Two Harbors Investments (NYSE:TWO) CIO Nicholas Letica Sells 8,654 Shares

Key Points

• CIO Nicholas Letica of Two Harbors Investments Corp sold 8,654 shares for approximately $86,713.08, reducing his overall stake by 5.12%.
• The company reported a quarterly EPS of $0.28, meeting expectations, but reported negative revenue of -$18.12 million.
• Two Harbors recently announced a quarterly dividend of $0.39, resulting in a 15.6% dividend yield despite a negative payout ratio of -43.82%.

Two Harbors Investments Corp (NYSE:TWO - Get Free Report) CIO Nicholas Letica sold 8,654 shares of Two Harbors Investments stock in a transaction dated 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 owned 160,281 shares of the company's stock, valued at $1,606,015.62. This trade represents a 5.12% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website.

Two Harbors Investments Stock Up 2.7%

NYSE:TWO traded up $0.2550 during mid-day trading on Friday, reaching $9.8250. The stock had a trading volume of 3,675,229 shares, compared to its average volume of 2,113,813. The company has a market capitalization of $1.02 billion, a price-to-earnings ratio of -2.76 and a beta of 1.25. Two Harbors Investments Corp has a 1-year low of $9.49 and a 1-year high of $14.28. The stock's 50 day simple moving average is $10.25 and its two-hundred day simple moving average is $11.58. The company has a debt-to-equity ratio of 1.08, a current ratio of 1.07 and a quick ratio of 1.07.

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

Two Harbors Investments Cuts Dividend

The company also recently declared 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 yield of 13.8%. The ex-dividend date is Friday, October 3rd. Two Harbors Investments's dividend payout ratio (DPR) is -43.82%.

Analyst Upgrades and Downgrades

A number of research firms recently commented on TWO. Citizens Jmp reiterated a "market perform" rating on shares of Two Harbors Investments in a research note on Thursday, July 3rd. UBS Group cut their target price on shares of Two Harbors Investments from $13.00 to $12.00 and set a "buy" rating on the stock in a report on Thursday, July 10th. Maxim Group cut their target price on shares of Two Harbors Investments from $15.00 to $12.00 and set a "buy" rating on the stock in a report on Tuesday, July 29th. Keefe, Bruyette & Woods raised their target price on shares of Two Harbors Investments from $12.95 to $13.25 and gave the stock a "market perform" rating in a report on Wednesday, April 30th. Finally, Wall Street Zen cut shares of Two Harbors Investments from a "hold" rating to a "sell" rating in a report on Wednesday, April 30th. Three equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $12.57.

Institutional Investors Weigh In On Two Harbors Investments

A number of hedge funds have recently made changes to their positions in the business. Allspring Global Investments Holdings LLC raised its holdings in shares of Two Harbors Investments by 1.7% during the second quarter. Allspring Global Investments Holdings LLC now owns 5,240,983 shares of the real estate investment trust's stock valued at $57,074,000 after buying an additional 88,518 shares during the last quarter. Balyasny Asset Management L.P. raised its holdings in shares of Two Harbors Investments by 490.7% during the second quarter. Balyasny Asset Management L.P. now owns 3,583,939 shares of the real estate investment trust's stock valued at $38,599,000 after buying an additional 2,977,196 shares during the last quarter. Invesco Ltd. raised its holdings in shares of Two Harbors Investments by 44.5% during the second quarter. Invesco Ltd. now owns 2,649,977 shares of the real estate investment trust's stock valued at $28,540,000 after buying an additional 815,931 shares during the last quarter. Ameriprise Financial Inc. raised its holdings in shares of Two Harbors Investments by 13.6% during the fourth quarter. Ameriprise Financial Inc. now owns 1,371,702 shares of the real estate investment trust's stock valued at $16,227,000 after buying an additional 164,452 shares during the last quarter. Finally, Millennium Management LLC raised its holdings in shares of Two Harbors Investments by 10.6% during the first quarter. Millennium Management LLC now owns 1,206,549 shares of the real estate investment trust's stock valued at $16,119,000 after buying an additional 115,698 shares during the last quarter. Institutional investors own 64.19% of the company's stock.

Two Harbors Investments 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.