Two Harbors Investment Corp. (TWO)
NYSE:TWO
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TWO Stock Chart & Stats
$11.12
-$0.14(-1.22%)
At close: 4:00 PM EST
$11.12
-$0.14(-1.22%)
Day’s Range― - ―
52-Week Range$8.78 - $14.17
Previous CloseN/A
Volume290.06K
Average Volume (3M)2.10M
Market Cap
$1.30B
Enterprise Value$9.10B
Total Cash (Recent Filing)$476.40M
Total Debt (Recent Filing)$8.29B
Price to Earnings (P/E)―
Beta0.59
Next Earnings
Aug 05, 2026EPS Estimate
0.28Next Dividend Ex-DateN/A
Dividend Yield14.29%
Share Statistics
EPS (TTM)-3.82
Shares Outstanding105,046,330
10 Day Avg. Volume1,057,152
30 Day Avg. Volume2,104,428
Financial Highlights & Ratios
PEG Ratio<0.01
Price to Book (P/B)0.61
Price to Sales (P/S)1.81
P/FCF Ratio-72.58
Enterprise Value/Market Cap7.02
Enterprise Value/Revenue11.89
Enterprise Value/Gross Profit13.52
Enterprise Value/Ebitda70.46
Forecast
1Y Price Target
$11.17Price Target Upside0.42% Upside
Rating ConsensusHold
Number of Analyst Covering5
EPS Forecast (FY)0.99
Revenue Forecast (FY)$9.47M
Bulls Say, Bears Say
Bulls Say
Strong Liquidity And Debt ReductionA >$500M cash balance and the repayment of $261.9M of convertible notes materially reduce near-term refinancing risk and provide operational runway. This strengthens Two Harbors' ability to weather RMBS mark‑to‑market volatility, continue dividends through closing, and support merger execution without urgent capital markets access.
Durable MSR Economics And Origination TractionStrong MSR performance and continued UPB additions indicate resilient servicing cash flows and market demand. Higher MSR multiples, low delinquency, and stated static servicing returns (11–14%) provide a more stable, less convex earnings sleeve that can offset securities volatility and support medium‑term return generation for the equity base.
All-cash Merger Offers De-risked Shareholder OutcomeA committed, all‑cash acquisition materially de‑risks public shareholders by converting ongoing exposure to mortgage market cycles into a cash exit. The amendment raising consideration and lack of a financing condition reduce execution risk, while the stub dividend preserves near‑term income for holders pending closing.
Bears Say
Elevated Leverage And Funding SensitivityVery high leverage amplifies balance‑sheet sensitivity to spread moves and valuation marks. With economic debt/equity reported materially above typical peer levels, Two Harbors has limited cushion for adverse RMBS repricings, increasing the chance that market stress will force asset sales, costly refinancing, or further declines in book value over the medium term.
Weak Cash Generation And Negative Free Cash FlowNegative free cash flow and modest operating cash generation indicate reported earnings are not translating into sustainable cash, constraining the firm's ability to self‑fund dividends, opportunistic purchases, or loss absorption. Continued cash‑flow weakness heightens dependence on short‑term repo and external financing.
Securities Sleeve Volatility And Rising Hedging CostsThe hedged securities portfolio remains exposed to spread widening, coupon/prepayment shifts, and elevated volatility, which drive mark‑to‑market losses and rising hedging costs. That structural sensitivity can produce recurring earnings volatility and erode returns, limiting the durability of net interest income when markets are dislocated.
Two Harbors News
TWO FAQ
What was Two Harbors Investment Corp.’s price range in the past 12 months?
Two Harbors Investment Corp. lowest stock price was $8.78 and its highest was $14.17 in the past 12 months.
What is Two Harbors Investment Corp.’s market cap?
Two Harbors Investment Corp.’s market cap is $1.30B.
When is Two Harbors Investment Corp.’s upcoming earnings report date?
Two Harbors Investment Corp.’s upcoming earnings report date is Aug 05, 2026 which is in 49 days.
How were Two Harbors Investment Corp.’s earnings last quarter?
