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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.

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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.

Featured Articles Five stocks we like better than Build-A-Bear Workshop Want to see what other hedge funds are holding BBW? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Build-A-Bear Workshop, Inc. (NYSE:BBW – Free Report).

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Build-A-Bear Workshop (BBW) is transitioning toward a capital-light, partner-operated and franchise model, driving higher ROIC, margin intensity, and cash generation versus legacy corporate stores. BBW's forward strategy emphasizes international asset-light expansion, organic growth, and product personalization, with the majority of new units in high-ROIC third-party channels. Recent Walmart wholesale partnership expands BBW's reach, but is treated as a test event with potential brand dilution risk if not managed carefully.

Build-A-Bear Workshop has achieved consistent top-line growth, diversifying revenue streams through international franchising and commercial expansion. BBW faces macro headwinds, including weak consumer confidence, Middle East tensions, and elevated energy prices, which may pressure margins and growth. Receivables growth outpaces revenue due to commercial segment expansion, lengthening cash conversion cycles, and potentially reducing financial flexibility.

Build-A-Bear Workshop and Abbott Laboratories are compelling dividend stocks, each trading near lows with yields close to 3%. BBW offers a debt-free balance sheet, aggressive share repurchases, and international expansion, positioning for 9.3% earnings CAGR and over 70% upside to its $62 target. ABT, trading at a forward P/E of 15.31x, is undervalued with robust liquidity, ongoing buybacks, and insider buying, despite segment weakness and lowered guidance.

Build-A-Bear (BBW - Free Report) came out with quarterly earnings of $1.03 per share, beating the Zacks Consensus Estimate of $0.76 per share. This compares to earnings of $1.17 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +36.42%. A quarter ago, it was expected that this toy retailer would post earnings of $1.27 per share when it actually produced earnings of $1.26, delivering a surprise of -0.79%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

Build-A-Bear, which belongs to the Zacks Retail - Miscellaneous industry, posted revenues of $125.27 million for the quarter ended April 2026, missing the Zacks Consensus Estimate by 3.72%. This compares to year-ago revenues of $128.4 million. The company has topped consensus revenue estimates just once over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Build-A-Bear shares have lost about 38.3% since the beginning of the year versus the S&P 500's gain of 9.9%.

What's Next for Build-A-Bear?While Build-A-Bear has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Build-A-Bear was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.68 on $129.5 million in revenues for the coming quarter and $3.86 on $553.85 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Retail - Miscellaneous is currently in the bottom 32% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

One other stock from the same industry, Five Below (FIVE - Free Report) , is yet to report results for the quarter ended April 2026. The results are expected to be released on June 3.

This discount retailer is expected to post quarterly earnings of $1.67 per share in its upcoming report, which represents a year-over-year change of +94.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Five Below's revenues are expected to be $1.2 billion, up 23.9% from the year-ago quarter.

Bath & Body Works Stock Surged Despite Falling Sales—Here’s WhyBuild-A-Bear Workshop NYSE: BBW reported lower first-quarter fiscal 2026 revenue as weaker store and online traffic offset growth in its commercial segment, while management reduced its full-year revenue outlook and pointed to a more cautious consumer environment.

The company also used the call to mark a leadership transition. Sharon John, who has served as chief executive officer for 13 years, said her last day as CEO will be June 11. Chris Hurt, currently chief operating officer and CEO-elect, will take the helm. John said Hurt has played a central role in global retail operations, location expansion and the company’s product and brand go-to-market strategy.

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First-quarter sales decline as traffic softens Bath & Body Works Hits Multi-Year Lows: Bargain or Trap?Build-A-Bear posted total revenue of $125.3 million, down 2.4% from the prior year. Hurt said the company had expected revenue to be approximately flat year over year based on trends through mid-March, but traffic and results weakened as the quarter progressed.

Hurt said management believes part of the softness reflects “a broader macro shift,” citing cautious consumer sentiment, geopolitical concerns and related price increases. He said the company still saw strength around key occasions, including its best Valentine’s Day in North American history and a solid Easter performance.

