Two Harbors Investments (NYSE:TWO) Stock Passes Above 200-Day Moving Average – What’s Next?

Two Harbors Investments Corp (NYSE:TWO)’s stock price passed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $10.64 and traded as high as $11.12. Two Harbors Investments shares last traded at $11.0950, with a volume of 902,459 shares changing hands.

Analyst Ratings Changes

Several analysts have recently issued reports on TWO shares. Maxim Group downgraded Two Harbors Investments from a “buy” rating to a “hold” rating in a research report on Thursday, December 18th. Compass Point downgraded Two Harbors Investments from a “buy” rating to a “neutral” rating in a research report on Friday, March 27th. JPMorgan Chase & Co. downgraded shares of Two Harbors Investments from a “neutral” rating to an “underweight” rating and reduced their price objective for the company from $12.50 to $11.00 in a research note on Thursday. Weiss Ratings reissued a “sell (d)” rating on shares of Two Harbors Investments in a research note on Monday, December 29th. Finally, 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 research note on Friday, January 23rd. Seven equities research analysts have rated the stock with a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, Two Harbors Investments presently has a consensus rating of “Reduce” and a consensus target price of $12.45.

Two Harbors Investments Price Performance

The company has a 50-day moving average of $10.62 and a two-hundred day moving average of $10.65. The stock has a market capitalization of $1.17 billion, a PE ratio of -2.27 and a beta of 1.08. The company has a debt-to-equity ratio of 1.09, a current ratio of 1.09 and a quick ratio of 1.09.

Two Harbors Investments (NYSE:TWO) last released its earnings results on Monday, February 2nd. The real estate investment trust reported $0.26 earnings per share 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 business had revenue of $182.18 million for the quarter, compared to analysts’ expectations of ($15.44) million. Sell-side analysts predict that Two Harbors Investments Corp will post 0.81 EPS for the current fiscal year.

Two Harbors Investments Dividend Announcement

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

Hedge Funds Weigh In On Two Harbors Investments

A number of large investors have recently bought and sold shares of the stock. SG Americas Securities LLC purchased a new position in shares of Two Harbors Investments in the 4th quarter worth about $1,621,000. Clayton Partners LLC purchased a new position in shares of Two Harbors Investments in the 3rd quarter worth about $1,234,000. Pekin Hardy Strauss Inc. purchased a new position in shares of Two Harbors Investments in the 3rd quarter worth about $5,325,000. Simplicity Wealth LLC purchased a new position in shares of Two Harbors Investments in the 3rd quarter worth about $954,000. Finally, Algebris UK Ltd. purchased a new position in shares of Two Harbors Investments in the 3rd 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.