Goldman Sachs Group Inc. Has $5.09 Million Position in Two Harbors Investments Corp $TWO

Key Points

• Goldman Sachs Group Inc. has reduced its stake in Two Harbors Investments Corp by 20.3%, selling 97,353 shares, and now holds approximately 0.37% of the company, valued at about $5.1 million.
• Two Harbors Investments recently announced a quarterly dividend of $0.34, representing a 13.6% annual yield, but also disclosed a negative net margin of 67.06% in their latest earnings report.
• Analysts have lowered their price targets for Two Harbors Investments, with Maxim Group and Royal Bank Of Canada adjusting their objectives from $15 and $13 to $12, indicating a cautious outlook for the stock.

Goldman Sachs Group Inc. lowered its stake in Two Harbors Investments Corp (NYSE:TWO - Free Report) by 20.3% in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 381,128 shares of the real estate investment trust's stock after selling 97,353 shares during the quarter. Goldman Sachs Group Inc. owned about 0.37% of Two Harbors Investments worth $5,092,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently bought and sold shares of TWO. CWM LLC raised its holdings in Two Harbors Investments by 68.4% during the 1st quarter. CWM LLC now owns 2,192 shares of the real estate investment trust's stock worth $29,000 after buying an additional 890 shares during the period. Montag A & Associates Inc. grew its stake in shares of Two Harbors Investments by 29.2% in the 1st quarter. Montag A & Associates Inc. now owns 5,285 shares of the real estate investment trust's stock valued at $71,000 after buying an additional 1,193 shares in the last quarter. Smartleaf Asset Management LLC grew its stake in shares of Two Harbors Investments by 233.0% in the 1st quarter. Smartleaf Asset Management LLC now owns 6,506 shares of the real estate investment trust's stock valued at $86,000 after buying an additional 4,552 shares in the last quarter. Wolverine Trading LLC boosted its position in Two Harbors Investments by 866.3% during the fourth quarter. Wolverine Trading LLC now owns 10,533 shares of the real estate investment trust's stock worth $122,000 after purchasing an additional 9,443 shares during the period. Finally, Federated Hermes Inc. bought a new stake in Two Harbors Investments during the first quarter worth approximately $140,000. 64.19% of the stock is owned by institutional investors and hedge funds.

Two Harbors Investments Stock Performance

Shares of NYSE TWO traded down $0.02 during trading hours on Friday, reaching $9.92. The stock had a trading volume of 1,294,621 shares, compared to its average volume of 1,697,685. The business's fifty day moving average is $10.04 and its two-hundred day moving average is $11.13. The company has a debt-to-equity ratio of 1.08, a current ratio of 1.07 and a quick ratio of 1.07. The company has a market cap of $1.03 billion, a price-to-earnings ratio of -2.79 and a beta of 1.28. Two Harbors Investments Corp has a twelve month low of $9.49 and a twelve month high of $14.28.

Two Harbors Investments (NYSE:TWO - Get Free Report) last issued its earnings results on Monday, July 28th. The real estate investment trust reported $0.28 EPS for the quarter, meeting analysts' consensus estimates of $0.28. The business had revenue of ($18.12) million during the quarter, compared to analyst estimates of ($23.29) million. Two Harbors Investments had a positive return on equity of 9.39% and a negative net margin of 67.06%. As a group, research analysts expect that Two Harbors Investments Corp will post 0.81 EPS for the current year.

Two Harbors Investments Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 29th. Investors of record on Friday, October 3rd will be paid a $0.34 dividend. This represents a $1.36 dividend on an annualized basis and a dividend yield of 13.7%. The ex-dividend date is Friday, October 3rd. Two Harbors Investments's dividend payout ratio is presently -43.82%.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on the company. Royal Bank Of Canada decreased their target price on Two Harbors Investments from $13.00 to $12.00 and set a "sector perform" rating for the company in a research report on Wednesday, May 28th. UBS Group decreased their target price on Two Harbors Investments from $12.00 to $11.00 and set a "buy" rating for the company in a research report on Wednesday, September 3rd. Maxim Group decreased their target price on Two Harbors Investments from $15.00 to $12.00 and set a "buy" rating for the company in a research report on Tuesday, July 29th. JMP Securities reissued a "market perform" rating on shares of Two Harbors Investments in a research report on Thursday, July 3rd. Finally, Citizens Jmp reissued a "market perform" rating on shares of Two Harbors Investments in a research report on Thursday, July 3rd. Three research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $12.43.

Insider Activity at Two Harbors Investments

In related news, CIO Nicholas Letica sold 8,654 shares of the company's stock in a transaction on Monday, August 18th. The stock was sold at an average price of $10.02, for a total value of $86,713.08. Following the completion of the transaction, the executive directly owned 160,281 shares in the company, valued at approximately $1,606,015.62. This represents a 5.12% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 0.70% of the company's stock.

Two Harbors Investments 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.