Mortgage REIT Two Harbors Investment (NYSE:TWO) will be announcing earnings results this Monday afternoon. Here’s what investors should know.

Two Harbors Investment missed analysts’ revenue expectations by 111% last quarter, reporting revenues of -$12.28 million, down 111% year on year. It was a slower quarter for the company, with a significant miss of analysts’ revenue estimates and a significant miss of analysts’ EPS estimates.

Is Two Harbors Investment a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Two Harbors Investment’s revenue to grow 157% year on year to $117 million, a reversal from the 152% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.36 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Two Harbors Investment has missed Wall Street’s revenue estimates four times over the last two years.

Looking at Two Harbors Investment’s peers in the thrifts & mortgage finance segment, some have already reported their Q3 results, giving us a hint as to what we can expect. PennyMac Financial Services delivered year-on-year revenue growth of 10.6%, beating analysts’ expectations by 9.9%, and PennyMac Mortgage Investment Trust reported revenues up 22.7%, topping estimates by 2.1%. PennyMac Financial Services traded up 7.2% following the results while PennyMac Mortgage Investment Trust was also up 8.4%.

Read our full analysis of PennyMac Financial Services’s results here and PennyMac Mortgage Investment Trust’s results here.

The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. While some of the thrifts & mortgage finance stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 3.7% on average over the last month. Two Harbors Investment’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $11.08 (compared to the current share price of $9.90).

Today’s young investors likely haven’t read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.