How Bath & Body Works Is a Perfect Example of a Value Stock Chief Financial Officer Voin Todorovic said the direct-to-consumer segment declined as transactions fell, primarily because of reduced store traffic. Domestic traffic was down 7%, lagging U.S. national retail traffic trends, while e-commerce demand declined 26.1% as web traffic remained soft. Average unit retail and units per transaction increased, helping lift dollars per transaction when customers did engage with the brand.

The commercial segment, which primarily represents wholesale revenue, continued to grow. Todorovic said commercial revenue, combined with international franchise revenue, rose 34.1% in the quarter.

Tariff refund boosts profit and gross margin Gross margin was 63.8%, up 700 basis points from a year earlier. Todorovic said the increase included a 560-basis-point benefit from a $7 million tariff refund related to prior-year costs, along with 140 basis points from higher average unit retail, partially offset by occupancy cost deleverage.

SG&A expenses were $56.1 million, or 44.8% of revenue, compared with 41.7% a year earlier. Todorovic attributed the increase to higher wage rates, talent investments, inflationary pressures and the timing of longer-range investments.

Pre-tax income was $23.9 million, compared with $19.6 million a year earlier. Excluding the $7 million tariff benefit related to fiscal 2025, adjusted pre-tax income was $16.9 million. Earnings per share were $1.45, and adjusted earnings per share were $1.03.

At quarter-end, Build-A-Bear had $26.2 million in cash, down $18.1 million from the prior year, which Todorovic said was mainly due to tariff payments and elevated capital expenditures tied to strategic investments. Inventory was $77.8 million, up $5.6 million, driven by tariffs embedded in product costs and inventory needed to support expected sales activity in the back half of the year.

Guidance lowered for revenue, raised for pre-tax income Build-A-Bear lowered its fiscal 2026 revenue guidance to a range of $530 million to $550 million, representing roughly flat revenue to 4% growth year over year. The company had previously guided for mid-single-digit revenue growth.

Management said the updated outlook reflects first-quarter results, second-quarter-to-date trends and a more conservative view of macroeconomic and geopolitical conditions. Hurt said the company expects the second quarter to be weaker than the first, with easier comparisons and planned growth in the third and fourth quarters.

The company raised its pre-tax income outlook to $72 million to $78 million, reflecting $13 million of IEEPA tariff refunds previously paid, partially offset by the impact of lower expected revenue. Excluding roughly $7 million of tariff refunds tied to prior-year costs, Build-A-Bear expects adjusted pre-tax income of $65 million to $71 million.

Todorovic said the outlook assumes the current Section 122 tariffs and related costs of about $10 million, along with a 10% tariff rate for the remainder of the fiscal year. He added that second-quarter profitability is expected to decline year over year.

Management emphasizes expansion, wholesale and product strategy Hurt said Build-A-Bear’s longer-term growth strategy continues to rest on four pillars: organic growth, location expansion, wholesale and outbound brand licensing, and gifting and personalization.

On organic growth, Hurt said some first-quarter launches resonated with older collectors, or “kidults,” including the Fresh Frosted Animal Cookies collection, which sold through most products in less than two weeks. He also highlighted the Promise Pets collection, which more than doubled sales year over year, and the Mini Beans line, which has sold nearly 4 million units since launch across all channels.

The company plans several product initiatives in the back half of the year, including a Halloween collection in August, the October kickoff of its year-long 30th anniversary celebration and a refreshed Harry Potter collection in December tied to the premiere of a new HBO series.

Build-A-Bear opened seven net new locations in the first quarter and continues to expect at least 50 net new experience locations this year, most operated by international partners. The company added the Philippines as a new market, bringing its international footprint to 37 countries, up from 19 two years ago. Hurt said Germany has become the company’s fastest-expanding market after re-entry late last year.

In the U.S., the company opened additional Build-A-Bear and Hello Kitty and Friends workshops at Mall of America and American Dream, with early results outpacing expectations. It also continues to plan a multi-level ICON Park location in Orlando later this year.

