TWO Announces Fourth Quarter 2024 Common and Preferred Stock Dividends

Rhea-AI Summary

Two Harbors Investment Corp (NYSE: TWO) has announced its dividend distributions for Q4 2024. The company declared a common stock dividend of $0.45 per share, payable on January 29, 2025, to stockholders of record as of January 3, 2025. Additionally, TWO announced preferred stock dividends: $0.50781 per share for Series A (8.125%), $0.47656 per share for Series B (7.625%), and $0.45313 per share for Series C (7.25%). These preferred dividends will be paid on January 27, 2025, to stockholders of record as of January 10, 2025.

Positive

• Consistent dividend distribution maintained across common and preferred shares
• Multiple dividend streams through diversified share classes

Negative

• None.

Insights

Financial Analyst

TWO Investment Corp's dividend announcement signals steady income generation for investors, with a $0.45 per share common dividend maintaining its attractive yield profile. The MSR-focused REIT's ability to sustain this dividend level suggests resilient portfolio performance amid challenging market conditions. The company's multi-tiered capital structure, including three preferred stock series with yields ranging from 7.25% to 8.125%, provides investors with various risk-return options.

The preferred dividend structure offers a defensive position for income-focused investors, with Series A providing the highest yield at 8.125%. This tiered approach to capital management demonstrates TWO's commitment to maintaining stable returns across different investor classes while managing its cost of capital effectively. The timing of the dividend payments, all within January 2025, suggests strong cash flow management and operational efficiency.

Market Research Analyst

The dividend declaration aligns with TWO's market positioning as a reliable income-generating vehicle in the REIT sector. The consistent preferred dividend payments reflect the company's stable financial foundation and commitment to its capital structure hierarchy.

For context, TWO's mortgage servicing rights (MSR) focus provides a natural hedge against interest rate volatility, which is particularly relevant in the current market environment. The maintenance of dividend levels across both common and preferred shares indicates management's confidence in the sustainability of their business model and cash flow generation capabilities. The $0.45 common dividend, coupled with the company's current market cap of $1.24 billion, positions TWO competitively within the mREIT sector for yield-seeking investors.

NEW YORK--(BUSINESS WIRE)-- TWO (Two Harbors Investment Corp, NYSE: TWO), an MSR-focused REIT, today declared a dividend of $0.45 per share of common stock for the fourth quarter of 2024. The fourth quarter dividend is payable on January 29, 2025 to common stockholders of record at the close of business on January 3, 2025. The common stock dividend is a function of several factors, including sustainability, earnings and return potential of the portfolio, taxable income, impact to book value and the market environment.

TWO also declared today the following preferred stock dividends:

• a dividend of $0.50781 per share of the 8.125% Series A Cumulative Redeemable Preferred Stock;
• a dividend of $0.47656 per share of the 7.625% Series B Cumulative Redeemable Preferred Stock; and
• a dividend of $0.45313 per share of the 7.25% Series C Cumulative Redeemable Preferred Stock.

The Series A, Series B and Series C preferred dividends are payable on January 27, 2025 to the applicable preferred stockholders of record at the close of business on January 10, 2025.

About TWO

TWO (Two Harbors Investment Corp., NYSE: TWO), a Maryland corporation, is a real estate investment trust that invests in mortgage servicing rights, residential mortgage-backed securities and other financial assets. TWO is headquartered in St. Louis Park, MN.

Additional Information

Stockholders of TWO and other interested persons may find additional information regarding the company at www.twoinv.com, at the Securities and Exchange Commission’s internet site at www.sec.gov or by directing requests to: TWO, 1601 Utica Avenue South, Suite 900, St. Louis Park, MN 55416, (612) 453-4100.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241218643293/en/

Margaret Karr, Head of Investor Relations, TWO, (612) 453-4080, Margaret.Karr@twoinv.com

Source: Two Harbors Investment Corp.

FAQ

What is Two Harbors' (TWO) Q4 2024 common stock dividend amount?

Two Harbors declared a common stock dividend of $0.45 per share for Q4 2024.

When is TWO's Q4 2024 common dividend payment date?

The Q4 2024 common dividend will be paid on January 29, 2025, to stockholders of record as of January 3, 2025.

What are TWO's preferred stock dividend rates for Q4 2024?

TWO's preferred stock dividends are $0.50781 per share for Series A (8.125%), $0.47656 for Series B (7.625%), and $0.45313 for Series C (7.25%).

When will TWO pay its Q4 2024 preferred stock dividends?

TWO will pay its preferred stock dividends on January 27, 2025, to stockholders of record as of January 10, 2025.