilities

$

25,859

$

22,718

Stockholders' equity

957

983

Total liabilities and equity

$

26,816

$

23,701

Common shares outstanding at period end (thousands)

125,015

124,460

GAAP book value per common share

$

7.12

$

7.36

Segment Financial Information(1)(2)

Three Months Ended March 31, 2026

(In Millions)

Sequoia
Mortgage
Banking

Aspire
Mortgage
Banking

CoreVest
Mortgage
Banking

Redwood
Investments

Legacy
Investments

Corporate/
Other

Total

Interest income

$

61.3

$

18.4

$

4.2

$

268.7

$

4.0

$

0.3

$

356.9

Interest expense

(36.3

)

(14.8

)

(2.1

)

(256.3

)

(12.7

)

—

(322.2

)

Net interest income (expense)

25.0

3.6

2.1

12.4

(8.7

)

0.3

34.7

Non-interest income (loss)

Mortgage banking activities, net

22.1

2.7

7.2

—

—

—

32.0

Investment fair value changes, net

—

—

(0.3

)

(15.4

)

(7.5

)

—

(23.2

)

HEI income, net

—

—

—

0.6

6.5

—

7.1

Servicing Income, net

—

—

—

8.0

—

—

8.0

Fee Income, net

—

—

2.8

0.2

(0.1

)

—

2.9

Other income, net

—

—

0.6

0.9

1.0

—

2.4

Realized gains, net

—

—

—

—

—

—

—

Total non-interest income, net

22.1

2.7

10.4

(5.8

)

(0.1

)

—

29.2

General and administrative expenses

(7.0

)

(2.5

)

(13.0

)

(3.4

)

—

(23.5

)

(49.4

)

Portfolio management costs

—

—

—

(4.2

)

(4.5

)

—

(8.7

)

Loan acquisition costs

(2.8

)

(1.0

)

(2.8

)

—

—

—

(6.7

)

Other expenses

—

—

(2.0

)

(5.1

)

—

—

(7.1

)

Benefit from (Provision for) income taxes

1.2

(0.3

)

2.1

(1.4

)

0.6

0.3

2.5

Net Income (Loss)

$

38.4

$

2.5

$

(3.3

)

$

(7.3

)

$

(12.8

)

$

(22.9

)

$

(5.5

)

Preferred Dividends

(0.5

)

(0.2

)

(0.1

)

(0.7

)

(0.3

)

—

(1.8

)

Net income (loss) available (related) to common stockholders

$

37.8

$

2.3

$

(3.4

)

$

(8.0

)

$

(13.1

)

$

(22.9

)

$

(7.3

)

Total Assets

$

2,573.7

$

891.5

$

329.3

$

21,903.5

$

945.0

$

172.7

$

26,815.8

  Three Months Ended December 31, 2025

(In Millions)

Sequoia
Mortgage
Banking

Aspire
Mortgage
Banking

CoreVest
Mortgage
Banking

Redwood
Investments

Legacy
Investments

Corporate/
Other

Total

Interest income

$

52.3

$

14.7

$

6.3

$

248.6

$

4.7

$

0.5

$

327.0

Interest expense

(34.3

)

(11.8

)

(4.3

)

(233.7

)

(16.9

)

—

(301.0

)

Net interest income (expense)

17.9

2.9

2.0

14.9

(12.2

)

0.5

25.9

Non-interest income (loss)

Mortgage banking activities, net

35.2

5.2

12.7

—

—

—

53.1

Investment fair value changes, net

—

—

—

7.6

(8.1

)

—

(0.5

)

HEI income, net

—

—

—

0.5

2.5

—

3.0

Servicing Income, net

—

—

—

3.6

—

—

3.6

Fee Income, net

—

—

1.7

0.2

(0.1

)

—

1.8

Other income, net

—

—

1.9

0.8

(0.6

)

—

2.2

Realized gains, net

—

—

—

—

(1.8

)

—

(1.8

)

Total non-interest income, net

35.2

5.2

16.3

12.7

(8.1

)

—

61.3

General and administrative expenses

(10.0

)

(2.7

)

(8.9

)

(1.1

)

—

(18.1

)

(40.8

)

