Two Harbors Investment (NYSE:TWO) Issues Quarterly Earnings Results, Misses Expectations By $0.07 EPS

Two Harbors Investment (NYSE:TWO) released its earnings results on Wednesday. The real estate investment trust reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.27 by ($0.07), Zacks reports. Two Harbors Investment had a positive return on equity of 4.45% and a negative net margin of 87.84%.

Two Harbors Investment Price Performance

Shares of TWO stock traded down $0.21 on Wednesday, reaching $11.79. The company’s stock had a trading volume of 2,104,788 shares, compared to its average volume of 1,351,697. The company has a market capitalization of $1.22 billion, a price-to-earnings ratio of -2.45 and a beta of 1.83. The stock’s fifty day simple moving average is $11.73 and its 200-day simple moving average is $12.68. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 0.80. Two Harbors Investment has a 1 year low of $10.84 and a 1 year high of $14.27.

Two Harbors Investment Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, January 29th. Stockholders of record on Friday, January 3rd will be given a dividend of $0.45 per share. The ex-dividend date of this dividend is Friday, January 3rd. This represents a $1.80 dividend on an annualized basis and a dividend yield of 15.27%. Two Harbors Investment’s dividend payout ratio is currently -37.34%.

Insider Buying and Selling at Two Harbors Investment

In other Two Harbors Investment news, CIO Nicholas Letica sold 6,040 shares of Two Harbors Investment stock in a transaction on Friday, January 10th. The shares were sold at an average price of $11.13, for a total transaction of $67,225.20. Following the completion of the transaction, the executive now directly owns 174,672 shares of the company’s stock, valued at $1,944,099.36. The trade was a 3.34 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Rebecca B. Sandberg sold 3,785 shares of the stock in a transaction on Friday, January 10th. The shares were sold at an average price of $11.14, for a total transaction of $42,164.90. Following the completion of the sale, the insider now directly owns 152,378 shares in the company, valued at approximately $1,697,490.92. This represents a 2.42 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 29,754 shares of company stock worth $333,307 over the last 90 days. 0.61% of the stock is owned by insiders.

Analysts Set New Price Targets

TWO has been the topic of several recent analyst reports. Compass Point lowered their target price on shares of Two Harbors Investment from $15.75 to $14.75 and set a “buy” rating on the stock in a research note on Monday, November 25th. StockNews.com upgraded Two Harbors Investment to a “sell” rating in a research report on Tuesday. JMP Securities reiterated a “market outperform” rating and set a $14.00 target price on shares of Two Harbors Investment in a research report on Thursday, January 23rd. JPMorgan Chase & Co. lowered their price target on Two Harbors Investment from $11.50 to $11.00 and set a “neutral” rating on the stock in a report on Tuesday, January 21st. Finally, Royal Bank of Canada cut their price objective on shares of Two Harbors Investment from $14.00 to $12.00 and set a “sector perform” rating for the company in a report on Friday, November 1st. 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 MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $13.54.

About Two Harbors Investment

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.