On wholesale, Hurt said Build-A-Bear launched into 1,500 Walmart locations with its Mini Beans collection and opened a Los Angeles showroom to support wholesale accounts. Todorovic said the company still expects commercial segment revenue to grow by at least 20% for the year.

Despite the lower revenue outlook, Todorovic said Build-A-Bear still expects fiscal 2026 to be one of the strongest years in the company’s history, with potential for record revenue, solid pre-tax income margins and continued capital returns. The company returned $14.3 million to shareholders in the first quarter through dividends and share repurchases.

About Build-A-Bear Workshop NYSE: BBWBuild-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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Build-A-Bear Workshop faces near-term volatility from inflation, but aggressive international expansion and a debt-free balance sheet underpin long-term upside. BBW revised 2026 revenue guidance downward, but the pre-tax income outlook improved due to tariff refunds, supporting an 11.6% projected growth from last year. Shareholder returns remain robust, with $14.3 million returned in Q1 and continued buybacks leveraging suppressed share prices.

Callodine Capital Management LP increased its stake in shares of Shutterstock, Inc. (NYSE: SSTK) by 86.0% during the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 768,705 shares of the business services provider's stock after buying an additional 355,478 shares during

, /PRNewswire/ -- Shutterstock, Inc. (NYSE: SSTK), a family of brands delivering scalable creative and GenAI solutions to help customers fuel great work, today announced the launch of its Shutterstock app in ChatGPT, enabling users to discover images, videos, music, and sound effects from one of the world's largest content collections directly in ChatGPT.

Embedding Licensable Visual & Audio Content into AI-Native Workflows

Shutterstock now enables users to discover images, videos, music, and sound effects from one of the world’s largest content collections directly in ChatGPT. As AI platforms increasingly become a medium for creative ideation, Shutterstock is embedding high-quality, licensable content directly into AI-native workflows—positioning itself as the licensed content layer that fuels AI-driven creativity. Users can now leverage AI's powerful reasoning and conversational capabilities to find what they need faster by connecting the Shutterstock app in ChatGPT and accessing assets available for licensing on Shutterstock.com, without interrupting their creative process.

Meeting Users Where AI Discovery Begins

OpenAI's growing user base generates more than one billion queries per day, underscoring the scale of AI-native discovery and the opportunity to embed licensable content directly within those workflows. Creators, innovators, marketers, and businesses are increasingly beginning their workflows within conversational AI tools. Shutterstock's app ensures that when users discover content needs in ChatGPT, commercial-ready assets are immediately accessible through a trusted, rights-cleared source. For example, a marketer drafting a campaign brief in ChatGPT can surface licensable hero imagery in the same conversation, preview options, and move directly from prompt to production without breaking workflow.

"Our customers trust Shutterstock as a leading source of high-quality, licensable content, powered by sophisticated AI technology," said Paul Teall, Vice President, Marketplace Strategy at Shutterstock. "This launch brings commercial confidence directly in ChatGPT, enabling teams to move from discovery to content production."

The launch reflects the growing importance of AI-native workflows, and Shutterstock's role as an early leader in providing licensable creative content within those Environments.

Commercial Confidence In ChatGPT

Unlike general search links that redirect users through traditional web experiences, the Shutterstock app in ChatGPT creates a gateway for AI-driven discovery, allowing content to be surfaced, previewed, and moved toward commercial production within AI and agentic workflows. By launching an app in ChatGPT, Shutterstock reduces creative and discovery friction and strengthens its position as the licensable content layer across emerging AI ecosystems.

Shutterstock is the Creative Infrastructure Layer for AI-Driven Workflows

This launch reinforces Shutterstock's strategy to embed AI across the creative experience, from discovery and licensed content, to AI-powered editing and generation. Rather than positioning AI as a separate destination, Shutterstock is integrating it directly into core workflows, ensuring licensable content can be discovered, adapted, and activated within AI-native environments. Together with its broader investments in model training, generative tools, AI editing, and data licensing, this integration reinforces Shutterstock's role as the infrastructure layer for AI-driven creativity.