Portfolio management costs

—

—

—

(2.8

)

(2.0

)

—

(4.8

)

Loan acquisition costs

(2.1

)

(0.7

)

(2.7

)

—

—

—

(5.4

)

Other expenses

—

—

(2.0

)

(6.2

)

—

—

(8.2

)

Provision for income taxes

(7.3

)

(1.1

)

2.3

(1.8

)

(0.2

)

0.2

(8.0

)

Net Income (Loss)

$

33.8

$

3.5

$

7.0

$

15.7

$

(22.5

)

$

(17.5

)

$

20.0

Preferred Dividends

(0.5

)

(0.2

)

(0.1

)

(0.6

)

(0.4

)

—

(1.8

)

Net income (loss) available (related) to common stockholders

$

33.3

$

3.3

$

6.8

$

15.2

$

(22.9

)

$

(17.5

)

$

18.3

Total Assets

$

2,411.8

$

909.3

$

357.4

$

18,789.6

$

943.3

$

289.7

$

23,701.1

Non-GAAP Disclosures

To supplement consolidated and segment financial information prepared and presented in accordance with U.S. generally accepted accounting principles ("GAAP"), the Company also provides Earnings Available for Distribution (“EAD”), EAD Return on Equity ("EAD ROE"), Core Segments Earnings Available for Distribution (“Core Segments EAD”) and Core Segments EAD Return on Equity ("Core Segments EAD ROE") as non-GAAP measures.

Management believes these non-GAAP measures provide useful supplemental information to investors and management in evaluating the Company’s operating performance, facilitating comparisons to industry peers, and assessing the current income-generating capacity of the Company’s operating platforms as of the period presented, including the Company’s ability to pay dividends. These measures also assist in evaluating the Company’s ongoing transition to a more scalable and simplified business model, including the wind-down of legacy portfolio holdings within the Legacy Investments segment.

These non-GAAP measures should not be utilized in isolation, nor should they be considered as an alternative to GAAP net income (loss) available (related) to common stockholders, or other measurements of results of operations computed in accordance with GAAP or for federal income tax purposes.

Earnings Available for Distribution (“EAD”) and EAD ROE are non-GAAP financial measures that the Company has historically reported and continues to use to present management’s non-GAAP analysis of the operating performance of the Company’s different business segments. EAD is defined, as GAAP net income (loss) available (related) to common stockholders, adjusted to (i) exclude investment fair value changes, net; (ii) exclude realized gains and losses; (iii) exclude acquisition-related expenses; (iv) exclude certain organizational restructuring charges, as applicable; and (v) reflect a hypothetical income tax adjustment associated with these items. EAD ROE is defined as EAD divided by average common equity.

Core Segments EAD and Core Segments EAD ROE represent management’s non-GAAP assessment of the combined performance of the Company’s mortgage banking platforms and related investments, which include the Sequoia Mortgage Banking, CoreVest Mortgage Banking, and Redwood Investments segments (collectively, the “Core Segments”), together with an allocated portion of the Corporate segment attributable to those operations.

Core Segments EAD excludes the Legacy Investments segment and the portion of the Corporate segment attributable to Legacy Investments. Core Segments EAD ROE is calculated as Core Segments EAD divided by the average capital utilized by the Core Segments during the period, which represents management’s internal estimate of the average economic capital allocated to support Core Segments activities.

Non-GAAP Disclosures (continued) Reconciliation of GAAP to non-GAAP EAD – First Quarter 2026 (1)

Three Months Ended March 31, 2026

($ in millions)

Sequoia
Mortgage
Banking

Aspire
Mortgage
Banking

CoreVest
Mortgage
Banking

Redwood
Investments

Total
Core Segments (4)

Legacy
Investments

Corporate/
Other (3)

Total

GAAP Net Income (Loss)

$

37.8

$

2.3

$

(3.4

)

$

(8.0

)

$

28.7

$

(13.1

)

$

(22.9

)

$

(7.3

)

EAD Adjustments:

Investment fair value changes, net (5)

—

—

—

15.4

15.4

7.5

—

22.9

Realized (gains)/losses, net (6)

—

—

—

—

—

—

—

—

Acquisition related expenses (7)

