AGNC Investment (NASDAQ:AGNC) Announces Earnings Results

Key Points

• AGNC Investment reported quarterly earnings of $0.35 per share, missing analysts' expectations of $0.38, with a revenue of $903 million, significantly higher than the anticipated $466.39 million.
• The company announced a dividend of $0.12 per share, which will yield an impressive 1,417.0% and is scheduled to be paid on November 12th.
• A number of analysts have increased their price targets for AGNC Investment, with an average target of $9.96 and a consensus rating of "Moderate Buy".

AGNC Investment (NASDAQ:AGNC - Get Free Report) issued its quarterly earnings results on Monday. The real estate investment trust reported $0.35 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.38 by ($0.03), Zacks reports. AGNC Investment had a net margin of 11.50% and a return on equity of 19.32%. The company had revenue of $903.00 million for the quarter, compared to analyst estimates of $466.39 million. During the same quarter in the previous year, the company posted $0.43 EPS.

AGNC Investment Price Performance

Shares of NASDAQ AGNC opened at $10.10 on Tuesday. The firm has a 50-day simple moving average of $9.92 and a 200-day simple moving average of $9.38. The stock has a market capitalization of $10.52 billion, a price-to-earnings ratio of 29.71 and a beta of 1.32. The company has a quick ratio of 0.33, a current ratio of 0.33 and a debt-to-equity ratio of 0.01. AGNC Investment has a 52 week low of $7.85 and a 52 week high of $10.63.

AGNC Investment Announces Dividend

The firm also recently announced a oct 25 dividend, which will be paid on Wednesday, November 12th. Stockholders of record on Friday, October 31st will be given a $0.12 dividend. This represents a dividend yield of 1,417.0%. The ex-dividend date is Friday, October 31st. AGNC Investment's dividend payout ratio is 423.53%.

Analyst Ratings Changes

A number of research analysts have issued reports on the stock. Piper Sandler upped their price target on shares of AGNC Investment from $10.00 to $10.50 and gave the company an "overweight" rating in a research note on Wednesday, October 8th. UBS Group upped their price target on shares of AGNC Investment from $9.50 to $9.75 and gave the company a "neutral" rating in a research note on Wednesday, September 3rd. Keefe, Bruyette & Woods upped their price target on shares of AGNC Investment from $9.50 to $10.00 and gave the company an "outperform" rating in a research note on Thursday, July 10th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of AGNC Investment in a report on Wednesday, October 8th. Finally, JPMorgan Chase & Co. increased their price target on shares of AGNC Investment from $9.50 to $10.00 and gave the stock an "overweight" rating in a report on Monday. Six analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, AGNC Investment presently has a consensus rating of "Moderate Buy" and an average target price of $9.96.

Insider Activity

In other AGNC Investment news, Director John D. Fisk sold 20,278 shares of the stock in a transaction dated Monday, July 28th. The shares were sold at an average price of $9.65, for a total transaction of $195,682.70. Following the completion of the transaction, the director owned 112,685 shares of the company's stock, valued at $1,087,410.25. This trade represents a 15.25% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Paul E. Mullings sold 11,000 shares of the firm's stock in a transaction that occurred on Friday, July 25th. The shares were sold at an average price of $9.61, for a total transaction of $105,710.00. Following the completion of the transaction, the director directly owned 128,511 shares of the company's stock, valued at approximately $1,234,990.71. The trade was a 7.88% decrease in their position. The disclosure for this sale can be found here. Company insiders own 0.42% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. WFA of San Diego LLC purchased a new position in shares of AGNC Investment in the second quarter valued at approximately $37,000. StoneX Group Inc. acquired a new stake in AGNC Investment in the second quarter valued at approximately $118,000. Hilton Capital Management LLC acquired a new stake in AGNC Investment in the second quarter valued at approximately $119,000. Headlands Technologies LLC acquired a new stake in AGNC Investment in the second quarter valued at approximately $121,000. Finally, EverSource Wealth Advisors LLC raised its holdings in AGNC Investment by 15.6% in the second quarter. EverSource Wealth Advisors LLC now owns 14,278 shares of the real estate investment trust's stock valued at $131,000 after acquiring an additional 1,924 shares in the last quarter. Hedge funds and other institutional investors own 38.28% of the company's stock.

AGNC Investment Company Profile

AGNC Investment Corp., formerly American Capital Agency Corp., is a real estate investment trust. The Company invests in agency residential mortgage-backed securities on a leveraged basis. Its investments consist of residential mortgage pass-through securities and collateralized mortgage obligations (CMOs) for which the principal and interest payments are guaranteed by a government-sponsored enterprise, such as the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac), or by the United States Government agency, such as the Government National Mortgage Association (Ginnie Mae) (collectively, GSEs).

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