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

Two Harbors Investments (NYSE:TWO) posted its quarterly earnings data on Monday. The real estate investment trust reported $0.26 EPS for the quarter, missing analysts’ consensus estimates of $0.30 by ($0.04), FiscalAI reports. Two Harbors Investments had a positive return on equity of 11.92% and a negative net margin of 44.10%.The business had revenue of $182.18 million during the quarter, compared to analyst estimates of ($15.44) million.

Two Harbors Investments Trading Up 3.1%

NYSE:TWO traded up $0.36 during trading hours on Monday, hitting $11.83. 3,996,120 shares of the company were exchanged, compared to its average volume of 3,648,211. The stock has a market capitalization of $1.23 billion, a price-to-earnings ratio of -4.73 and a beta of 1.19. Two Harbors Investments has a one year low of $9.30 and a one year high of $14.28. The company has a fifty day simple moving average of $11.31 and a 200 day simple moving average of $10.39. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 1.13.

Two Harbors Investments Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, January 29th. Investors of record on Monday, January 5th were issued a $0.34 dividend. This represents a $1.36 dividend on an annualized basis and a yield of 11.5%. The ex-dividend date was Monday, January 5th. Two Harbors Investments’s dividend payout ratio is presently -54.40%.

Insiders Place Their Bets

In other Two Harbors Investments news, CIO Nicholas Letica sold 55,488 shares of the stock in a transaction that occurred on Friday, December 19th. The stock was sold at an average price of $11.42, for a total value of $633,672.96. Following the transaction, the executive owned 166,507 shares in the company, valued at approximately $1,901,509.94. This represents a 25.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Rebecca B. Sandberg sold 27,370 shares of the firm’s stock in a transaction on Friday, December 19th. The shares were sold at an average price of $11.43, for a total transaction of $312,839.10. Following the completion of the transaction, the insider directly owned 156,718 shares in the company, valued at $1,791,286.74. This trade represents a 14.87% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 129,389 shares of company stock valued at $1,483,046 over the last three months. Insiders own 0.61% of the company’s stock.

Institutional Investors Weigh In On Two Harbors Investments

A number of institutional investors have recently added to or reduced their stakes in TWO. Freestone Grove Partners LP lifted its holdings in shares of Two Harbors Investments by 13.1% in the 3rd quarter. Freestone Grove Partners LP now owns 95,932 shares of the real estate investment trust’s stock worth $947,000 after acquiring an additional 11,093 shares during the last quarter. Brooklyn Investment Group lifted its stake in Two Harbors Investments by 7,732.0% in the third quarter. Brooklyn Investment Group now owns 17,857 shares of the real estate investment trust’s stock worth $176,000 after purchasing an additional 17,629 shares during the last quarter. Two Sigma Investments LP purchased a new position in shares of Two Harbors Investments in the third quarter worth about $235,000. Glenmede Investment Management LP bought a new stake in shares of Two Harbors Investments in the 3rd quarter valued at about $279,000. Finally, BNP Paribas Financial Markets boosted its holdings in Two Harbors Investments by 311.9% during the 3rd quarter. BNP Paribas Financial Markets now owns 44,495 shares of the real estate investment trust’s stock valued at $439,000 after acquiring an additional 33,693 shares during the period. 64.19% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several research firms have commented on TWO. JPMorgan Chase & Co. upped their price target on Two Harbors Investments from $9.50 to $10.00 and gave the stock a “neutral” rating in a research report on Monday, October 20th. UBS Group downgraded shares of Two Harbors Investments from a “buy” rating to a “neutral” rating and upped their price target for the company from $11.00 to $14.00 in a research note on Friday, January 23rd. Zacks Research cut shares of Two Harbors Investments from a “hold” rating to a “strong sell” rating in a research note on Tuesday, January 27th. Wall Street Zen upgraded shares of Two Harbors Investments from a “sell” rating to a “hold” rating in a research report on Saturday, November 1st. Finally, Maxim Group downgraded shares of Two Harbors Investments from a “buy” rating to a “hold” rating in a research report on Thursday, December 18th. Seven research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Reduce” and a consensus target price of $12.46.

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.