—

—

2.0

—

2.0

—

—

2.0

Organizational restructuring charges (8)

—

—

5.0

2.1

7.1

—

0.3

7.4

Tax effect of adjustments(9)

—

—

(1.8

)

3.8

2.0

0.1

(0.1

)

1.9

Non-GAAP EAD (2)

$

37.8

$

2.3

$

1.8

$

13.3

$

55.2

$

(5.5

)

$

(22.7

)

$

27.1

Adjustment for allocation of Corporate segment (10)

(7.0

)

(2.6

)

(1.1

)

(8.0

)

(18.7

)

(3.9

)

22.7

—

Non-GAAP EAD with Allocated Corporate Segment

$

30.8

$

(0.3

)

$

0.7

$

5.3

$

36.5

$

(9.4

)

$

—

$

27.1

Net Income (loss) (GAAP)

$

(7.3

)

EAD (Non-GAAP)

$

27.1

Core Segments EAD (Non-GAAP)

$

36.5

Net Income (loss) per Basic Common Share (GAAP)

$

(0.07

)

EAD per Basic common share (Non-GAAP)

$

0.21

Core Segments EAD per Basic Common Share (Non-GAAP) (11)

$

0.28

Return on Equity ("ROE") (annualized) (12)

(3.1

)%

EAD ROE (Non-GAAP) (annualized)

11.5

%

Core Segments EAD Return on Equity (annualized) ("Core Segments EAD ROE") (Non-GAAP) (13)

19.1

%

  Non-GAAP Disclosures (continued)

Reconciliation of GAAP to non-GAAP EAD – Fourth Quarter 2025 (1)

Three Months Ended December 31, 2025

($ in millions)

Sequoia
Mortgage
Banking

Aspire
Mortgage
Banking

CoreVest
Mortgage
Banking

Redwood
Investments

Total Core
Segments (4)

Legacy
Investments

Corporate/
Other (3)

Total

GAAP Net Income (Loss)

$

33.3

$

3.3

$

6.8

$

15.2

$

58.6

$

(22.9

)

$

(17.5

)

$

18.3

EAD Adjustments:

Investment fair value changes, net (5)

—

—

—

(7.6

)

(7.6

)

8.1

—

0.5

Realized (gains)/losses, net (6)

—

—

—

—

—

1.8

—

1.8

Acquisition related expenses (7)

—

—

2.0

—

2.0

—

—

2.0

Tax effect of adjustments (9)

—

—

(0.5

)

4.4

3.9

0.1

(0.1

)

3.8

Non-GAAP EAD (2)

$

33.3

$

3.3

$

8.3

$

12.0

$

56.9

$

(12.9

)

$

(17.6

)

$

26.4

Adjustment for allocation of Corporate segment (10)

(4.8

)

(1.9

)

(1.1

)

(5.8

)

(13.6

)

(4.0

)

17.6

—

Non-GAAP EAD with Allocated Corporate Segment

$

28.5

$

1.4

$

7.2

$

6.2

$

43.2

$

(16.9

)

$

—

$

26.4

Net Income (loss) (GAAP)

$

18.3

EAD (Non-GAAP)

$

26.4

Core Segments EAD (Non-GAAP)

$

43.2

Net Income (loss) per Basic Common Share (GAAP)

$

0.13

EAD per Basic common share (Non-GAAP)

$

0.20

Core Segments EAD per Basic Common Share (Non-GAAP) (11)

$

0.33

Return on Equity ("ROE") (annualized) (12)

7.7

%

EAD ROE (Non-GAAP) (annualized)

11.1

%

Core Segments EAD Return on Equity (annualized) ("Core Segments EAD ROE") (Non-GAAP) (13)

