Two Harbors Investment Corp. Announces Quarterly Dividend of $0.45 (NYSE:TWO)

Two Harbors Investment Corp. (NYSE:TWO) declared a quarterly dividend on Thursday, December 19th,Wall Street Journal reports. Shareholders of record on Friday, January 3rd will be given a dividend of 0.45 per share by the real estate investment trust on Wednesday, January 29th. This represents a $1.80 dividend on an annualized basis and a yield of 15.65%. The ex-dividend date is Friday, January 3rd.

Two Harbors Investment has increased its dividend payment by an average of 1,259.4% per year over the last three years. Two Harbors Investment has a payout ratio of 100.0% indicating that its dividend is currently covered by earnings, but may not be in the future if the company’s earnings decline. Equities analysts expect Two Harbors Investment to earn $0.85 per share next year, which means the company may not be able to cover its $1.80 annual dividend with an expected future payout ratio of 211.8%.

Two Harbors Investment Stock Down 0.1 %

Shares of NYSE TWO traded down $0.01 during mid-day trading on Thursday, reaching $11.50. 1,313,386 shares of the company’s stock were exchanged, compared to its average volume of 1,101,441. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 0.80. The business has a fifty day simple moving average of $12.04 and a 200 day simple moving average of $12.96. Two Harbors Investment has a twelve month low of $11.28 and a twelve month high of $14.54. The firm has a market capitalization of $1.19 billion, a price-to-earnings ratio of -2.39 and a beta of 1.85.

Two Harbors Investment (NYSE:TWO) last posted its quarterly earnings data 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). The firm had revenue of $112.64 million for the quarter. Two Harbors Investment had a positive return on equity of 4.45% and a negative net margin of 87.84%. During the same period in the prior year, the company earned ($0.01) earnings per share. As a group, equities analysts expect that Two Harbors Investment will post 0.47 EPS for the current fiscal year.

Analyst Ratings Changes

TWO has been the subject of several recent analyst reports. Compass Point cut their target price on shares of Two Harbors Investment from $15.75 to $14.75 and set a “buy” rating for the company in a research note on Monday, November 25th. Royal Bank of Canada cut their price objective on Two Harbors Investment from $14.00 to $12.00 and set a “sector perform” rating for the company in a research report on Friday, November 1st. StockNews.com raised Two Harbors Investment to a “sell” rating in a report on Thursday, December 12th. JMP Securities cut their price target on Two Harbors Investment from $15.00 to $14.50 and set a “market outperform” rating for the company in a report on Thursday, October 17th. Finally, JPMorgan Chase & Co. cut their target price 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 analyst has rated the stock with a sell rating, three have given a hold rating and four have given a buy rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $13.71.

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.