Redwood Trust initiated with a Buy at JonesResearch

JonesResearch analyst Jason Weaver initiated coverage of Redwood Trust with a Buy rating and $7.25 price target. The company is well positioned to be a top partner for capital constrained banks in non-agency mortgage lending, which still make up 30% in origination volume, the analyst tells investors in a research note. The firm believes Redwood is positioned to benefit from a recovery in non-qualifying lending as monetary tightness recedes.