23.8

%

  Certain totals may not foot due to rounding. Earnings Available for Distribution (“EAD”) is a non-GAAP measure that the Company has historically reported and continues to use to present management’s non-GAAP analysis of the operating performance of the Company’s different business segments. EAD is defined, as GAAP net income (loss) available (related) to common stockholders, adjusted to (i) exclude investment fair value changes, net; (ii) exclude realized gains and losses; (iii) exclude acquisition-related expenses; (iv) exclude certain organizational restructuring charges, as applicable; and (v) reflect a hypothetical income tax adjustment associated with these items. Beginning in the first quarter of 2026, we revised our segment reporting to allocate corporate financing costs to our Sequoia Mortgage Banking, Aspire Mortgage Banking, CoreVest Mortgage Banking, Redwood Investments and Legacy Investments segments. This change had no impact on the consolidated financial statements and all prior period amounts were conformed to the current presentation. Core Segments EAD and Core Segments EAD ROE are non-GAAP measures and are used to present management’s non-GAAP analysis of the combined performance of the Company’s mortgage banking platforms and related investments (which are defined as the "Core Segments" and which consist of the Company’s Sequoia Mortgage Banking, Aspire Mortgage Banking, CoreVest Mortgage Banking and Redwood Investments segments), inclusive of an allocated portion of the Company’s Corporate segment relating to those Core Segments. Core Segments EAD excludes the Company’s Legacy Investments segment and excludes an allocated portion of the Company’s Corporate segment relating to the Legacy Investments segment.
Core Segments EAD is defined as: GAAP net income (loss) available (related) to common stockholders adjusted to (i) exclude GAAP net loss from the Legacy Investments Segment, (ii) exclude the portion of the Corporate Segment allocation relating to the Legacy Investments segment, (iii) exclude investment fair value changes, net; (iv) exclude realized gains and losses; (v) exclude acquisition related expenses; (vi) exclude certain organizational restructuring charges (as applicable); and (vii) adjust for the hypothetical income taxes associated with these adjustments.
Refer to footnote 13 below for the definition of Core Segments EAD ROE. Investment fair value changes, net includes all amounts within that same line item in our consolidated statements of (loss) income that are attributable to each segment, which primarily represents both realized and unrealized gains and losses on our investments held in each segment and associated hedges. Realized and unrealized gains and losses on our HEI investments are reflected in a separate line item on our consolidated income statements titled "HEI income, net". Realized (gains)/losses, net includes all amounts within that line item on our consolidated statements of (loss) income that are attributable to each segment. Acquisition related expenses include transaction costs paid to third parties, as applicable, and the ongoing amortization of intangible assets related to the Riverbend and CoreVest acquisitions. Organizational restructuring charges for the first quarter of 2026 represent costs associated with employee severance and related transition expenses. Tax effect of adjustments represents the hypothetical income taxes associated with EAD adjustments used to calculate each segment EAD. Allocation of Corporate Segment is based on the average capital utilized by the segment during the period, which represents management’s internal estimate of the average economic capital allocated to support the activities of each segment. Core Segments EAD per basic common share is a non-GAAP measure and is defined as Core Segments EAD divided by basic weighted average common shares outstanding at the end of the period. ROE consists of consolidated GAAP net income annualized divided by average common equity for the period. Core Segments EAD ROE is a non-GAAP measure and is defined as Core Segments EAD annualized divided by average capital utilized by the Core Segments of $762 million and $726 million for the three months ended March 31, 2026 and December 31, 2025, respectively. Average capital utilized is management's internal estimate of the average economic capital allocated to support the activities of the Core Segments. About Redwood

Redwood Trust, Inc. (NYSE: RWT) is a specialty finance company focused on several distinct areas of housing credit where we provide liquidity to growing segments of the U.S. housing market not well served by government programs. We deliver customized housing credit investments to a diverse mix of investors, through our best-in-class securitization platforms, whole-loan distribution activities, joint ventures and our publicly traded shares. We operate through three core residential housing-focused operating platforms — Sequoia, Aspire, and CoreVest — alongside our complementary Redwood Investments portfolio which is primarily composed of assets we source through these platforms. Redwood Investments also includes RWT Horizons®, our unified technology platform spanning internal AI innovation and strategic investments across the ecosystem, which supports our efforts to develop an AI-first operating model that enables compounding operational leverage and scalable growth. This reflects how we manage and organize our business and may differ from the manner in which our reportable segments are presented for financial reporting purposes.

Our goal is to provide attractive returns to shareholders through a stable and growing stream of earnings and dividends, capital appreciation, and a commitment to technological innovation that facilitates risk-minded scale. Redwood Trust is internally managed and structured as a real estate investment trust ("REIT") for tax purposes. For more information about Redwood, please visit our website at www.redwoodtrust.com or connect with us on LinkedIn.

