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Two Harbors InvestmentFRA:2H2 -0.10%31 EV-to-FCF is 19.03 as of Aug. 03, 2026, which is 101% above its 10-year median of 9.46. GuruFocus rates FRA:2H2 with a GF Score™ of 31/100. The stock has 5 warning signs investors should review. Among 731 REITs companies, Two Harbors Investment ranks better than 61.56% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Two Harbors Investment's Enterprise Value is €1,915.5 Mil.
Two Harbors Investment's Free Cash Flow for the trailing twelve months (TTM) ended in Jun. 2026 was €100.6 Mil. Therefore, Two Harbors Investment's EV-to-FCF for today is 19.03.
The historical rank and industry rank for Two Harbors Investment's EV-to-FCF or its related term are showing as below:
FRA:2H2'
s EV-to-FCF Range Over the Past 10 Years
Min: -540.76 Med: 9.46 Max: 289.27
Current: 19.47
During the past 13 years, the highest EV-to-FCF of Two Harbors Investment was 289.27. The lowest was -540.76. And the median was 9.46.
FRA:2H2's EV-to-FCF is ranked better than 61.56% of 731
companies
in the REITs industry
Industry Median: 23.17
vs FRA:2H2: 19.47
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Two Harbors Investment (FRA:2H2) EV-to-FCF Explanation
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Two Harbors Investment's PE Ratio (TTM) for today is calculated as:
Two Harbors Investment's share price for today is €10.47.
Two Harbors Investment's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €-0.621.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the REIT - Mortgage subindustry, Two Harbors Investment's EV-to-FCF, along with its competitors' market caps and EV-to-FCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Two Harbors Investment EV-to-FCF vs REITs Industry
For the REITs industry and Real Estate sector, Two Harbors Investment's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Two Harbors Investment's EV-to-FCF falls into.
Two Harbors Investment's current Enterprise Value is €1,915.5 Mil.
Two Harbors Investment's Free Cash Flow for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €100.6 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Two Harbors Investment (FRA:2H2) has a EV-to-FCF of 19.03 as of Aug. 03, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Two Harbors Investment and its competitors. This is 101% above median its historical median of 9.46. According to the industry distribution chart, Two Harbors Investment ranks #281 out of 731 companies in the REITs industry, placing it in the top 38.4%.
Is Two Harbors Investment's EV-to-FCF too high?
Two Harbors Investment's current EV-to-FCF of 19.03 is 101% above median its 10-year median of 9.46. The REITs industry median EV-to-FCF is 23.17. Two Harbors Investment's value of 19.03 is 17.9% below this industry median. Based on the distribution chart, Two Harbors Investment ranks #281 out of 731 companies in the REITs industry, which is above the industry midpoint. Overall, Two Harbors Investment has a GF Score™ of 31/100, reflecting its overall financial health beyond just this single metric.
How does Two Harbors Investment's EV-to-FCF compare to LADR and ORC?
According to the REITs industry distribution chart, Two Harbors Investment ranks #281 out of 731 companies for EV-to-FCF. This puts Two Harbors Investment in the upper half of its industry. The industry median EV-to-FCF is 23.17. Two Harbors Investment's value of 19.03 is 17.9% below this benchmark. While the company's 10-year median is 9.46 vs. the industry median of 23.17, Two Harbors Investment has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for a REITs company?
The median EV-to-FCF among REITs companies is 23.17, based on 731 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Two Harbors Investment's current EV-to-FCF of 19.03 is 17.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Two Harbors Investment and its competitors. For the REITs industry, the median EV-to-FCF is 23.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Two Harbors Investment's current EV-to-FCF is 19.03, which is 101% above median its own 10-year median of 9.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Two Harbors Investment stock overvalued right now?
Two Harbors Investment (FRA:2H2) has a current EV-to-FCF of 19.03. The current EV-to-FCF is 19.03, which is 101% above median its 10-year median of 9.46 and 17.9% below the REITs industry median of 23.17. Two Harbors Investment's overall GF Score™ is 31/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Two Harbors Investment (FRA:2H2), the current EV-to-FCF is 19.03 as of Aug. 03, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Two Harbors Investment Corp is a real estate investment trust focused on investing in, financing, and managing residential mortgage-backed securities, residential mortgage loans, mortgage servicing rights, and commercial real estate. The majority of its investment portfolio is split between agency RMBS purchased from government-sponsored enterprises and nonagency RMBS. The company derives revenues mainly from its MSR and Agency RMBS portfolio, including servicing fee income, float income, and interest income, as well as mortgage loan origination activities established to support the MSR portfolio. Its investment portfolio is subject to market risks, mainly interest rate, basis, and prepayment risk. The majority of income is generated by available-for-sale securities.
31GF Score
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