Two Harbors Investments (NYSE:TWO) Rating Increased to Strong-Buy at Zacks Research

Zacks Research upgraded shares of Two Harbors Investments (NYSE:TWO) from a hold rating to a strong-buy rating in a research report sent to investors on Tuesday morning,Zacks.com reports.

TWO has been the subject of several other research reports. Compass Point reiterated 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 upgraded shares of Two Harbors Investments from a “sell (d)” rating to a “sell (d+)” rating in a research note on Wednesday, April 29th. Finally, JPMorgan Chase & Co. raised their price objective on shares of Two Harbors Investments from $11.00 to $12.00 and gave the stock an “underweight” rating in a report on Friday, July 17th. One investment analyst has rated the stock with a Strong Buy rating, three have issued a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $12.75.

Two Harbors Investments Stock Down 0.0%

TWO stock opened at $12.10 on Tuesday. The company has a debt-to-equity ratio of 0.91, a quick ratio of 1.06 and a current ratio of 1.06. The company has a market capitalization of $1.27 billion, a price-to-earnings ratio of -3.17 and a beta of 1.03. Two Harbors Investments has a fifty-two week low of $8.78 and a fifty-two week high of $14.17. The stock has a fifty day moving average of $12.31 and a 200-day moving average of $11.66.

Two Harbors Investments (NYSE:TWO) last announced 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. The business had revenue of $225.08 million for the quarter, compared to analysts’ expectations of $2.33 million. Two Harbors Investments had a positive return on equity of 13.62% and a negative net margin of 87.72%. As a group, equities research analysts predict that Two Harbors Investments will post 0.89 earnings per share for the current year.

Two Harbors Investments Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, July 15th. Investors of record on Thursday, July 2nd were issued a dividend of $0.34 per share. The ex-dividend date of this dividend was Thursday, July 2nd. This represents a $1.36 dividend on an annualized basis and a yield of 11.2%. Two Harbors Investments’s dividend payout ratio is -35.60%.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. Quarry LP lifted its holdings in shares of Two Harbors Investments by 695.6% in the third quarter. Quarry LP now owns 3,421 shares of the real estate investment trust’s stock worth $34,000 after buying an additional 2,991 shares in the last quarter. Smartleaf Asset Management LLC grew its stake in Two Harbors Investments by 34.5% during the fourth quarter. Smartleaf Asset Management LLC now owns 3,825 shares of the real estate investment trust’s stock valued at $40,000 after acquiring an additional 981 shares in the last quarter. Advisory Services Network LLC purchased a new position in Two Harbors Investments during the third quarter valued at approximately $42,000. Ballast Advisors LLC bought a new stake in Two Harbors Investments during the 1st quarter worth approximately $50,000. Finally, Kemnay Advisory Services Inc. bought a new stake in Two Harbors Investments during the 4th quarter worth approximately $68,000. Hedge funds and other institutional investors own 64.19% of the company’s stock.

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.