Two Harbors Investment Corp. released its earnings results on Apr 28, 2026. The company reported $0.34 earnings per share for the quarter, beating the consensus estimate of $0.26 by $0.08.
Is Two Harbors Investment Corp. overvalued?
According to Wall Street analysts Two Harbors Investment Corp.’s price is currently Undervalued.
Does Two Harbors Investment Corp. pay dividends?
Two Harbors Investment Corp. pays a Quarterly dividend of $0.34 which represents an annual dividend yield of 14.29%. See more information on Two Harbors Investment Corp. dividends here
What is Two Harbors Investment Corp.’s EPS estimate?
Two Harbors Investment Corp.’s EPS estimate is 0.28.
How many shares outstanding does Two Harbors Investment Corp. have?
Two Harbors Investment Corp. has 105,046,330 shares outstanding.
What happened to Two Harbors Investment Corp.’s price movement after its last earnings report?
Two Harbors Investment Corp. reported an EPS of $0.34 in its last earnings report, beating expectations of $0.26. Following the earnings report the stock price went up 4.995%.
Which hedge fund is a major shareholder of Two Harbors Investment Corp.?
Currently, no hedge funds are holding shares in TWO
What is the TipRanks Smart Score and how is it calculated?
Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology
Two Harbors Stock Smart Score
Neutral
1
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7
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10
Analyst Consensus
Hold
Average Price Target:
$11.17 (0.42% Upside)
$11.17 (0.42% Upside)
Blogger Sentiment
Neutral
TWO Sentiment 50%
Sector Average ―
Sector Average ―
Hedge Fund Trend
Increased
By 43.4K Shares
Last Quarter.
Last Quarter.
Crowd Wisdom
Very Negative
Last 7 Days ▼ 1.0%
Last 30 Days ▼ 2.3%
Last 30 Days ▼ 2.3%
News Sentiment
Neutral
Bullish news 59%
Bearish news 50%
Bearish news 50%
Technicals
SMA
Positive
20 days / 200 days
Momentum
29.52%
12-Months-Change
Fundamentals
Return on Equity
-19.11%
Trailing 12-Months
Asset Growth
-23.02%
Trailing 12-Months
Company Description
Two Harbors Investment Corp.
Two Harbors Investment Corp. (TWO) operates as a Real Estate Investment Trust (REIT) with a strategic focus on the U.S. mortgage market. The firm is actively involved in acquiring, funding, and overseeing a diverse portfolio of financial instruments, primarily residential mortgage-backed securities (RMBS). This portfolio encompasses both agency RMBS – which are often backed by fixed-rate, adjustable-rate, and hybrid adjustable-rate mortgage loans – as well as non-agency securities, mortgage servicing rights (MSRs), and other related financial assets. Being structured as a REIT grants the company specific federal income tax advantages, contingent on distributing a minimum of 90% of its annual taxable earnings to its shareholders. Established in 2009, Two Harbors Investment Corp. maintains its corporate headquarters in Minnetonka, Minnesota.
TWO Company Deck
TWO Earnings Call
Q1 2026
0:00 / 0:00
Earnings Call Sentiment|Positive
The call balanced meaningful near-term challenges—quarterly mark-to-market losses, a comprehensive loss of $24.7M and a decline in book value—with material strategic and operational positives: a definitive cash merger (increased to $11.30/share) providing shareholder certainty, strong MSR performance and market demand, solid liquidity and improved risk metrics. While RMBS market volatility and spread widening pressured the securities sleeve this quarter, the company highlighted durable MSR economics, an improving origination platform, and an attractive prospective return profile. On net, the strategic certainties and operational strengths (especially MSR and the merger) outweigh the quarterly performance headwinds.View all TWO earnings summariesTWO Stock 12 Month Forecast
Average Price Target
$11.17
▲(0.42% Upside)
Technical Analysis
Chimera Investment
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MFA Financial
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PennyMac Mortgage
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Orchid Island Capital
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Franklin BSP Realty Trust
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Ownership Overview
1.56% Insiders
18.55% Mutual Funds
14.55% Other Institutional Investors
35.92% Public Companies and
Individual Investors