Two Harbors Investments Corp (NYSE:TWO) Receives $12.45 Average Price Target from Analysts

Two Harbors Investments Corp (NYSE:TWO) has been assigned a consensus recommendation of “Reduce” from the nine research firms that are currently covering the company, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell recommendation and seven have assigned a hold recommendation to the company. The average 1-year price objective among brokers that have covered the stock in the last year is $12.45.

Several analysts have issued reports on TWO shares. UBS Group cut Two Harbors Investments from a “buy” rating to a “neutral” rating and upped their target price for the company from $11.00 to $14.00 in a report on Friday, January 23rd. 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. JPMorgan Chase & Co. cut shares of Two Harbors Investments from a “neutral” rating to an “underweight” rating and cut their price objective for the stock from $12.50 to $11.00 in a research report on Thursday, April 16th. Compass Point cut shares of Two Harbors Investments from a “buy” rating to a “neutral” rating in a research report on Friday, March 27th. Finally, Weiss Ratings restated a “sell (d)” rating on shares of Two Harbors Investments in a research report on Monday, December 29th.

Two Harbors Investments Stock Performance

TWO opened at $11.01 on Friday. The company has a current ratio of 1.09, a quick ratio of 1.09 and a debt-to-equity ratio of 1.09. The firm’s 50-day moving average price is $10.62 and its 200 day moving average price is $10.67. The firm has a market capitalization of $1.16 billion, a PE ratio of -2.25 and a beta of 1.08. Two Harbors Investments has a twelve month low of $8.78 and a twelve month high of $14.17.

Two Harbors Investments (NYSE:TWO) last posted its quarterly earnings results on Monday, February 2nd. The real estate investment trust reported $0.26 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.30 by ($0.04). The company had revenue of $182.18 million during the quarter, compared to analysts’ expectations of ($15.44) million. Two Harbors Investments had a negative net margin of 109.90% and a positive return on equity of 12.00%. As a group, sell-side analysts expect that Two Harbors Investments will post 0.94 EPS for the current fiscal year.

Two Harbors Investments Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Thursday, April 2nd were given a dividend of $0.34 per share. This represents a $1.36 annualized dividend and a dividend yield of 12.4%. The ex-dividend date of this dividend was Thursday, April 2nd. Two Harbors Investments’s payout ratio is presently -27.81%.

Institutional Trading of Two Harbors Investments

Several institutional investors have recently made changes to their positions in the company. SG Americas Securities LLC acquired a new position in shares of Two Harbors Investments in the 4th quarter valued at $1,621,000. Clayton Partners LLC purchased a new position in Two Harbors Investments during the third quarter worth about $1,234,000. Pekin Hardy Strauss Inc. purchased a new position in Two Harbors Investments during the third quarter worth about $5,325,000. Simplicity Wealth LLC purchased a new position in Two Harbors Investments during the third quarter worth about $954,000. Finally, Algebris UK Ltd. purchased a new position in Two Harbors Investments during the third quarter worth about $17,558,000. Hedge funds and other institutional investors own 64.19% of the company’s stock.

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.