Two Harbors Investments (NYSE:TWO) Issues Quarterly Earnings Results

Two Harbors Investments (NYSE:TWO) released its quarterly earnings results on Tuesday. The real estate investment trust reported $0.34 earnings per share for the quarter, beating the consensus estimate of $0.25 by $0.09, FiscalAI reports. The business had revenue of $225.08 million during the quarter, compared to analysts’ expectations of $2.63 million. Two Harbors Investments had a positive return on equity of 12.00% and a negative net margin of 109.90%.

Two Harbors Investments Price Performance

Two Harbors Investments stock traded up $0.02 during mid-day trading on Thursday, hitting $11.58. The company’s stock had a trading volume of 373,808 shares, compared to its average volume of 3,490,680. The stock’s fifty day moving average price is $10.61 and its two-hundred day moving average price is $10.73. Two Harbors Investments has a twelve month low of $8.78 and a twelve month high of $14.17. The company has a quick ratio of 1.09, a current ratio of 1.09 and a debt-to-equity ratio of 1.09. The stock has a market capitalization of $1.22 billion, a P/E ratio of -2.37 and a beta of 1.08.

Two Harbors Investments Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Thursday, April 2nd were issued a dividend of $0.34 per share. This represents a $1.36 dividend on an annualized basis and a dividend yield of 11.7%. The ex-dividend date of this dividend was Thursday, April 2nd. Two Harbors Investments’s payout ratio is -27.81%.

Wall Street Analyst Weigh In

TWO has been the subject of a number of recent research reports. UBS Group cut Two Harbors Investments from a “buy” rating to a “neutral” rating and lifted their target price for the stock from $11.00 to $14.00 in a report on Friday, January 23rd. Compass Point cut Two Harbors Investments from a “buy” rating to a “neutral” rating in a report on Friday, March 27th. JPMorgan Chase & Co. lowered Two Harbors Investments from a “neutral” rating to an “underweight” rating and decreased their target price for the company from $12.50 to $11.00 in a research report on Thursday, April 16th. Finally, Zacks Research raised Two Harbors Investments from a “strong sell” rating to a “hold” rating in a report on Monday, April 6th. Six investment analysts have rated the stock with a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the company has a consensus rating of “Reduce” and a consensus target price of $12.25.

Hedge Funds Weigh In On Two Harbors Investments

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in TWO. Smartleaf Asset Management LLC boosted its stake in shares of Two Harbors Investments by 34.5% during the 4th quarter. Smartleaf Asset Management LLC now owns 3,825 shares of the real estate investment trust’s stock valued at $40,000 after buying an additional 981 shares during the period. Osaic Holdings Inc. lifted its stake in shares of Two Harbors Investments by 11.1% in the 2nd quarter. Osaic Holdings Inc. now owns 13,130 shares of the real estate investment trust’s stock valued at $142,000 after purchasing an additional 1,309 shares during the last quarter. Janney Montgomery Scott LLC lifted its stake in shares of Two Harbors Investments by 12.2% in the 4th quarter. Janney Montgomery Scott LLC now owns 15,317 shares of the real estate investment trust’s stock valued at $161,000 after purchasing an additional 1,663 shares during the last quarter. Commonwealth Equity Services LLC raised its holdings in Two Harbors Investments by 14.7% in the 4th quarter. Commonwealth Equity Services LLC now owns 19,054 shares of the real estate investment trust’s stock worth $200,000 after acquiring an additional 2,441 shares during the period. Finally, Illinois Municipal Retirement Fund raised its holdings in Two Harbors Investments by 5.0% in the 4th quarter. Illinois Municipal Retirement Fund now owns 56,571 shares of the real estate investment trust’s stock worth $594,000 after acquiring an additional 2,686 shares during the period. Institutional investors and hedge funds own 64.19% of the company’s stock.

Two Harbors Investments Company Profile

Two Harbors Investments Corp. is a mortgage real estate investment trust (mREIT) that primarily invests in residential mortgage-backed securities (RMBS) issued or guaranteed by government-sponsored enterprises, as well as non-agency residential mortgage loans, mortgage servicing rights and credit risk transfer securities. The company seeks to generate attractive risk-adjusted returns for its shareholders by employing leverage to enhance net interest income derived from its portfolio of high-quality fixed-income assets.

Headquartered in Minneapolis, Minnesota, Two Harbors operates through a self-managed platform that combines portfolio management, risk-management and securitization expertise.