Shutterstock Data Licensing & AI Services

Shutterstock is an end-to-end AI model training partner that unifies data licensing, services, and long-term collaboration under a single provider—reducing operational complexity and helping teams bring higher-performing AI systems to market faster and with greater confidence. Shutterstock combines access to one of the world's largest rights-cleared multimodal datasets with advanced data curation and custom training datasets to power high-performing, deployment-ready generative models. This licensable training data includes high-quality labeled and continuously updated multimodal content with clear data provenance to support AI compliance. Shutterstock leverages ML-assisted evaluation tools to provide model training, fine-tuning, alignment, evaluation, and retraining. Through human-in-the-loop workflows, expert creative feedback, and structured preference data, Shutterstock delivers aesthetic preference signals, benchmarking, and regression testing to drive continuous model improvement.

Learn more and start the conversation at shutterstock.com/data-licensing.

About Shutterstock
Shutterstock is in the business of turning ideas into impact. Powered by a global network of millions of creators and our cutting-edge technology, we provide businesses, creatives, and brand leaders with the essential, universal ingredients to make their work more effective. Shutterstock offers access to one of the world's largest and most diverse collections of high-quality licensable assets, specialized training datasets, evaluation tools, and end-to-end strategic partnerships for the full model training lifecycle, as well as advertising and distribution solutions, exclusive editorial content, and full-service studio production—delivering unparalleled resources to fuel great work.

Discover our impact at www.shutterstock.com and connect with us on LinkedIn, Instagram, X, Facebook and YouTube.

SOURCE Shutterstock, Inc.

An integrated creative system where premium content and AI converge to deliver high-quality, licensable outputs

, /PRNewswire/ -- Today, Shutterstock, Inc. (NYSE: SSTK), a family of brands delivering scalable creative and GenAI solutions, announced the launch of its AI Video Generator, which brings together leading text- and image-to-video models in one unified solution. By combining powerful video generation models with one of the world's largest content collections, Shutterstock empowers teams of all sizes to produce commercial-ready video—defined by high-quality standards and clear licensing. Designed for use at every stage of the creative process, from early exploration to go-to-market execution, Shutterstock's AI Video Generator enables customers to test concepts, ideate on different directions, and generate video assets that drive impact.

Shutterstock’s AI Video Generator empowers customers to create commercial-ready videos with high-quality output and clear licensing. One Solution for Commercial-Ready GenAI

"Our customers trust Shutterstock's AI image tools to deliver usable results, and with this launch, we're extending that trust to video with a new tool designed to deliver impact for all our customers," said Paul Teall, Vice President of Marketplace Strategy at Shutterstock. "With two free generations included, customers can quickly experience the power of AI video generation in a solution built for commercial use."

Access to Leading Models, Seamlessly Integrated

Featuring access to leading models from Google, Runway, and more, Shutterstock's AI Video Generator unifies content, models, and licensing within a single platform, reducing fragmentation and empowering teams to ideate, produce, and deploy video content more efficiently across channels. Customers can start from a simple text prompt, animate a static image, evolve existing brand assets, or build on Shutterstock's library of millions of creative assets, eliminating the need to start from scratch. This variety allows for rapid creation and testing, and with multiple licensing options, customers can confidently scale their video output.

Advancing a Unified, AI-Powered Ecosystem

This latest offering is part of Shutterstock's growing evolution as a key partner for AI solutions and services across the full spectrum of AI innovation. Together with its broader investments in model training and evaluation, data licensing, and generative tools, the AI Video Generator represents the next step in translating this infrastructure and expertise into practical, enterprise-grade creative solutions.

To try Shutterstock's new AI Video Generator visit shutterstock.com/ai-video-generator.

