Two Harbors Investments (NYSE:TWO) Posts Earnings Results, Hits Expectations

Two Harbors Investments (NYSE:TWO) issued its earnings results on Tuesday. The real estate investment trust reported $0.28 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.28, FiscalAI reports. The firm had revenue of $247.57 million during the quarter, compared to analysts’ expectations of $9.45 million. Two Harbors Investments had a negative net margin of 87.72% and a positive return on equity of 13.62%.

Two Harbors Investments Stock Performance

Shares of TWO traded up $0.01 during trading hours on Wednesday, reaching $12.11. 261,038 shares of the company traded hands, compared to its average volume of 2,880,079. The stock’s fifty day moving average is $12.27 and its 200 day moving average is $11.70. 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 stock has a market cap of $1.27 billion, a P/E ratio of -3.17 and a beta of 1.03. Two Harbors Investments has a 1-year low of $8.78 and a 1-year high of $14.17.

Two Harbors Investments Announces Dividend

The business also recently disclosed 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 annualized dividend and a dividend yield of 11.2%. Two Harbors Investments’s payout ratio is presently -12.57%.

Institutional Trading of Two Harbors Investments

A number of institutional investors and hedge funds have recently added to or reduced their stakes in TWO. Quarry LP boosted its holdings in Two Harbors Investments by 695.6% during the third quarter. Quarry LP now owns 3,421 shares of the real estate investment trust’s stock valued at $34,000 after purchasing an additional 2,991 shares in the last quarter. Smartleaf Asset Management LLC boosted its stake in Two Harbors Investments by 34.5% in 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 in the last quarter. Advisory Services Network LLC bought a new stake in Two Harbors Investments in the third quarter valued at $42,000. Kemnay Advisory Services Inc. bought a new position in shares of Two Harbors Investments during the fourth quarter valued at $68,000. Finally, Los Angeles Capital Management LLC acquired a new stake in shares of Two Harbors Investments in the 4th quarter valued at $75,000. Institutional investors own 64.19% of the company’s stock.

Wall Street Analysts Forecast Growth

TWO has been the topic of a number of recent research reports. Zacks Research upgraded Two Harbors Investments from a “hold” rating to a “strong-buy” rating in a report on Tuesday, July 21st. Compass Point reiterated a “neutral” rating and issued a $13.00 target price on shares of Two Harbors Investments in a report on Tuesday, June 9th. Royal Bank Of Canada boosted their price target on shares of Two Harbors Investments from $11.00 to $12.00 and gave the company a “sector perform” rating in a report on Monday. Weiss Ratings restated a “sell (d+)” rating on shares of Two Harbors Investments in a research report on Friday. Finally, JPMorgan Chase & Co. boosted their price target 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. One analyst has rated the stock with a Strong Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $12.75.

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.