Two Harbors Investments Corp (NYSE:TWO) Receives Average Recommendation of “Reduce” from Brokerages

Shares of Two Harbors Investments Corp (NYSE:TWO) have earned a consensus recommendation of “Reduce” from the seven ratings firms that are presently covering the firm, Marketbeat reports. Two investment analysts have rated the stock with a sell recommendation and five have issued a hold recommendation on the company. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is $12.3333.

A number of equities analysts have issued reports on the stock. Zacks Research upgraded shares of Two Harbors Investments from a “strong sell” rating to a “hold” rating in a research report on Monday, April 6th. Weiss Ratings upgraded shares of Two Harbors Investments from a “sell (d)” rating to a “sell (d+)” rating in a report on Wednesday, April 29th. Compass Point cut shares of Two Harbors Investments from a “buy” rating to a “neutral” rating in a report on Friday, March 27th. Finally, JPMorgan Chase & Co. cut shares of Two Harbors Investments from a “neutral” rating to an “underweight” rating and cut their price target for the company from $12.50 to $11.00 in a report on Thursday, April 16th.

Institutional Trading of Two Harbors Investments

A number of hedge funds have recently modified their holdings of the business. Amundi boosted its holdings in shares of Two Harbors Investments by 63.9% during the 1st quarter. Amundi now owns 19,420 shares of the real estate investment trust’s stock valued at $222,000 after buying an additional 7,568 shares in the last quarter. California State Teachers Retirement System boosted its holdings in shares of Two Harbors Investments by 47.7% during the 1st quarter. California State Teachers Retirement System now owns 141,286 shares of the real estate investment trust’s stock valued at $1,613,000 after buying an additional 45,602 shares in the last quarter. Quantinno Capital Management LP boosted its holdings in shares of Two Harbors Investments by 243.0% during the 1st quarter. Quantinno Capital Management LP now owns 139,717 shares of the real estate investment trust’s stock valued at $1,596,000 after buying an additional 98,987 shares in the last quarter. SummitTX Capital L.P. bought a new stake in shares of Two Harbors Investments during the 1st quarter valued at $572,000. Finally, Rangeley Capital LLC bought a new stake in shares of Two Harbors Investments during the 1st quarter valued at $114,000. Institutional investors own 64.19% of the company’s stock.

Two Harbors Investments Price Performance

TWO stock opened at $12.35 on Friday. The firm’s 50-day moving average price is $11.77 and its two-hundred day moving average price is $11.20. Two Harbors Investments has a 12-month low of $8.78 and a 12-month high of $14.17. The stock has a market capitalization of $1.30 billion, a price-to-earnings ratio of -3.23 and a beta of 1.04. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.91.

Two Harbors Investments (NYSE:TWO) last released its quarterly earnings data on Tuesday, April 28th. The real estate investment trust reported $0.34 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.21 by $0.13. Two Harbors Investments had a negative net margin of 87.72% and a positive return on equity of 13.62%. The firm had revenue of $225.08 million for the quarter, compared to analysts’ expectations of $2.33 million. As a group, equities analysts predict that Two Harbors Investments will post 0.8 earnings per share for the current year.

Two Harbors Investments Announces Dividend

The firm also recently announced 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 11.0%. The ex-dividend date was Thursday, April 2nd. Two Harbors Investments’s payout ratio is -35.60%.

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.