Cautionary Statement; Forward-Looking Statements:

This press release and the related conference call contain forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding the expected timing for the filing of Redwood's Quarterly Report on Form 10-Q. Forward-looking statements involve numerous risks and uncertainties. Redwood's actual results may differ from Redwood's beliefs, expectations, estimates, and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Forward-looking statements are not historical in nature and can be identified by words such as “anticipate,” “estimate,” “will,” “should,” “expect,” “believe,” “intend,” “seek,” “plan” and similar expressions or their negative forms, or by references to strategy, plans, opportunities, or intentions. These forward-looking statements are subject to risks and uncertainties, including, among other things, those described in our Annual Report on Form 10-K for the year ended December 31, 2025 under the caption “Risk Factors”. Other risks, uncertainties, and factors that could cause actual results to differ materially from those projected may be described from time to time in reports we file with the Securities and Exchange Commission, including reports on Forms 10-K, 10-Q and 8-K. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

More News From Redwood Trust, Inc.

Redwood Trust (RWT - Free Report) reported $34.7 million in revenue for the quarter ended March 2026, representing a year-over-year increase of 24.4%. EPS of $0.28 for the same period compares to $0.14 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $31.58 million, representing a surprise of +9.9%. The company delivered an EPS surprise of +1.82%, with the consensus EPS estimate being $0.28.

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.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

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: $34.7 million compared to the $31.45 million average estimate based on two analysts.Total non-interest income (loss), net- Mortgage banking activities, net: $32 million versus the two-analyst average estimate of $56.19 million.Total non-interest income (loss), net- HEI income, net: $7.1 million compared to the $3.8 million average estimate based on two analysts.Total non-interest income (loss), net: $29.2 million versus the two-analyst average estimate of $59.74 million.View all Key Company Metrics for Redwood Trust here>>>

Shares of Redwood Trust have returned +2.5% over the past month versus the Zacks S&P 500 composite's +12.2% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

MILL VALLEY, Calif.--(BUSINESS WIRE)--Redwood Trust, Inc. (NYSE: RWT; “Redwood” or the “Company”) today announced the pricing of an underwritten public offering of $125,000,000 aggregate principal amount of its 9.75% senior notes due 2031 (the “Notes”). In connection with the offering, Redwood granted the underwriters a 30-day option to purchase up to an additional $18,750,000 aggregate principal amount of Notes, to cover over-allotments. The offering is expected to close on May 27, 2026, subje.

Redwood Trust reported a Q1 2026 GAAP loss due to fair value declines in retained securitization tranches amid rising rates. RWT issued $125M in 9.75% senior unsecured notes due 2031, diversifying funding and capitalizing on open capital markets despite rate pressures. RWT.PR.A preferred shares yield 10% but offer limited upside and high duration risk, especially as long-term rates rise.

Build-A-Bear Workshop, Inc. remains a buy despite a challenging small/mid-cap environment and recent 30% share price decline. BBW FY26 guidance calls for mid-single-digit revenue growth but a potential ~1 point operating margin reduction, reflecting tariff and digital reinvestment headwinds. Margin pressure stems from both a 10% tariff assumption and necessary investments to revamp e-commerce amid declining SEO visibility and AI-driven search disruption.

Build-A-Bear Workshop remains a hold as margin pressures from tariffs and higher SG&A offset ongoing buybacks and store expansion. BBW's 2026 guidance implies mid-single-digit revenue growth but continued EBIT margin contraction, with tariff and marketing costs already factored in. The CEO transition appears low-risk, with the incoming CEO promoted internally and outgoing leadership providing continuity.

Posted by Defense World Staff on Mar 30th, 2026

Build-A-Bear Workshop, Inc. (NYSE:BBW – Get Free Report) has earned an average rating of “Moderate Buy” from the six ratings firms that are currently covering the company, Marketbeat reports. One investment analyst has rated the stock with a hold rating and five have assigned a buy rating to the company. The average 1 year target price among brokerages that have covered the stock in the last year is $64.75.

