Wolverine Asset Management LLC Trims Stake in Two Harbors Investments Corp (NYSE:TWO)

Key Points

• Wolverine Asset Management LLC sold 417,326 shares of Two Harbors Investments Corp, reducing its holdings by 60.1%, now owning approximately 277,071 shares valued at $3.7 million.
• A number of institutional investors, including JPMorgan Chase & Co., have increased their stakes in Two Harbors Investments, reflecting a growing interest in the company's stock.
• Price targets for Two Harbors Investments have been adjusted downward by several analysts, with the average price target now at $12.88 and a consensus rating of "Hold."

Wolverine Asset Management LLC reduced its holdings in shares of Two Harbors Investments Corp (NYSE:TWO - Free Report) by 60.1% during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 277,071 shares of the real estate investment trust's stock after selling 417,326 shares during the quarter. Wolverine Asset Management LLC owned 0.27% of Two Harbors Investments worth $3,702,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds and other institutional investors have also recently modified their holdings of the company. CWM LLC raised its stake in shares of Two Harbors Investments by 68.4% in the first 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. raised its stake in shares of Two Harbors Investments by 29.2% in the first quarter. Montag A & Associates Inc. now owns 5,285 shares of the real estate investment trust's stock worth $71,000 after buying an additional 1,193 shares during the period. Motiv8 Investments LLC raised its stake in shares of Two Harbors Investments by 10.9% in the first quarter. Motiv8 Investments LLC now owns 12,142 shares of the real estate investment trust's stock worth $162,000 after buying an additional 1,194 shares during the period. MetLife Investment Management LLC raised its stake in shares of Two Harbors Investments by 4.0% in the fourth quarter. MetLife Investment Management LLC now owns 62,030 shares of the real estate investment trust's stock worth $734,000 after buying an additional 2,384 shares during the period. Finally, Sterling Capital Management LLC grew its position in shares of Two Harbors Investments by 818.5% during the fourth quarter. Sterling Capital Management LLC now owns 3,325 shares of the real estate investment trust's stock worth $39,000 after purchasing an additional 2,963 shares in the last quarter. 64.19% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on TWO shares. Wall Street Zen cut Two Harbors Investments from a "hold" rating to a "sell" rating in a research report on Wednesday, April 30th. JPMorgan Chase & Co. cut their target price on Two Harbors Investments from $12.50 to $10.50 and set a "neutral" rating for the company in a research report on Wednesday, April 16th. Royal Bank Of Canada cut 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. Citizens Jmp reiterated a "market perform" rating on shares of Two Harbors Investments in a research report on Thursday, July 3rd. Finally, UBS Group cut their price target on Two Harbors Investments from $13.00 to $12.00 and set a "buy" rating for the company in a report on Thursday, July 10th. One equities research analyst has rated the stock with a sell rating, five have given a hold rating and four have assigned a buy rating to the company's stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $12.88.

Two Harbors Investments Stock Down 0.5%

NYSE:TWO traded down $0.05 during midday trading on Friday, reaching $9.87. The company had a trading volume of 1,639,323 shares, compared to its average volume of 2,251,769. The firm has a market capitalization of $1.03 billion, a price-to-earnings ratio of -2.77 and a beta of 1.25. The stock's fifty day simple moving average is $10.40 and its 200-day simple moving average is $11.74. Two Harbors Investments Corp has a 12-month low of $9.67 and a 12-month high of $14.28. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 1.08.

Two Harbors Investments (NYSE:TWO - Get Free Report) last announced its quarterly earnings results on Monday, July 28th. The real estate investment trust reported $0.28 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.28. Two Harbors Investments had a positive return on equity of 9.39% and a negative net margin of 67.06%. The company had revenue of ($18.12) million during the quarter, compared to the consensus estimate of ($23.29) million. On average, sell-side analysts anticipate that Two Harbors Investments Corp will post 0.81 earnings per share for the current fiscal year.

Two Harbors Investments Cuts Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, July 29th. Investors of record on Thursday, July 3rd were issued a dividend of $0.39 per share. The ex-dividend date of this dividend was Thursday, July 3rd. This represents a $1.56 annualized dividend and a dividend yield of 15.8%. Two Harbors Investments's dividend payout ratio (DPR) is currently -43.82%.

About Two Harbors Investments

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.