Two Harbors Investment (NYSE:TWO) Posts Earnings Results, Misses Estimates By $0.07 EPS

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

Two Harbors Investment Price Performance

NYSE:TWO opened at $11.79 on Thursday. The company has a debt-to-equity ratio of 0.80, a current ratio of 1.07 and a quick ratio of 1.07. Two Harbors Investment has a one year low of $10.84 and a one year high of $14.27. The firm has a 50-day moving average of $11.73 and a 200-day moving average of $12.68.

Two Harbors Investment Announces Dividend

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

Insider Transactions at Two Harbors Investment

In other news, insider Rebecca B. Sandberg sold 3,014 shares of Two Harbors Investment stock in a transaction dated Tuesday, January 14th. The shares were sold at an average price of $11.24, for a total value of $33,877.36. Following the completion of the transaction, the insider now owns 149,364 shares in the company, valued at $1,678,851.36. This trade represents a 1.98 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CIO Nicholas Letica sold 3,956 shares of the firm’s stock in a transaction that occurred on Wednesday, January 8th. The stock was sold at an average price of $11.21, for a total transaction of $44,346.76. Following the completion of the transaction, the executive now directly owns 180,712 shares of the company’s stock, valued at approximately $2,025,781.52. This trade represents a 2.14 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 29,754 shares of company stock valued at $333,307 over the last ninety days. 0.61% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on TWO. JMP Securities reissued a “market outperform” rating and issued a $14.00 price objective on shares of Two Harbors Investment in a research note on Thursday, January 23rd. StockNews.com upgraded Two Harbors Investment to a “sell” rating in a research note on Tuesday. Royal Bank of Canada reduced their price objective on Two Harbors Investment from $14.00 to $12.00 and set a “sector perform” rating on the stock in a research report on Friday, November 1st. Compass Point dropped their target price on Two Harbors Investment from $15.75 to $14.75 and set a “buy” rating for the company in a research report on Monday, November 25th. Finally, JPMorgan Chase & Co. reduced 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. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating and four have given a buy rating to the stock. According to data from MarketBeat.com, the stock currently 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.