Two Harbors Investments (NYSE:TWO) Stock Price Passes Above 200 Day Moving Average – Time to Sell?

Two Harbors Investments Corp (NYSE:TWO)’s share price passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $10.46 and traded as high as $11.79. Two Harbors Investments shares last traded at $11.3680, with a volume of 2,988,335 shares traded.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on the stock. Maxim Group cut shares of Two Harbors Investments from a “buy” rating to a “hold” rating in a research report on Thursday, December 18th. Zacks Research downgraded Two Harbors Investments from a “hold” rating to a “strong sell” rating in a research report on Tuesday, January 27th. Weiss Ratings reissued a “sell (d)” rating on shares of Two Harbors Investments in a research report on Monday, December 29th. JPMorgan Chase & Co. dropped their target price on Two Harbors Investments from $13.50 to $12.50 and set a “neutral” rating on the stock in a research note on Wednesday, February 4th. Finally, Wall Street Zen upgraded Two Harbors Investments from a “sell” rating to a “hold” rating in a research note on Saturday, November 1st. Seven equities research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat, Two Harbors Investments presently has an average rating of “Reduce” and an average target price of $12.88.

Two Harbors Investments Stock Up 4.2%

The firm has a market capitalization of $1.18 billion, a price-to-earnings ratio of -2.32 and a beta of 1.19. The company has a debt-to-equity ratio of 1.09, a current ratio of 1.09 and a quick ratio of 1.09. The business has a fifty day moving average price of $11.57 and a two-hundred day moving average price of $10.46.

Two Harbors Investments (NYSE:TWO) last issued its earnings results on Monday, February 2nd. The real estate investment trust reported $0.26 EPS for the quarter, missing analysts’ consensus estimates of $0.30 by ($0.04). Two Harbors Investments had a negative net margin of 109.90% and a positive return on equity of 12.00%. The firm had revenue of $182.18 million during the quarter, compared to analysts’ expectations of ($15.44) million. On average, equities analysts expect that Two Harbors Investments Corp will post 0.81 earnings per share for the current year.

Two Harbors Investments Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, January 29th. Investors of record on Monday, January 5th were issued a dividend of $0.34 per share. This represents a $1.36 annualized dividend and a dividend yield of 12.0%. The ex-dividend date of this dividend was Monday, January 5th. Two Harbors Investments’s dividend payout ratio (DPR) is -27.81%.

Insider Buying and Selling

In other news, insider Rebecca B. Sandberg sold 27,370 shares of the business’s stock in a transaction dated Friday, December 19th. The stock was sold at an average price of $11.43, for a total value of $312,839.10. Following the completion of the transaction, the insider owned 156,718 shares of the company’s stock, valued at $1,791,286.74. The trade was a 14.87% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CFO William Dellal sold 7,087 shares of the company’s stock in a transaction dated Monday, December 22nd. The stock was sold at an average price of $11.44, for a total value of $81,075.28. Following the completion of the sale, the chief financial officer owned 36,703 shares in the company, valued at $419,882.32. The trade was a 16.18% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 129,389 shares of company stock valued at $1,483,046 in the last 90 days. 0.70% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of TWO. Mowery & Schoenfeld Wealth Management LLC purchased a new stake in Two Harbors Investments in the 3rd quarter worth approximately $25,000. Quarry LP grew its position in Two Harbors Investments by 695.6% during the third quarter. Quarry LP now owns 3,421 shares of the real estate investment trust’s stock valued at $34,000 after buying an additional 2,991 shares during the period. AlphaQuest LLC grew its position in Two Harbors Investments by 240.4% during the second quarter. AlphaQuest LLC now owns 3,370 shares of the real estate investment trust’s stock valued at $36,000 after buying an additional 2,380 shares during the period. Smartleaf Asset Management LLC increased its holdings in Two Harbors Investments by 34.5% in the fourth quarter. Smartleaf Asset Management LLC now owns 3,825 shares of the real estate investment trust’s stock valued at $40,000 after buying an additional 981 shares in the last quarter. Finally, Advisory Services Network LLC purchased a new stake in shares of Two Harbors Investments during the 3rd quarter worth about $42,000. 64.19% of the stock is owned by institutional investors and hedge funds.

About Two Harbors Investments

Two Harbors Investments Corp. is a mortgage real estate investment trust (mREIT) that primarily invests in residential mortgage-backed securities (RMBS) issued or guaranteed by government-sponsored enterprises, as well as non-agency residential mortgage loans, mortgage servicing rights and credit risk transfer securities. The company seeks to generate attractive risk-adjusted returns for its shareholders by employing leverage to enhance net interest income derived from its portfolio of high-quality fixed-income assets.

Headquartered in Minneapolis, Minnesota, Two Harbors operates through a self-managed platform that combines portfolio management, risk-management and securitization expertise.