AGNC Investment (NASDAQ:AGNC) Stock Price Up 3.2% - Should You Buy?

Key Points

• AGNC shares rose 3.2% to $10.90 on Friday with about 20.7M shares traded; Wall Street consensus is a Hold with a $11.03 average price target amid recent downgrades and mixed analyst action.
• The company declared a monthly dividend of $0.12 (ex-dividend April 30), reflecting a 13.2% yield
• AGNC slightly missed quarterly EPS ($0.35 vs. $0.37 expected) despite strong revenue, and insiders sold 775,000 shares (~$9.25M) over the past three months, leaving insiders owning just 0.40% of the stock.

AGNC Investment Corp. (NASDAQ:AGNC - Get Free Report) shares rose 3.2% during mid-day trading on Friday . The stock traded as high as $10.92 and last traded at $10.90. Approximately 20,731,607 shares changed hands during mid-day trading, a decline of 2% from the average daily volume of 21,188,492 shares. The stock had previously closed at $10.56.

Wall Street Analyst Weigh In

AGNC has been the topic of several recent research reports. JonesTrading cut shares of AGNC Investment from a "buy" rating to a "hold" rating in a research note on Thursday, January 22nd. BTIG Research cut shares of AGNC Investment from a "buy" rating to a "neutral" rating in a research note on Tuesday, January 6th. Wall Street Zen downgraded shares of AGNC Investment from a "hold" rating to a "sell" rating in a research report on Saturday, December 27th. JPMorgan Chase & Co. dropped their target price on shares of AGNC Investment from $12.00 to $11.00 and set an "overweight" rating on the stock in a research report on Thursday. Finally, Barclays lifted their target price on shares of AGNC Investment from $9.00 to $10.00 and gave the stock an "equal weight" rating in a research report on Tuesday, January 6th. Four investment analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $11.03.

AGNC Investment Stock Performance

The firm's 50-day moving average price is $10.67 and its two-hundred day moving average price is $10.64. The firm has a market capitalization of $12.24 billion, a PE ratio of 7.79 and a beta of 1.38. The company has a quick ratio of 0.21, a current ratio of 0.21 and a debt-to-equity ratio of 0.01.

AGNC Investment (NASDAQ:AGNC - Get Free Report) last released its earnings results on Monday, January 26th. The real estate investment trust reported $0.35 earnings per share for the quarter, missing the consensus estimate of $0.37 by ($0.02). The firm 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%. As a group, research analysts predict that AGNC Investment Corp. will post 1.61 earnings per share for the current fiscal year.

AGNC Investment Announces Dividend

The business also recently declared a monthly dividend, which will be paid on Monday, May 11th. Investors of record on Thursday, April 30th will be issued a dividend of $0.12 per share. This represents a c) annualized dividend and a dividend yield of 13.2%. The ex-dividend date is Thursday, April 30th. AGNC Investment's dividend payout ratio (DPR) is currently 102.86%.

Insider Buying and Selling

In related news, EVP Kenneth L. Pollack sold 50,000 shares of the firm's stock in a transaction that occurred on Wednesday, January 28th. The shares were sold at an average price of $12.11, for a total transaction of $605,500.00. Following the completion of the sale, the executive vice president directly owned 552,297 shares in the company, valued at approximately $6,688,316.67. This trade represents a 8.30% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, EVP Bernice Bell sold 25,000 shares of the firm's stock in a transaction that occurred on Wednesday, January 28th. The stock was sold at an average price of $12.14, for a total transaction of $303,500.00. Following the sale, the executive vice president owned 491,728 shares of the company's stock, valued at approximately $5,969,577.92. This represents a 4.84% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 775,000 shares of company stock worth $9,246,000. 0.40% of the stock is owned by company insiders.

Institutional Trading of AGNC Investment

Several institutional investors have recently made changes to their positions in the stock. Wealthspire Advisors LLC boosted its holdings in shares of AGNC Investment by 0.9% during the fourth quarter. Wealthspire Advisors LLC now owns 104,287 shares of the real estate investment trust's stock worth $1,118,000 after purchasing an additional 907 shares during the period. Choreo LLC boosted its holdings in shares of AGNC Investment by 5.0% during the third quarter. Choreo LLC now owns 20,784 shares of the real estate investment trust's stock worth $206,000 after purchasing an additional 985 shares during the period. Lido Advisors LLC boosted its holdings in shares of AGNC Investment by 10.4% during the fourth quarter. Lido Advisors LLC now owns 11,152 shares of the real estate investment trust's stock worth $112,000 after purchasing an additional 1,046 shares during the period. Sound Income Strategies LLC boosted its holdings in shares of AGNC Investment by 61.1% during the fourth quarter. Sound Income Strategies LLC now owns 2,762 shares of the real estate investment trust's stock worth $30,000 after purchasing an additional 1,048 shares during the period. Finally, Motiv8 Investments LLC boosted its holdings in shares of AGNC Investment by 6.0% during the fourth quarter. Motiv8 Investments LLC now owns 18,621 shares of the real estate investment trust's stock worth $200,000 after purchasing an additional 1,049 shares during the period. 38.28% of the stock is currently owned by institutional investors and hedge funds.

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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