Stock fact sheet · data as of
Redwood Financial, Inc. (REDW): fair value, margin of safety and Wheel Score
Ticker symbol REDW · Financial Services · Banks - Regional · United States · Blend
Is REDW undervalued?
REDW closed at 185.00 on 5 Nov 2026, which is 28% above the GLS average fair value of 144.55 from 8 models. 4 of them value the shares below today's price. Our scans read that as "no margin of safety": the stock is not a value candidate at this price, whatever the quality numbers say.
The 8 models disagree widely: DDM gives 34.43 while 10 Cap gives 278.72. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, neither cheapness nor growth clearly wins for REDW, so the nightly engine files it under Blend (value score 45, growth score 62, out of 100).
Nine valuation models for REDW
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 189.70 | +3% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 211.74 | +14% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 52.50 | -72% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 55.84 | -70% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 278.72 | +51% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 187.63 | +1% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 34.43 | -81% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 145.83 | -21% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -1,484.14 | -902% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 0.0000 | -100% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
No Piotroski health score is on file for REDW (the statements it needs were not available), so the Health part of the Wheel Score counts it at half marks - 10 of 20 - rather than marking the stock down for missing data. The GLS Moat score is 6.6 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.
Returns on capital are moderate - ROIC 6.4%, ROE 10.8%, ROA 0.8% - with debt at 0.68 times equity and a free-cash-flow yield of 5.0%.
The dividend yield is 1.26% with a payout ratio of 17% - a small yield that leaves most of the earnings in the business.
Institutional ownership scores 5/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | - / 9 | ROIC | 6.4% |
|---|---|---|---|
| GLS Moat | 6.6 / 10 | ROE | 10.8% |
| Debt / equity | 0.68 | ROA | 0.8% |
| Free-cash-flow yield | 5.0% | Payout ratio | 17% |
| Institutions | 5 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 19: No options
REDW has no listed options in the nightly snapshot, so there is nothing to sell and the stock cannot be wheeled however good the business. It fails the first Wheel Trade Filter (options that actually trade), so the score stays under 70 and is shown as "No options" (19 here). The valuation and quality numbers still apply to owning the shares outright.
Volume runs at 0k shares a day on a market cap of $75M, with a beta of 0.27 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Fails | no listed options |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Fails | trades 28% above our fair value |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Fails | no implied volatility |
| 8 | Big enough | Fails | market cap $75M (under $1.0B) |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Weak | 28% above fair value | |
| Premium | Weak | no option data | |
| Moat | Good | moat 6.6/10 | |
| Health | Fair | no Piotroski score on file - half marks | |
| Red Flags | Fair | not scored yet - half marks | |
| Option trading | Weak | no option volume data | |
| Stability | Fair | beta 0.27, $75M company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
No upcoming earnings date is recorded for REDW in the nightly calendar. The shares go ex-dividend on 6 Nov 2026 (2.50 per share), so a covered call sold before then carries a small early-assignment risk around that date.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Banks - Regional
The 12 companies below are the closest to Redwood Financial, Inc. by market cap within the Banks - Regional industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| CBWA Commencement Bancorp Inc. | 20.05 | 22.16 | +10% | 23No options | $75M |
| GSBX Golden State Bancorp | 40.00 | 66.17 | +40% | 32No options | $73M |
| SSBI Summit State Bank | 11.42 | 10.24 | -12% | 18No options | $77M |
| DWNX Delhi Bank Corp. | 21.50 | 10.62 | -102% | 16No options | $73M |
| CLST Catalyst Bancorp, Inc. | 17.88 | 24.03 | +26% | 28No options | $72M |
| MVLY Mission Valley Bancorp | 21.49 | 22.02 | +2% | 17No options | $72M |
| LFGP Ledyard Financial Group, Inc. | 22.50 | 30.14 | +25% | 27No options | $78M |
| BCOW 1895 Bancorp of Wisconsin, Inc. | 13.95 | 18.67 | +25% | 29No options | $72M |
| RVCB River Valley Community Bancorp | 25.00 | 23.39 | -7% | 18No options | $78M |
| CCBC Chino Commercial Bancorp | 18.50 | 27.21 | +32% | 32No options | $71M |
| FBTT First Bankers Trustshares, Inc. | 26.50 | 40.44 | +34% | 27No options | $79M |
| MNMB Merchants & Marine Bancorp, Inc. | 60.00 | 156.76 | +62% | 31No options | $80M |
⚖ Compare REDW with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about REDW
Is REDW undervalued right now?
No: at 185.00 the stock trades 28% above the GLS average fair value of 144.55 (data as of 5 Nov 2026). The margin of safety is negative.
What is the Wheel Score of REDW and what does it mean?
REDW has no listed options in our nightly snapshot, so it cannot be wheeled; it fails the first Wheel Trade Filter (options that actually trade), stays under 70 and is shown as "No options".
What is the GLS fair value for REDW?
144.55 per share as of 5 Nov 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Redwood Financial, Inc. report earnings next?
No upcoming earnings date is recorded for REDW in our calendar as of 5 Nov 2026; the Calendars page is refreshed every morning.
Does REDW have listed options, and how liquid are they?
No. The nightly options snapshot found no listed contracts on REDW, so the wheel strategy cannot be run on it and the Wheel Score stays under 70.