Two Harbors Investments Corp (NYSE:TWO) Given Consensus Recommendation of “Reduce” by Brokerages

Two Harbors Investments Corp (NYSE:TWO) has earned an average rating of “Reduce” from the nine research firms that are presently covering the firm, MarketBeat reports. Two equities research analysts have rated the stock with a sell recommendation and seven have given a hold recommendation to the company. The average 1-year target price among brokerages that have issued ratings on the stock in the last year is $12.45.

Several equities analysts have commented on the stock. JPMorgan Chase & Co. downgraded shares of Two Harbors Investments from a “neutral” rating to an “underweight” rating and decreased their price objective for the company from $12.50 to $11.00 in a report on Thursday. Zacks Research upgraded shares of Two Harbors Investments from a “strong sell” rating to a “hold” rating in a report on Monday, April 6th. Weiss Ratings reiterated a “sell (d)” rating on shares of Two Harbors Investments in a report on Monday, December 29th. UBS Group downgraded shares of Two Harbors Investments from a “buy” rating to a “neutral” rating and upped their price objective for the company from $11.00 to $14.00 in a report on Friday, January 23rd. Finally, Compass Point downgraded shares of Two Harbors Investments from a “buy” rating to a “neutral” rating in a research note on Friday, March 27th.

Institutional Investors Weigh In On Two Harbors Investments

Institutional investors and hedge funds have recently bought and sold shares of the company. Mowery & Schoenfeld Wealth Management LLC bought a new stake in Two Harbors Investments during the third quarter worth about $25,000. Quarry LP lifted its position 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 worth $34,000 after purchasing an additional 2,991 shares during the period. Smartleaf Asset Management LLC lifted its position 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 worth $40,000 after purchasing an additional 981 shares during the period. Advisory Services Network LLC bought a new stake in Two Harbors Investments during the third quarter worth about $42,000. Finally, CWM LLC lifted its position in Two Harbors Investments by 456.0% during the third quarter. CWM LLC now owns 5,465 shares of the real estate investment trust’s stock worth $54,000 after purchasing an additional 4,482 shares during the period. Institutional investors own 64.19% of the company’s stock.

Two Harbors Investments Stock Performance

NYSE TWO opened at $11.12 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 fifty day moving average price is $10.62 and its two-hundred day moving average price is $10.65. Two Harbors Investments has a 1 year low of $8.78 and a 1 year high of $14.17. The firm has a market capitalization of $1.17 billion, a P/E ratio of -2.27 and a beta of 1.08.

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 the consensus estimate of $0.30 by ($0.04). Two Harbors Investments had a positive return on equity of 12.00% and a negative net margin of 109.90%.The firm had revenue of $182.18 million for the quarter, compared to the consensus estimate of ($15.44) million. As a group, research analysts anticipate that Two Harbors Investments will post 0.81 EPS for the current year.

Two Harbors Investments Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 15th. Investors of record on Thursday, April 2nd were paid a $0.34 dividend. The ex-dividend date was Thursday, April 2nd. This represents a $1.36 annualized dividend and a dividend yield of 12.2%. Two Harbors Investments’s dividend payout ratio is -27.81%.

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.