Shutterstock Data Licensing & AI Services 
Shutterstock is an end-to-end AI model training partner that unifies data licensing, services, and long-term collaboration under a single provider—reducing operational complexity and helping teams bring higher-performing AI systems to market faster and with greater confidence. Shutterstock combines access to one of the world's largest rights-cleared multimodal datasets with advanced data curation and custom training datasets to power high-performing, deployment-ready generative models. This licensable training data includes high-quality labeled and continuously updated multimodal content with clear data provenance to support AI compliance. Shutterstock leverages ML-assisted evaluation tools to provide model training, fine-tuning, alignment, evaluation, and retraining. Through human-in-the-loop workflows, expert creative feedback, and structured preference data, Shutterstock delivers aesthetic preference signals, benchmarking, and regression testing to drive continuous model improvement.

Learn more and start the conversation at shutterstock.com/data-licensing.

About Shutterstock
Shutterstock is in the business of turning ideas into impact. Powered by a global network of millions of creators and our cutting-edge technology, we provide businesses, creatives, and brand leaders with the essential, universal ingredients to make their work more effective. Shutterstock offers access to one of the world's largest and most diverse collections of high-quality licensable assets, specialized training datasets, evaluation tools, and end-to-end strategic partnerships for the full model training lifecycle, as well as advertising and distribution solutions, exclusive editorial content, and full-service studio production—delivering unparalleled resources to fuel great work.

Discover our impact at www.shutterstock.com and connect with us on LinkedIn, Instagram, X, Facebook and YouTube.

SOURCE Shutterstock, Inc.

Shutterstock (SSTK - Free Report) came out with quarterly earnings of $0.58 per share, missing the Zacks Consensus Estimate of $1.12 per share. This compares to earnings of $1.03 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of -48.21%. A quarter ago, it was expected that this online marketplace for royalty-free images and videos would post earnings of $1.05 per share when it actually produced earnings of $0.67, delivering a surprise of -36.19%.

Over the last four quarters, the company has not been able to surpass consensus EPS estimates.

Shutterstock, which belongs to the Zacks Internet - Content industry, posted revenues of $199.17 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 20.89%. This compares to year-ago revenues of $242.62 million. The company has not been able to beat consensus revenue estimates over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Shutterstock shares have lost about 7.8% since the beginning of the year versus the S&P 500's gain of 4.8%.

What's Next for Shutterstock?While Shutterstock has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Shutterstock was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.07 on $252.56 million in revenues for the coming quarter and $4.02 on $1.01 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Content is currently in the bottom 33% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Angi (ANGI - Free Report) , has yet to report results for the quarter ended March 2026. The results are expected to be released on May 5.

This provider of a digital marketplace for home services is expected to post quarterly loss of $0.41 per share in its upcoming report, which represents a year-over-year change of -236.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Angi's revenues are expected to be $241.35 million, down 1.9% from the year-ago quarter.

Photographers are seen at the 62nd Cannes Film Festival, May 18, 2009. REUTERS/Regis Duvignau/File Photo Purchase Licensing Rights, opens new tab

CompaniesMay 15 (Reuters) - Britain's competition regulator ​on Friday said it would clear ‌Getty Images' (GETY.N), opens new tab proposed $3.7 billion merger with Shutterstock (SSTK.N), opens new tab if the latter sells its editorial arm to address ​concerns around news content supply in ​the country.

The decision follows an in-depth investigation launched in ⁠November by the UK's Competition and ​Markets Authority (CMA) after initial remedies offered by ​the U.S.-based companies had failed to address the watchdog's concerns.

Jumpstart your morning with the latest legal news delivered straight to your inbox from The Daily Docket newsletter. Sign up here.

Getty Images and Shutterstock did not immediately respond ​to requests for comment. The companies' stocks ​were up 3.8% and 1.1%, respectively, in U.S. premarket ‌trading.

The ⁠CMA on Friday said the companies had since offered to divest Shutterstock's global editorial business, home to brands such as Backgrid ​and Splash, ​which they ⁠described as non-essential to their core operations.

The regulator's independent inquiry ​group found that the editorial business, ​if ⁠not sold, would reduce choice for UK media outlets and could ultimately raise prices for ⁠customers , ​saying Shutterstock is one ​of the "few meaningful" rivals to Getty.

