STWD
Real EstateStarwood Property Trust, Inc. · REIT - Mortgage · $6B
What is Starwood Property Trust, Inc.?
Starwood Property Trust is a diversified real estate investment trust operating across the United States, Europe, and Australia. It focuses primarily on real estate-related debt, lending, and select equity property investments across commercial and residential markets.
The company generates income through four business segments: originating and managing commercial and residential loans, financing infrastructure debt, holding equity interests in stabilized commercial properties, and acquiring and servicing commercial mortgage-backed securities. Revenue comes largely from interest income on loans and CMBS holdings, supplemented by property income and fees earned through its investing and servicing operations. This multi-segment structure allows the trust to deploy capital across different parts of the real estate credit spectrum.
Founded in 2009 and headquartered in Greenwich, Connecticut, Starwood Property Trust has grown into one of the larger mortgage REITs in the market.
- Commercial and residential mortgage origination and management
- Infrastructure debt lending and investment
- Equity ownership in stabilized commercial real estate properties
- CMBS acquisition, management, and conduit loan origination
- Distressed and non-performing loan workout and servicing
Is STWD a Good Stock to Buy?
UQS Score rates STWD as Good overall, reflecting a balanced but mixed picture across its five quality pillars.
The Quality pillar comes in at a Good level, suggesting the trust maintains reasonable financial discipline relative to its REIT peers. Valuation is rated Attractive, meaning the stock does not appear expensive relative to its fundamentals — a meaningful consideration for income-focused investors evaluating entry points.
Both the Moat and Risk pillars register as Weak, which signals limited competitive differentiation and above-average exposure to credit and interest-rate risks inherent in mortgage REIT business models. Growth is rated Neutral, indicating limited near-term earnings expansion.
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Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.
Does STWD pay dividends?
Yes — Starwood Property Trust, Inc. pays a dividend.
Starwood Property Trust pays a regular dividend, consistent with its REIT structure, which requires distributing the majority of taxable income to shareholders. The dividend is a central part of the investment case for STWD, attracting income-focused investors. Sustainability depends on the trust's ability to generate stable net interest income across its lending and property segments through varying rate environments.
When does STWD report earnings?
Starwood Property Trust reports earnings on a quarterly cadence, typical for US-listed REITs.
Results tend to reflect movements in interest rates, credit quality across the loan portfolio, and activity levels in CMBS markets. The multi-segment model means any single quarter can be influenced by gains or losses in the investing and servicing book alongside core lending income.
For the most recent quarter's results and management commentary, visit Starwood Property Trust's investor relations page directly.
STWD Price History
+15.3% over 5Y
Monthly close, adjusted for stock splits and dividend reinvestment.
What if I invested in Starwood Property Trust, Inc.?
Based on Starwood Property Trust, Inc.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.
STWD Long-term Outlook
The Growth pillar's Neutral rating suggests the trust is not positioned for rapid earnings expansion in the near term. The Attractive Valuation label indicates the market may already be pricing in some of the headwinds reflected in the Weak Risk pillar. The fundamental outlook hinges on credit performance across commercial real estate loans and the direction of interest rates, both of which can shift the trust's net interest margin meaningfully.
Growth drivers
- Diversified lending across commercial, residential, and infrastructure debt segments
- Potential deployment of capital into distressed or repriced real estate credit opportunities
- Income from CMBS servicing and conduit origination activity
Key risks
- Elevated credit risk in commercial real estate lending during periods of property stress
- Interest rate sensitivity affecting net interest margins across the loan book
- Limited competitive moat relative to larger or more specialized mortgage REIT peers
STWD vs Peers
Starwood Property Trust operates in a competitive mortgage REIT landscape alongside several peers with distinct strategies.
Rithm Capital combines mortgage servicing rights with origination platforms, giving it a different revenue mix than STWD's lending-focused model.
AGNC concentrates almost entirely on agency mortgage-backed securities, making it more rate-sensitive but with lower credit risk than STWD's diversified book.
Ready Capital focuses on small-to-medium balance commercial real estate loans, occupying a narrower niche within the broader commercial lending space.
Frequently Asked Questions
What does Starwood Property Trust do?
Starwood Property Trust is a REIT that originates and manages real estate-related debt and equity investments. Its four segments cover commercial and residential lending, infrastructure debt, direct property ownership, and the acquisition and servicing of commercial mortgage-backed securities. The trust operates across the US, Europe, and Australia.
Does STWD pay dividends?
Yes, STWD pays a regular dividend. As a REIT, Starwood Property Trust is required to distribute the majority of its taxable income to shareholders, making dividend payments a core feature of the investment. Income investors should monitor the trust's net interest income trends to assess dividend sustainability over time.
When does STWD report earnings?
Starwood Property Trust reports on a quarterly cadence, in line with standard practice for US-listed REITs. For exact dates and the most recent results, check the investor relations section of the company's official website.
Is STWD a good stock to buy?
UQS Score rates STWD as Good overall. The Attractive Valuation and Good Quality pillar are positives, but the Weak Moat and Weak Risk ratings highlight meaningful credit and rate-related risks. Whether it suits a portfolio depends on an investor's income needs and risk tolerance. The full pillar breakdown is available to Pro members.
