Redwood Trust (RWT) reported $27.6 million in revenue for the quarter ended December 2024, representing a year-over-year increase of 38%. EPS of $0.13 for the same period compares to $0.05 a year ago.

The reported revenue represents a surprise of +6.15% over the Zacks Consensus Estimate of $26 million. With the consensus EPS estimate being $0.16, the EPS surprise was -18.75%.

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.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

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: $27.60 million compared to the $25.90 million average estimate based on four analysts.
• Non-interest income (loss)- Other income, net: $10.70 million versus the four-analyst average estimate of $5.84 million.
• Total non-interest income (loss), net: $17.60 million versus $37.06 million estimated by four analysts on average.
• Non-interest income (loss)- Investment fair value changes, net: -$25.50 million compared to the -$5.75 million average estimate based on three analysts.

View all Key Company Metrics for Redwood Trust here>>>

Shares of Redwood Trust have returned +0.6% over the past month versus the Zacks S&P 500 composite's +3.9% 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.

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