Two Harbors Investments (NYSE:TWO) Shares Gap Down – What’s Next?

Two Harbors Investments Corp (NYSE:TWO)’s share price gapped down before the market opened on Monday . The stock had previously closed at $10.58, but opened at $10.16. Two Harbors Investments shares last traded at $10.0420, with a volume of 700,650 shares trading hands.

Wall Street Analysts Forecast Growth

Several analysts recently commented on TWO shares. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Two Harbors Investments in a research note on Monday, December 29th. JPMorgan Chase & Co. increased their target price on shares of Two Harbors Investments from $9.50 to $10.00 and gave the stock a “neutral” rating in a research report on Monday, October 20th. Wall Street Zen upgraded shares of Two Harbors Investments from a “sell” rating to a “hold” rating in a research report on Saturday, November 1st. Zacks Research cut shares of Two Harbors Investments from a “strong-buy” rating to a “hold” rating in a research note on Monday, December 29th. Finally, Maxim Group cut shares of Two Harbors Investments from a “buy” rating to a “hold” rating in a research note on Thursday, December 18th. One analyst has rated the stock with a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $11.96.

Two Harbors Investments Stock Performance

The company’s 50-day moving average is $10.12 and its two-hundred day moving average is $10.09. The company has a quick ratio of 1.09, a current ratio of 1.09 and a debt-to-equity ratio of 1.13. The company has a market cap of $1.08 billion, a P/E ratio of -4.14 and a beta of 1.19.

Two Harbors Investments (NYSE:TWO) last released its earnings results on Monday, March 7th. The real estate investment trust reported $0.24 earnings per share for the quarter. Two Harbors Investments had a negative net margin of 44.10% and a positive return on equity of 11.92%. The firm had revenue of ($18.67) million during the quarter. Equities analysts predict that Two Harbors Investments Corp will post 0.81 EPS for the current year.

Two Harbors Investments Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, January 29th. Stockholders of record on Monday, January 5th will be paid a dividend of $0.34 per share. The ex-dividend date is Monday, January 5th. This represents a $1.36 annualized dividend and a dividend yield of 13.1%. Two Harbors Investments’s dividend payout ratio is presently -54.40%.

Insiders Place Their Bets

In other Two Harbors Investments news, insider Rebecca B. Sandberg sold 27,370 shares of the company’s stock in a transaction dated Friday, December 19th. The shares were sold at an average price of $11.43, for a total transaction of $312,839.10. Following the sale, the insider directly owned 156,718 shares of the company’s stock, valued at $1,791,286.74. This represents a 14.87% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO William Dellal sold 7,087 shares of the business’s stock in a transaction on Monday, December 22nd. The shares were sold at an average price of $11.44, for a total transaction of $81,075.28. Following the sale, the chief financial officer directly owned 36,703 shares in the company, valued at $419,882.32. The trade was a 16.18% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 124,307 shares of company stock worth $1,420,130 in the last ninety days. 0.70% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Two Harbors Investments

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Amundi raised its holdings in shares of Two Harbors Investments by 2.9% during the 1st quarter. Amundi now owns 766,733 shares of the real estate investment trust’s stock valued at $9,868,000 after buying an additional 21,531 shares in the last quarter. AQR Capital Management LLC purchased a new position in shares of Two Harbors Investments during the first quarter worth approximately $344,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Two Harbors Investments by 12.7% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 890,627 shares of the real estate investment trust’s stock worth $11,899,000 after acquiring an additional 100,311 shares during the last quarter. Millennium Management LLC boosted its stake in shares of Two Harbors Investments by 10.6% in the 1st quarter. Millennium Management LLC now owns 1,206,549 shares of the real estate investment trust’s stock valued at $16,119,000 after purchasing an additional 115,698 shares in the last quarter. Finally, Caxton Associates LLP bought a new position in shares of Two Harbors Investments during the 1st quarter valued at $1,627,000. 64.19% of the stock is currently owned by hedge funds and other institutional investors.

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.