AGNC Investment Corp. (NASDAQ:AGNC) Declares $0.12 Monthly Dividend

Key Points

• $0.12 monthly dividend declared, payable May 11 to holders of record on April 30, implying a 14.0% yield and $1.44 annualized.
• Dividend is currently covered but thin: AGNC's payout ratio is 88.3% and analysts expect $1.57 EPS next year, implying a projected payout ratio of about 91.7% if estimates hold.
• Insider selling was heavy last quarter (775,000 shares, ~$9.25M) even as large institutions like Norges Bank built new stakes (~$141.8M); institutional ownership is 38.28%.

AGNC Investment Corp. (NASDAQ:AGNC - Get Free Report) declared a monthly dividend on Wednesday, April 8th. Investors of record on Thursday, April 30th will be given a dividend of 0.12 per share by the real estate investment trust on Monday, May 11th. This represents a c) annualized dividend and a yield of 14.0%. The ex-dividend date of this dividend is Thursday, April 30th.

AGNC Investment has decreased its dividend payment by an average of 0.0%annually over the last three years. AGNC Investment has a payout ratio of 88.3% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings fall. Analysts expect AGNC Investment to earn $1.57 per share next year, which means the company should continue to be able to cover its $1.44 annual dividend with an expected future payout ratio of 91.7%.

AGNC Investment Trading Up 2.3%

AGNC stock opened at $10.32 on Thursday. The company has a market capitalization of $11.59 billion, a PE ratio of 7.37 and a beta of 1.38. AGNC Investment has a 12 month low of $7.85 and a 12 month high of $12.19. The firm's 50-day moving average is $10.78 and its 200 day moving average is $10.61. The company has a debt-to-equity ratio of 0.01, a current ratio of 0.21 and a quick ratio of 0.21.

AGNC Investment (NASDAQ:AGNC - Get Free Report) last posted its quarterly earnings results on Monday, January 26th. The real estate investment trust reported $0.35 EPS for the quarter, missing the consensus estimate of $0.37 by ($0.02). The company had revenue of $1.12 billion during the quarter, compared to analysts' expectations of $354.75 million. AGNC Investment had a return on equity of 18.32% and a net margin of 47.40%. On average, research analysts anticipate that AGNC Investment will post 1.61 EPS for the current year.

Insider Buying and Selling at AGNC Investment

In other AGNC Investment news, EVP Bernice Bell sold 25,000 shares of the firm's stock in a transaction dated Wednesday, January 28th. The shares were sold at an average price of $12.14, for a total transaction of $303,500.00. Following the transaction, the executive vice president owned 491,728 shares of the company's stock, valued at approximately $5,969,577.92. This trade represents a 4.84% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Kenneth L. Pollack sold 50,000 shares of the firm's stock in a transaction dated Wednesday, January 28th. The shares were sold at an average price of $12.11, for a total transaction of $605,500.00. Following the transaction, the executive vice president directly owned 552,297 shares in the company, valued at $6,688,316.67. This trade represents a 8.30% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 775,000 shares of company stock valued at $9,246,000. Company insiders own 0.40% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of AGNC. Norges Bank purchased a new position in shares of AGNC Investment in the 4th quarter worth approximately $141,830,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC acquired a new stake in AGNC Investment in the 4th quarter worth approximately $33,210,000. SG Americas Securities LLC boosted its stake in AGNC Investment by 19,632.0% in the 4th quarter. SG Americas Securities LLC now owns 3,108,188 shares of the real estate investment trust's stock worth $33,320,000 after purchasing an additional 3,092,436 shares in the last quarter. State Street Corp boosted its stake in AGNC Investment by 12.9% in the 2nd quarter. State Street Corp now owns 16,693,449 shares of the real estate investment trust's stock worth $155,383,000 after purchasing an additional 1,906,785 shares in the last quarter. Finally, Geode Capital Management LLC boosted its stake in AGNC Investment by 5.8% in the 4th quarter. Geode Capital Management LLC now owns 29,097,741 shares of the real estate investment trust's stock worth $312,275,000 after purchasing an additional 1,596,244 shares in the last quarter. Hedge funds and other institutional investors own 38.28% of the company's stock.

About AGNC Investment

AGNC Investment Corp. is a self-managed real estate investment trust (REIT) that primarily acquires and manages a portfolio of residential mortgage-backed securities guaranteed by U.S. government-sponsored enterprises such as Ginnie Mae, Fannie Mae and Freddie Mac. The company employs a leveraged total return strategy, borrowing against its securities to enhance income potential while using interest rate hedges to manage risk. AGNC's investment objective is to generate attractive monthly dividends and long-term capital appreciation for its shareholders.

Founded in 2008 and headquartered in Bethesda, Maryland, AGNC focuses exclusively on U.S.

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