Two Harbors Investments (NYSE:TWO) Reaches New 52-Week Low – Should You Sell?

Two Harbors Investments Corp (NYSE:TWO) reached a new 52-week low on Wednesday . The company traded as low as $11.98 and last traded at $11.9850, with a volume of 7738703 shares traded. The stock had previously closed at $12.03.

Wall Street Analysts Forecast Growth

TWO has been the subject of a number of recent research reports. Compass Point reaffirmed a “neutral” rating and issued a $13.00 target price on shares of Two Harbors Investments in a research note on Tuesday, June 9th. Weiss Ratings raised shares of Two Harbors Investments from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday. JPMorgan Chase & Co. upped their price objective on shares of Two Harbors Investments from $11.00 to $12.00 and gave the company an “underweight” rating in a report on Friday, July 17th. Zacks Research raised shares of Two Harbors Investments from a “hold” rating to a “strong-buy” rating in a report on Tuesday, July 21st. Finally, Royal Bank Of Canada raised their price objective on shares of Two Harbors Investments from $11.00 to $12.00 and gave the stock a “sector perform” rating in a research report on Monday, July 27th. One analyst has rated the stock with a Strong Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $12.75.

Two Harbors Investments Stock Down 0.4%

The stock has a market capitalization of $1.26 billion, a price-to-earnings ratio of -16.20 and a beta of 1.04. The company has a debt-to-equity ratio of 0.85, a current ratio of 1.08 and a quick ratio of 1.08. The business has a fifty day moving average of $12.19 and a 200 day moving average of $11.64.

Two Harbors Investments (NYSE:TWO) last posted its earnings results on Tuesday, July 28th. The real estate investment trust reported $0.28 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.28. Two Harbors Investments had a positive return on equity of 12.79% and a negative net margin of 6.09%.The company had revenue of $247.57 million during the quarter, compared to analysts’ expectations of $9.45 million. As a group, equities analysts predict that Two Harbors Investments Corp will post 0.89 earnings per share for the current year.

Two Harbors Investments Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Thursday, July 2nd were issued a dividend of $0.34 per share. The ex-dividend date was Thursday, July 2nd. This represents a $1.36 dividend on an annualized basis and a dividend yield of 11.3%. Two Harbors Investments’s dividend payout ratio is currently -64.86%.

Institutional Trading of Two Harbors Investments

Several institutional investors and hedge funds have recently bought and sold shares of TWO. BlackRock Inc. purchased a new position in Two Harbors Investments during the second quarter worth about $211,685,000. Millennium Management LLC raised its stake in shares of Two Harbors Investments by 45.3% in the 3rd quarter. Millennium Management LLC now owns 4,535,534 shares of the real estate investment trust’s stock valued at $44,766,000 after acquiring an additional 1,415,062 shares during the period. Balyasny Asset Management L.P. lifted its holdings in shares of Two Harbors Investments by 490.7% in the 2nd quarter. Balyasny Asset Management L.P. now owns 3,583,939 shares of the real estate investment trust’s stock worth $38,599,000 after acquiring an additional 2,977,196 shares during the last quarter. Invesco Ltd. lifted its holdings in shares of Two Harbors Investments by 44.5% in the 2nd quarter. Invesco Ltd. now owns 2,649,977 shares of the real estate investment trust’s stock worth $28,540,000 after acquiring an additional 815,931 shares during the last quarter. Finally, Geode Capital Management LLC boosted its position in shares of Two Harbors Investments by 0.9% during the 4th quarter. Geode Capital Management LLC now owns 2,485,048 shares of the real estate investment trust’s stock worth $26,098,000 after purchasing an additional 21,212 shares during the period. 64.19% of the stock is currently owned by hedge funds and other institutional investors.

About Two Harbors Investments

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.