Reporting by Ankita Bora ​and Tuhina in Bengaluru; Editing by Vijay Kishore

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

, /PRNewswire/ -- GIPHY, the world's leading platform for visual self-expression, today announced a multi-year extension of its long-standing integration partnership with Meta. Through this agreement, GIPHY's massive library will continue to power GIF and sticker experiences across Meta's entire suite of apps, including Facebook, Instagram, WhatsApp, and Messenger.

GIFs and stickers have become a core part of how people communicate. Across Meta platforms, GIFs and stickers are shared daily, underscoring the role of visual expression in everyday conversations. This partnership reinforces GIPHY's role in enabling dynamic communication at scale across the apps people use every day.

"People don't always want to type how they feel. They want to show it," said Kevin Hein, Chief Growth Officer at GIPHY. "GIPHY makes that possible across Meta's apps every day. This ongoing partnership ensures that experience stays seamless as communication continues to evolve."

GIPHY's library of GIFs, stickers, and short-form content is embedded directly into user experiences, enabling people to express emotion and intent without leaving the apps they're already using. The renewed partnership reflects a shared focus on making digital communication more visual, immediate, and intuitive.

GIPHY recently commissioned a consumer survey by Censuswide that shows users feel more comfortable expressing emotions through visuals than texts. With GIPHY's integration across Meta apps people can take their communication beyond what text and standard emojis can convey.

GIPHY is a wholly-owned subsidiary of Shutterstock, Inc. (NYSE: SSTK), a family of brands delivering scalable creative and GenAI solutions to help customers fuel great work.

ABOUT GIPHY
Founded in 2013, GIPHY Inc. is the visual communication platform where thousands of creators, media, and brand partners make everyday expression a little more moving. GIPHY empowers you to discover and share the GIFs, Clips, and Stickers that make your conversations more positive, more expressive, and more you. In addition, GIPHY Ads enables brands to connect with their audiences through ads people share, not just see. Acquired by Shutterstock in 2023, GIPHY's platform has a daily user reach of 1+ billion to which it serves 10+ billion pieces of short-form content every day. For more information, visitGIPHY.com or follow us on Instagram, Twitter, Facebook, and TikTok @GIPHY.

ABOUT SHUTTERSTOCK, INC.
Shutterstock is in the business of turning ideas into impact. Powered by a global network of millions of creators and our cutting-edge technology, we provide businesses, creatives, and brand leaders with the essential, universal ingredients to make their work more effective. Shutterstock offers access to one of the world's largest and most diverse collections of high-quality licensable assets, specialized training datasets, evaluation tools, and end-to-end strategic partnerships for the full model training lifecycle, as well as advertising and distribution solutions, exclusive editorial content, and full-service studio production—delivering unparalleled resources to fuel great work.

Discover our impact at www.shutterstock.com and connect with us on LinkedIn, Instagram, X, Facebook and YouTube.

View original content to download multimedia:https://www.prnewswire.com/news-releases/giphy-extends-multi-year-integration-partnership-with-meta-302775405.html

SOURCE Shutterstock, Inc.

, /PRNewswire/ -- Shutterstock, Inc. (NYSE: SSTK), a family of brands delivering scalable creative and GenAI solutions to help customers fuel great work, today unveiled the next evolution of its content library into a human-led, AI-powered creative platform. The advanced creative system combines premium human-made content, AI-powered creation tools, and intuitive workflows to help creatives move from idea to impact without starting from scratch.

Built for real people and real-world creative work, Shutterstock’s AI-powered creative platform combines premium human-made content with AI tools to help creators move from idea to impact without starting from scratch. As businesses and creators adopt AI, many are looking for ways to move faster without sacrificing authenticity, creative control, or commercial confidence. Shutterstock's platform is designed to address that challenge. Starting with Shutterstock's global library of authentic, licensable content created by real contributors around the world, users can discover, adapt, and refine content with embedded AI capabilities, while contributors continue to earn royalties when their content is edited with AI tools and licensed through the platform. With access to leading generative AI models, customers can transform existing content into commercially ready work, helping turn near-perfect assets into exactly what a project requires.