Several equities research analysts have recently weighed in on BBW shares. Zacks Research raised Build-A-Bear Workshop from a “strong sell” rating to a “hold” rating in a research note on Tuesday, March 3rd. DA Davidson cut their price objective on Build-A-Bear Workshop from $85.00 to $70.00 and set a “buy” rating on the stock in a research note on Friday, December 5th. Wall Street Zen cut Build-A-Bear Workshop from a “buy” rating to a “hold” rating in a report on Saturday, December 6th. CJS Securities started coverage on shares of Build-A-Bear Workshop in a report on Wednesday, December 10th. They set a “market outperform” rating and a $70.00 price target for the company. Finally, Weiss Ratings restated a “buy (b)” rating on shares of Build-A-Bear Workshop in a report on Tuesday, December 23rd.

Get Our Latest Research Report on BBW

Build-A-Bear Workshop Stock Performance Shares of NYSE:BBW opened at $37.23 on Friday. Build-A-Bear Workshop has a 52 week low of $32.55 and a 52 week high of $75.85. The firm has a market cap of $482.08 million, a PE ratio of 9.33 and a beta of 1.08. The firm’s fifty day moving average is $50.50 and its 200-day moving average is $55.86.

Build-A-Bear Workshop (NYSE:BBW – Get Free Report) last posted its quarterly earnings data on Thursday, March 12th. The specialty retailer reported $1.26 earnings per share for the quarter, missing analysts’ consensus estimates of $1.27 by ($0.01). The company had revenue of $154.51 million during the quarter, compared to analyst estimates of $155.71 million. Build-A-Bear Workshop had a net margin of 9.85% and a return on equity of 34.44%. Sell-side analysts forecast that Build-A-Bear Workshop will post 3.71 EPS for the current year.

Build-A-Bear Workshop Increases Dividend The company also recently disclosed a quarterly dividend, which will be paid on Thursday, April 9th. Stockholders of record on Thursday, March 26th will be given a dividend of $0.23 per share. This represents a $0.92 annualized dividend and a dividend yield of 2.5%. This is a boost from Build-A-Bear Workshop’s previous quarterly dividend of $0.22. The ex-dividend date is Thursday, March 26th. Build-A-Bear Workshop’s dividend payout ratio is currently 23.06%.

Hedge Funds Weigh In On Build-A-Bear Workshop Several hedge funds and other institutional investors have recently bought and sold shares of BBW. Kestra Advisory Services LLC acquired a new stake in Build-A-Bear Workshop during the 4th quarter worth about $28,000. IFP Advisors Inc lifted its stake in shares of Build-A-Bear Workshop by 68.1% in the 3rd quarter. IFP Advisors Inc now owns 501 shares of the specialty retailer’s stock valued at $33,000 after purchasing an additional 203 shares during the period. Larson Financial Group LLC boosted its position in shares of Build-A-Bear Workshop by 453.1% during the 3rd quarter. Larson Financial Group LLC now owns 542 shares of the specialty retailer’s stock valued at $35,000 after purchasing an additional 444 shares in the last quarter. Blue Trust Inc. boosted its position in shares of Build-A-Bear Workshop by 163.0% during the 4th quarter. Blue Trust Inc. now owns 668 shares of the specialty retailer’s stock valued at $41,000 after purchasing an additional 414 shares in the last quarter. Finally, State of Alaska Department of Revenue acquired a new stake in Build-A-Bear Workshop during the third quarter worth approximately $45,000. Institutional investors and hedge funds own 79.30% of the company’s stock.

About Build-A-Bear Workshop (Get Free Report)

Build-A-Bear Workshop, Inc operates a specialty retail business focused on interactive “workshop” experiences that allow customers to create customized stuffed animals. Through its in-store and online platforms, the company offers a wide range of plush toys, apparel, accessories and sound modules, enabling guests to personalize each creation. In addition to its core bear products, Build-A-Bear has expanded its portfolio to include licensed characters from leading entertainment and media franchises.

Founded in 1997 by Maxine Clark and headquartered in St.

