Redwood Trust Stock Forecast - Polynomial Regression

RWT Stock  USD 6.55  0.07  1.08%   
The Polynomial Regression forecasted value of Redwood Trust on the next trading day is expected to be 6.55 with a mean absolute deviation of 0.08 and the sum of the absolute errors of 5.18. Redwood Stock Forecast is based on your current time horizon.
  
At this time, Redwood Trust's Inventory Turnover is comparatively stable compared to the past year. Payables Turnover is likely to gain to 0.79 in 2025, whereas Receivables Turnover is likely to drop 0.79 in 2025. . Common Stock Shares Outstanding is likely to gain to about 140.4 M in 2025, despite the fact that Net Loss is likely to grow to (139.8 M).

Open Interest Against 2025-04-17 Redwood Option Contracts

Although open interest is a measure utilized in the options markets, it could be used to forecast Redwood Trust's spot prices because the number of available contracts in the market changes daily, and new contracts can be created or liquidated at will. Since open interest in Redwood Trust's options reflects these daily shifts, investors could use the patterns of these changes to develop long and short-term trading strategies for Redwood Trust stock based on available contracts left at the end of a trading day.
Please note that to derive more accurate forecasting about market movement from the current Redwood Trust's open interest, investors have to compare it to Redwood Trust's spot prices. As Ford's stock price increases, high open interest indicates that money is entering the market, and the market is strongly bullish. Conversely, if the price of Redwood Trust is decreasing and there is high open interest, that is a sign that the bearish trend will continue, and investors may react by taking short positions in Redwood. So, decreasing or low open interest during a bull market indicates that investors are becoming uncertain of the depth of the bullish trend, and a reversal in sentiment will likely follow.
Redwood Trust polinomial regression implements a single variable polynomial regression model using the daily prices as the independent variable. The coefficients of the regression for Redwood Trust as well as the accuracy indicators are determined from the period prices.

Redwood Trust Polynomial Regression Price Forecast For the 3rd of February

Given 90 days horizon, the Polynomial Regression forecasted value of Redwood Trust on the next trading day is expected to be 6.55 with a mean absolute deviation of 0.08, mean absolute percentage error of 0.01, and the sum of the absolute errors of 5.18.
Please note that although there have been many attempts to predict Redwood Stock prices using its time series forecasting, we generally do not recommend using it to place bets in the real market. The most commonly used models for forecasting predictions are the autoregressive models, which specify that Redwood Trust's next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).

Redwood Trust Stock Forecast Pattern

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Redwood Trust Forecasted Value

In the context of forecasting Redwood Trust's Stock value on the next trading day, we examine the predictive performance of the model to find good statistically significant boundaries of downside and upside scenarios. Redwood Trust's downside and upside margins for the forecasting period are 4.97 and 8.13, respectively. We have considered Redwood Trust's daily market price to evaluate the above model's predictive performance. Remember, however, there is no scientific proof or empirical evidence that traditional linear or nonlinear forecasting models outperform artificial intelligence and frequency domain models to provide accurate forecasts consistently.
Market Value
6.55
6.55
Expected Value
8.13
Upside

Model Predictive Factors

The below table displays some essential indicators generated by the model showing the Polynomial Regression forecasting method's relative quality and the estimations of the prediction error of Redwood Trust stock data series using in forecasting. Note that when a statistical model is used to represent Redwood Trust stock, the representation will rarely be exact; so some information will be lost using the model to explain the process. AIC estimates the relative amount of information lost by a given model: the less information a model loses, the higher its quality.
AICAkaike Information Criteria113.6223
BiasArithmetic mean of the errors None
MADMean absolute deviation0.0849
MAPEMean absolute percentage error0.0127
SAESum of the absolute errors5.1814
A single variable polynomial regression model attempts to put a curve through the Redwood Trust historical price points. Mathematically, assuming the independent variable is X and the dependent variable is Y, this line can be indicated as: Y = a0 + a1*X + a2*X2 + a3*X3 + ... + am*Xm

Predictive Modules for Redwood Trust

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Redwood Trust. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Redwood Trust's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Hype
Prediction
LowEstimatedHigh
4.996.578.15
Details
Intrinsic
Valuation
LowRealHigh
5.867.449.02
Details
10 Analysts
Consensus
LowTargetHigh
7.538.289.19
Details

Other Forecasting Options for Redwood Trust

For every potential investor in Redwood, whether a beginner or expert, Redwood Trust's price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. Redwood Stock price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in Redwood. Basic forecasting techniques help filter out the noise by identifying Redwood Trust's price trends.

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 Risk & Return  Correlation

Redwood Trust Technical and Predictive Analytics

The stock market is financially volatile. Despite the volatility, there exist limitless possibilities of gaining profits and building passive income portfolios. With the complexity of Redwood Trust's price movements, a comprehensive understanding of forecasting methods that an investor can rely on to make the right move is invaluable. These methods predict trends that assist an investor in predicting the movement of Redwood Trust's current price.

Redwood Trust Market Strength Events

Market strength indicators help investors to evaluate how Redwood Trust stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Redwood Trust shares will generate the highest return on investment. By undertsting and applying Redwood Trust stock market strength indicators, traders can identify Redwood Trust entry and exit signals to maximize returns.

Redwood Trust Risk Indicators

The analysis of Redwood Trust's basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in Redwood Trust's investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting redwood stock prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

Thematic Opportunities

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Additional Tools for Redwood Stock Analysis

When running Redwood Trust's price analysis, check to measure Redwood Trust's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Redwood Trust is operating at the current time. Most of Redwood Trust's value examination focuses on studying past and present price action to predict the probability of Redwood Trust's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Redwood Trust's price. Additionally, you may evaluate how the addition of Redwood Trust to your portfolios can decrease your overall portfolio volatility.