"In an AI-powered world, real-world customers are solving creative problems," said Paul Teall, Vice President, Marketplace Strategy at Shutterstock. "Our updated platform lets creatives get inspired by premium human-made content and then use integrated AI tools to adapt, refine, and personalize it for their needs. Instead of moving between separate tools and workflows, creators can work more seamlessly from inspiration to final output."

Shutterstock's AI-powered creative platform brings together:

Premium human-made content blended with powerful, inline AI editing capabilities AI-powered image and video generation that helps transform existing assets and ideas into new creative possibilities Proprietary Model Match technology that automatically connects prompts with the AI model best suited to the creative task, taking the guesswork out of model selection Conversational AI search and discovery that helps users find the right content through natural language Deeper integrations with AI-native workflows, including a Shutterstock app available in ChatGPT Workflow features including content reference and first frame reference that help users build from existing assets, maintain visual consistency, and guide AI outputs, as well as prompt enhancement for richer queries Human support teams that provide creative guidance and workflow expertise Commercial-ready licensing and indemnification backed by human review for AI-generated content Shutterstock's platform is built around three core strengths and a simple philosophy: built for real people doing real-world creative work and elevated by AI.

Built for Real, Elevated by AI
The best AI-powered work starts with something real. Shutterstock's platform is built on authentic, premium content created by real contributors around the world, then elevated through AI-powered tools and workflows.

Intuitively Integrated
Search, generate, edit, and refine content within one seamless workflow designed to reduce friction and simplify modern creative production. Tools that understand nuance, intent, and creative context help users create the way they think at every stage of the creative process.

Commercial-Ready
High-quality, licensable assets and AI-assisted outputs built for real campaigns, real brands, and real-world deployment.

"Businesses do not need disconnected AI tools. They need creative systems that work together," said Teall. "By combining trusted content, leading AI models, and human expertise in one platform, Shutterstock helps customers create faster, scale confidently, and produce work that is ready for the real world."

As organizations increasingly integrate AI into creative and marketing workflows, Shutterstock is uniquely positioned to bridge the gap between human creativity and machine intelligence by combining trusted content, intuitive AI, and commercial confidence within one connected ecosystem.

Today's launch reflects Shutterstock's broader evolution into a full-spectrum AI company serving both creative professionals and enterprise AI builders. While Shutterstock's AI-powered creative platform helps marketers, brands, and creators produce commercially ready work faster, Shutterstock's Data Licensing & AI Services business powers the underlying AI ecosystem itself through high-quality training data, model evaluation, and human-in-the-loop expertise for leading technology companies and model developers.

Shutterstock Data Licensing & AI Services 
Shutterstock is an end-to-end AI model training partner that unifies data licensing, services, and long-term collaboration under a single provider—reducing operational complexity and helping teams bring higher-performing AI systems to market faster and with greater confidence. Shutterstock combines access to one of the world's largest rights-cleared multimodal datasets with advanced data curation and custom training datasets to power high-performing, deployment-ready generative models. This licensable training data includes high-quality labeled and continuously updated multimodal content with clear data provenance to support AI compliance. Shutterstock leverages ML-assisted evaluation tools to provide model training, fine-tuning, alignment, evaluation, and retraining. Through human-in-the-loop workflows, expert creative feedback, and structured preference data, Shutterstock delivers aesthetic preference signals, benchmarking, and regression testing to drive continuous model improvement.

Learn more and start the conversation at shutterstock.com/data-licensing.

About Shutterstock
Shutterstock is in the business of turning ideas into impact. Powered by a global network of millions of creators and our cutting-edge technology, we provide businesses, creatives, and brand leaders with the essential, universal ingredients to make their work more effective. Shutterstock offers access to one of the world's largest and most diverse collections of high-quality licensable assets, specialized training datasets, evaluation tools, and end-to-end strategic partnerships for the full model training lifecycle, as well as advertising and distribution solutions, exclusive editorial content, and full-service studio production—delivering unparalleled resources to fuel great work.

Discover our impact at www.shutterstock.com and connect with us on LinkedIn, Instagram, X, Facebook and YouTube.

SOURCE Shutterstock, Inc.