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Posted by Defense World Staff on Apr 6th, 2026

SG Americas Securities LLC raised its holdings in Build-A-Bear Workshop, Inc. (NYSE:BBW – Free Report) by 199.7% in the 4th quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 28,858 shares of the specialty retailer’s stock after purchasing an additional 19,229 shares during the period. SG Americas Securities LLC owned 0.22% of Build-A-Bear Workshop worth $1,768,000 at the end of the most recent reporting period.

Other institutional investors also recently modified their holdings of the company. Thrivent Financial for Lutherans boosted its holdings in Build-A-Bear Workshop by 22.0% in the 3rd quarter. Thrivent Financial for Lutherans now owns 917,479 shares of the specialty retailer’s stock worth $59,828,000 after buying an additional 165,159 shares during the period. American Century Companies Inc. raised its holdings in Build-A-Bear Workshop by 6.7% during the 3rd quarter. American Century Companies Inc. now owns 535,791 shares of the specialty retailer’s stock valued at $34,939,000 after acquiring an additional 33,445 shares during the period. Arrowstreet Capital Limited Partnership lifted its position in shares of Build-A-Bear Workshop by 3.1% during the third quarter. Arrowstreet Capital Limited Partnership now owns 307,662 shares of the specialty retailer’s stock worth $20,063,000 after acquiring an additional 9,221 shares in the last quarter. Qube Research & Technologies Ltd boosted its holdings in shares of Build-A-Bear Workshop by 17.7% in the third quarter. Qube Research & Technologies Ltd now owns 271,520 shares of the specialty retailer’s stock worth $17,706,000 after acquiring an additional 40,743 shares during the period. Finally, Marshall Wace LLP boosted its holdings in shares of Build-A-Bear Workshop by 69.9% in the third quarter. Marshall Wace LLP now owns 237,927 shares of the specialty retailer’s stock worth $15,515,000 after acquiring an additional 97,917 shares during the period. 79.30% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes BBW has been the topic of a number of analyst reports. CJS Securities initiated coverage on Build-A-Bear Workshop in a research note on Wednesday, December 10th. They set a “market outperform” rating and a $70.00 price objective on the stock. Zacks Research upgraded Build-A-Bear Workshop from a “strong sell” rating to a “hold” rating in a research note on Tuesday, March 3rd. Finally, Weiss Ratings reiterated a “buy (b-)” rating on shares of Build-A-Bear Workshop in a research report on Friday, March 27th. Five research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $64.75.

Get Our Latest Stock Analysis on BBW

Build-A-Bear Workshop Price Performance BBW opened at $38.05 on Monday. The firm has a market capitalization of $492.76 million, a P/E ratio of 9.54 and a beta of 1.22. Build-A-Bear Workshop, Inc. has a one year low of $32.55 and a one year high of $75.85. The company has a fifty day moving average price of $47.69 and a 200-day moving average price of $54.57.

Build-A-Bear Workshop (NYSE:BBW – Get Free Report) last issued its quarterly earnings data on Thursday, March 12th. The specialty retailer reported $1.26 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.27 by ($0.01). Build-A-Bear Workshop had a return on equity of 34.44% and a net margin of 9.85%.The business had revenue of $154.51 million during the quarter, compared to analysts’ expectations of $155.71 million. On average, analysts expect that Build-A-Bear Workshop, Inc. will post 3.71 earnings per share for the current year.

Build-A-Bear Workshop Increases Dividend The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, April 9th. Stockholders of record on Thursday, March 26th will be issued a dividend of $0.23 per share. The ex-dividend date of this dividend is Thursday, March 26th. This is a positive change from Build-A-Bear Workshop’s previous quarterly dividend of $0.22. This represents a $0.92 annualized dividend and a dividend yield of 2.4%. Build-A-Bear Workshop’s payout ratio is presently 23.06%.

Build-A-Bear Workshop Profile (Free Report)

Build-A-Bear Workshop, Inc operates a specialty retail business focused on interactive “workshop” experiences that allow customers to create customized stuffed animals. Through its in-store and online platforms, the company offers a wide range of plush toys, apparel, accessories and sound modules, enabling guests to personalize each creation. In addition to its core bear products, Build-A-Bear has expanded its portfolio to include licensed characters from leading entertainment and media franchises.

Founded in 1997 by Maxine Clark and headquartered in St.

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