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

Two Harbors Investment Corp. (NYSE:TWO) announced a quarterly dividend on Thursday, September 19th, NASDAQ reports. Investors of record on Tuesday, October 1st will be paid a dividend of 0.45 per share by the real estate investment trust on Tuesday, October 29th. This represents a $1.80 annualized dividend and a yield of 12.91%. The ex-dividend date of this dividend is Tuesday, October 1st.

Two Harbors Investment has raised its dividend by an average of 1,259.4% per year over the last three years. Two Harbors Investment has a payout ratio of 104.0% meaning the company cannot currently cover its dividend with earnings alone and is relying on its balance sheet to cover its dividend payments. Analysts expect Two Harbors Investment to earn $0.82 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 219.5%.

Two Harbors Investment Price Performance

Shares of NYSE:TWO opened at $13.94 on Friday. The company has a 50-day moving average price of $13.73 and a two-hundred day moving average price of $13.12. Two Harbors Investment has a twelve month low of $9.83 and a twelve month high of $14.59. The company has a quick ratio of 1.08, a current ratio of 1.08 and a debt-to-equity ratio of 0.97. The firm has a market capitalization of $1.44 billion, a PE ratio of 7.83 and a beta of 1.86.

Two Harbors Investment (NYSE:TWO) last released its quarterly earnings data on Tuesday, July 30th. The real estate investment trust reported $0.17 EPS for the quarter, topping the consensus estimate of $0.02 by $0.15. Two Harbors Investment had a net margin of 27.71% and a return on equity of 3.64%. The company had revenue of $115.95 million during the quarter. During the same period last year, the business posted ($0.04) earnings per share. Equities analysts forecast that Two Harbors Investment will post 0.46 EPS for the current year.

Analyst Ratings Changes

Several brokerages have recently weighed in on TWO. Janney Montgomery Scott initiated coverage on Two Harbors Investment in a research report on Friday, August 16th. They issued a “buy” rating and a $15.00 price target for the company. JPMorgan Chase & Co. upped their price target on Two Harbors Investment from $12.50 to $13.00 and gave the company a “neutral” rating in a research report on Tuesday, July 16th. JMP Securities restated a “market outperform” rating and issued a $15.00 price objective on shares of Two Harbors Investment in a research report on Wednesday, August 28th. StockNews.com lowered shares of Two Harbors Investment from a “hold” rating to a “sell” rating in a report on Friday. Finally, UBS Group upgraded shares of Two Harbors Investment from a “neutral” rating to a “buy” rating and boosted their price target for the company from $13.50 to $14.50 in a research report on Friday, June 7th. One research analyst has rated the stock with a sell rating, three have assigned a hold rating and three have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $14.90.

About Two Harbors Investment

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.