Two Harbors Investment (NYSE:TWO) Hits New 1-Year Low – Here’s Why

Two Harbors Investment Corp. (NYSE:TWO)’s share price hit a new 52-week low during trading on Wednesday . The company traded as low as $11.15 and last traded at $11.19, with a volume of 97019 shares changing hands. The stock had previously closed at $11.44.

Wall Street Analyst Weigh In

TWO has been the topic of a number of research analyst reports. JPMorgan Chase & Co. lowered their price target on Two Harbors Investment from $13.50 to $11.50 and set a “neutral” rating on the stock in a research note on Wednesday, October 30th. Compass Point dropped their target price on shares of Two Harbors Investment from $15.75 to $14.75 and set a “buy” rating for the company in a report on Monday, November 25th. Royal Bank of Canada decreased their price target on shares of Two Harbors Investment from $14.00 to $12.00 and set a “sector perform” rating on the stock in a research note on Friday, November 1st. JMP Securities dropped their price objective on shares of Two Harbors Investment from $15.00 to $14.50 and set a “market outperform” rating for the company in a research note on Thursday, October 17th. Finally, StockNews.com raised shares of Two Harbors Investment to a “sell” rating in a research note on Thursday, December 12th. One investment analyst has rated the stock with a sell rating, three have given a hold rating and four have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $13.71.

Two Harbors Investment Stock Down 1.2 %

The firm’s fifty day simple moving average is $11.72 and its two-hundred day simple moving average is $12.83. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 0.80. The company has a market capitalization of $1.17 billion, a price-to-earnings ratio of -2.34 and a beta of 1.83.

Two Harbors Investment (NYSE:TWO) last posted its earnings results on Monday, October 28th. The real estate investment trust reported $0.13 EPS for the quarter, missing analysts’ consensus estimates of $0.35 by ($0.22). The business had revenue of $112.64 million during the quarter. Two Harbors Investment had a negative net margin of 87.84% and a positive return on equity of 4.45%. During the same quarter in the prior year, the company earned ($0.01) EPS. Sell-side analysts anticipate that Two Harbors Investment Corp. will post 0.47 EPS for the current year.

Two Harbors Investment Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, January 29th. Stockholders of record on Friday, January 3rd will be issued a $0.45 dividend. The ex-dividend date is Friday, January 3rd. This represents a $1.80 annualized dividend and a dividend yield of 15.93%. Two Harbors Investment’s dividend payout ratio is currently -37.34%.

Hedge Funds Weigh In On Two Harbors Investment

Several hedge funds have recently bought and sold shares of TWO. QRG Capital Management Inc. boosted its holdings in Two Harbors Investment by 11.3% in the third quarter. QRG Capital Management Inc. now owns 12,100 shares of the real estate investment trust’s stock valued at $168,000 after purchasing an additional 1,230 shares during the period. Northwestern Mutual Wealth Management Co. raised its position in Two Harbors Investment by 1,680.0% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 2,225 shares of the real estate investment trust’s stock valued at $29,000 after purchasing an additional 2,100 shares in the last quarter. The Manufacturers Life Insurance Company boosted its stake in shares of Two Harbors Investment by 4.6% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 51,242 shares of the real estate investment trust’s stock valued at $677,000 after buying an additional 2,241 shares during the period. Arizona State Retirement System grew its position in shares of Two Harbors Investment by 9.5% during the second quarter. Arizona State Retirement System now owns 28,954 shares of the real estate investment trust’s stock worth $382,000 after buying an additional 2,519 shares in the last quarter. Finally, JPMorgan Chase & Co. increased its stake in shares of Two Harbors Investment by 1.3% during the third quarter. JPMorgan Chase & Co. now owns 258,142 shares of the real estate investment trust’s stock worth $3,583,000 after buying an additional 3,391 shares during the period. Institutional investors and hedge funds own 64.19% of the company’s stock.

Two Harbors Investment Company Profile

Two Harbors Investment Corp. invests in, finances, and manages mortgage servicing rights (MSRs), agency residential mortgage-backed securities (RMBS), and other financial assets through RoundPoint in the United States. The company target assets include agency RMBS collateralized by fixed rate mortgage loans, adjustable rate mortgage loans, hybrid mortgage loans, or derivatives; and other assets, such as financial and mortgage-related assets, including non-agency securities and non-hedging transactions.