Is STWD overvalued?
The UQS Valuation pillar for STWD is rated Attractive, suggesting the stock is not trading at a premium relative to its fundamentals. For income-oriented investors, this may represent a reasonable entry point, though valuation alone does not offset the risk profile captured in other pillars.
How does STWD compare to its competitors?
Compared to peers like AGNC and Rithm Capital, STWD stands out for its diversified multi-segment model spanning commercial lending, infrastructure debt, and CMBS servicing. AGNC is more narrowly focused on agency securities, while Rithm leans on mortgage servicing rights. STWD's breadth adds diversification but also complexity.
What is STWD's market cap bracket?
Starwood Property Trust is classified as a mid-cap company. This places it among the larger mortgage REITs by market size, though it remains smaller than the mega-cap diversified real estate platforms.
Who founded Starwood Property Trust?
Starwood Property Trust was founded in 2009 and is affiliated with Starwood Capital Group, the global private investment firm led by Barry Sternlicht. The trust was structured to leverage Starwood Capital's real estate expertise across debt and equity strategies.
Is STWD a long-term quality investment?
As a long-term quality indicator, STWD's Good UQS Score reflects reasonable fundamentals tempered by Weak Moat and Weak Risk ratings. Mortgage REITs face structural sensitivity to credit cycles and interest rates, which can affect income consistency over time. Long-term holders should weigh the dividend income against these cyclical risks.
What is the main competitive advantage of Starwood Property Trust?
STWD's primary advantage lies in its diversified platform — spanning commercial lending, infrastructure debt, CMBS servicing, and direct property ownership — backed by the institutional real estate expertise of its Starwood Capital Group affiliation. However, the UQS Moat pillar rates this advantage as Weak relative to the broader sector.
What sector does STWD belong to?
STWD operates in the Real Estate sector, specifically within the mortgage REIT sub-category. Unlike traditional equity REITs that own and operate properties, Starwood Property Trust primarily generates income through real estate-related loans, securities, and debt investments, with a smaller direct property ownership component.
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Pro Analysis
STWD — Score History
| Date | UQS | Quality | Moat | Growth | Risk | Value | Change |
|---|---|---|---|---|---|---|---|
| May 22, 2026 | 50.1 | 74.3 | 32.0 | 47.1 | 0.2 | 94.0 | -6.3 |
| May 9, 2026 | 56.4 | 74.3 | 32.0 | 46.7 | 36.4 | 100.0 | +3.2 |
| May 7, 2026 | 53.2 | 79.5 | 32.0 | 56.2 | 0.3 | 93.9 | -0.1 |
| Apr 26, 2026 | 53.3 | 79.5 | 32.0 | 56.2 | 0.3 | 94.2 | +0.1 |
| Apr 19, 2026 | 53.2 | 79.5 | 32.0 | 56.2 | 0.3 | 93.5 | 0.0 |
| Apr 18, 2026 | 53.2 | 79.5 | 32.0 | 56.2 | 0.3 | 93.9 | -1.0 |
| Apr 5, 2026 | 54.2 | 79.5 | 32.0 | 56.2 | 0.3 | 100.0 | +0.3 |
| Apr 2, 2026 | 53.9 | 73.0 | 32.0 | 63.5 | 0.2 | 99.8 | — |
STWD — Pillar Breakdown
Quality
— 74.3/100 (25%)Starwood Property Trust, Inc. shows solid profitability with healthy returns on capital and reasonable margins.
Profitability relative to shareholders' equity.
Ability to convert revenue into operating profit.
Bottom-line profit as a share of revenue.
Free cash flow relative to market value.
Growth
— 47.1/100 (20%)Starwood Property Trust, Inc. shows steady but unspectacular growth, typical for mature companies.
Revenue trajectory over the last twelve months.
Compound annual revenue growth rate over 3 years.
Year-over-year earnings per share growth.
Analyst consensus for future revenue growth.
Analyst consensus for future earnings growth.
Risk
— 0.2/100 (15%)Starwood Property Trust, Inc. presents elevated risk with concerns around leverage or financial stability.
Total debt relative to shareholder equity.
Short-term liquidity — ability to pay near-term obligations.
Earnings capacity relative to interest payments.
Valuation
— 93.4/100 (15%)Starwood Property Trust, Inc. appears attractively valued relative to its earnings, cash flows, and sector peers.
Inverse of forward P/E — higher yield means cheaper stock.
How many years of FCF the market cap represents.
P/E relative to earnings growth — lower is more attractive.
Enterprise value multiple relative to sector median.
Moat
— 32/100 (25%)Starwood Property Trust, Inc. operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for STWD.
Score Composition
Financial Data
More Stock Analysis
How is the STWD UQS Score Calculated?
The UQS (Unified Quality Score) for Starwood Property Trust, Inc. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.
Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.
Moat (25%) assesses Starwood Property Trust, Inc.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.
Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.
Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.
Valuation (15%) measures whether Starwood Property Trust, Inc. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.
Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.