Two Harbors Investment (NYSE:TWO) Sets New 52-Week Low - Here's Why

Two Harbors Investment Corp. (NYSE:TWO - Get Free Report) shares reached a new 52-week low during trading on Tuesday . The stock traded as low as $10.84 and last traded at $11.12, with a volume of 1107174 shares traded. The stock had previously closed at $11.10.

Analysts Set New Price Targets

Several equities research analysts recently issued reports on the company. Compass Point cut their price objective on Two Harbors Investment from $15.75 to $14.75 and set a "buy" rating on the stock in a report on Monday, November 25th. 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 note on Friday, November 1st. JMP Securities cut their price target on Two Harbors Investment from $15.00 to $14.50 and set a "market outperform" rating on the stock in a report on Thursday, October 17th. StockNews.com upgraded Two Harbors Investment to a "sell" rating in a research note on Thursday, December 12th. Finally, JPMorgan Chase & Co. decreased their price target on shares of Two Harbors Investment from $13.50 to $11.50 and set a "neutral" rating for the company in a research note on Wednesday, October 30th. One research analyst has rated the stock with a sell rating, three have issued a hold rating and four have issued a buy rating to the stock. According to MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $13.71.

Two Harbors Investment Trading Up 2.3 %

The business's fifty day simple moving average is $11.69 and its two-hundred day simple moving average is $12.78. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.80. The company has a market cap of $1.18 billion, a price-to-earnings ratio of -2.35 and a beta of 1.83.

Two Harbors Investment (NYSE:TWO - Get Free Report) last posted its earnings results on Monday, October 28th. The real estate investment trust reported $0.13 earnings per share for the quarter, missing the consensus estimate of $0.35 by ($0.22). Two Harbors Investment had a negative net margin of 87.84% and a positive return on equity of 4.45%. The firm had revenue of $112.64 million during the quarter. During the same period in the prior year, the firm earned ($0.01) earnings per share. On average, equities analysts predict that Two Harbors Investment Corp. will post 0.47 EPS for the current year.

Two Harbors Investment Dividend Announcement

The firm also recently announced 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 of this dividend is Friday, January 3rd. This represents a $1.80 dividend on an annualized basis and a dividend yield of 15.87%. Two Harbors Investment's payout ratio is -37.34%.

Insider Buying and Selling

In other news, CIO Nicholas Letica sold 3,956 shares of the company'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 sale, the executive now owns 180,712 shares in the company, valued at $2,025,781.52. This represents a 2.14 % 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, insider Rebecca B. Sandberg sold 3,785 shares of Two Harbors Investment 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 transaction, the insider now owns 152,378 shares in the company, valued at approximately $1,697,490.92. This trade represents a 2.42 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 19,973 shares of company stock worth $223,149 in the last 90 days. Company insiders own 0.61% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the business. Northwestern Mutual Wealth Management Co. increased its holdings in shares of 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. McIlrath & Eck LLC acquired a new stake in shares of Two Harbors Investment during the 3rd quarter valued at approximately $64,000. Simplify Asset Management Inc. acquired a new stake in shares of Two Harbors Investment during the 3rd quarter valued at approximately $134,000. AQR Capital Management LLC acquired a new stake in shares of Two Harbors Investment in the 2nd quarter worth approximately $147,000. Finally, QRG Capital Management Inc. increased its position in shares of 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 buying an additional 1,230 shares in the last quarter. Hedge funds and other institutional investors 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.