Two Harbors Investment Corp. [NYSE:TWO]: Analyst Rating and Earnings
Experts stock market traders frequently make a point to check what top Wall Street analysts say regarding a potential buy. Regarding Two Harbors Investment Corp. [TWO] currently, the latest Wall Street ratings we can see is from the fiscal quarter that’s going to end in December. On average, stock market experts give TWO an Outperform rating. Its stock price has been found in the range of 12.63 to 16.27. This is compared to its latest closing price of $13.35.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Two Harbors Investment Corp. [TWO] is sitting at 2.22. This is compared to 1 month ago, when its average rating was 2.25.
For the quarter ending in Mar-19 Two Harbors Investment Corp. [TWO] generated $0.08 billion in sales. That’s 3.31% higher than the average estimate of $0.08 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Stay on the lookout for the next publication of this organization’s financial results for the quarter, which will be made public on Tue 6 Aug (In 81 Days).
Fundamental Analysis of Two Harbors Investment Corp. [TWO]
Now let’s turn to look at profitability: with a current Operating Margin for Two Harbors Investment Corp. [TWO] sitting at +13.13 and its Gross Margin at +87.09.
This company’s Return on Total Capital is 0.35, and its Return on Invested Capital has reached -0.20%. Its Return on Equity is -1.13, and its Return on Assets is -0.16. These metrics suggest that this Two Harbors Investment Corp. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Two Harbors Investment Corp. [TWO] has generated a Total Debt to Total Equity ratio of 578.03. Similarly, its Total Debt to Total Capital is 85.25, while its Total Debt to Total Assets stands at 81.61. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 19.34, and its Long-Term Debt to Total Capital is 2.20. This company has a healthy balance between its debt and its current holdings, suggesting it is a reliable investment due to its ability to leverage debt in an efficient way.
The Enterprise Value to Sales for this firm is now 30.47, and its Total Debt to Enterprise Value stands at 0.91. Two Harbors Investment Corp. [TWO] has a Price to Book Ratio of 0.97, a Price to Cash Flow Ratio of 3.76.
Similarly, this company’s Receivables Turnover is 1.20 and its Total Asset Turnover is 0.03.
Two Harbors Investment Corp. [TWO] has 270.60M shares outstanding, amounting to a total market cap of $3.61B. Its stock price has been found in the range of 12.63 to 16.27. At its current price, it has moved by -18.87% from its 52-week high, and it has moved 4.51% from its 52-week low.
This stock’s Beta value is currently 0.62, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 34.80. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Two Harbors Investment Corp. [TWO] a Reliable Buy?
Shares of Two Harbors Investment Corp. [TWO], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.