AGNC Investment (NASDAQ:AGNC) Trading 2% Higher - Here's What Happened

Key Points

• AGNC traded up about 2% mid-day to ~$10.14 (intraday high $10.18) on lighter volume (18.8M shares, down 17% vs. the average); market cap is roughly $11.4B with a P/E near 7.2.
• The company declared a monthly $0.12 dividend (ex-dividend March 31, paid April 10), implying a ~14.2% yield and a payout ratio around 102.9%, suggesting high income but potential sustainability concerns.
• Analyst views are mixed—multiple downgrades have left a consensus "Hold" with a $11.03 price target, although RBC raised its target to $13 and rated it "outperform"—meanwhile insiders sold about 775,000 shares (~$9.25M) in the past 90 days.

AGNC Investment Corp. (NASDAQ:AGNC - Get Free Report) shot up 2% during mid-day trading on Wednesday . The stock traded as high as $10.18 and last traded at $10.14. 18,835,246 shares were traded during trading, a decline of 17% from the average session volume of 22,601,199 shares. The stock had previously closed at $9.94.

Analyst Ratings Changes

Several brokerages have commented on AGNC. BTIG Research lowered shares of AGNC Investment from a "buy" rating to a "neutral" rating in a report on Tuesday, January 6th. Wall Street Zen lowered AGNC Investment from a "hold" rating to a "sell" rating in a research report on Saturday, December 27th. Weiss Ratings restated a "hold (c)" rating on shares of AGNC Investment in a research note on Monday, December 29th. JonesTrading lowered AGNC Investment from a "buy" rating to a "hold" rating in a research report on Thursday, January 22nd. Finally, Royal Bank Of Canada upped their price target on AGNC Investment from $11.00 to $13.00 and gave the stock an "outperform" rating in a research note on Thursday, January 29th. Four investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $11.03.

AGNC Investment Stock Performance

The company has a debt-to-equity ratio of 0.01, a quick ratio of 0.21 and a current ratio of 0.21. The stock has a market capitalization of $11.39 billion, a P/E ratio of 7.24 and a beta of 1.37. The business has a 50-day moving average price of $11.17 and a 200 day moving average price of $10.63.

AGNC Investment (NASDAQ:AGNC - Get Free Report) last announced its quarterly earnings data on Monday, January 26th. The real estate investment trust reported $0.35 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.37 by ($0.02). AGNC Investment had a net margin of 47.40% and a return on equity of 18.32%. The company had revenue of $1.12 billion for the quarter, compared to analysts' expectations of $354.75 million. As a group, sell-side analysts forecast that AGNC Investment Corp. will post 1.61 EPS for the current fiscal year.

AGNC Investment Announces Dividend

The company also recently declared a monthly dividend, which will be paid on Friday, April 10th. Investors of record on Tuesday, March 31st will be paid a $0.12 dividend. The ex-dividend date is Tuesday, March 31st. This represents a c) dividend on an annualized basis and a yield of 14.2%. AGNC Investment's payout ratio is presently 102.86%.

Insider Activity at AGNC Investment

In related news, Director Gary D. Kain sold 700,000 shares of the stock in a transaction dated Thursday, January 29th. The shares were sold at an average price of $11.91, for a total transaction of $8,337,000.00. Following the sale, the director directly owned 2,189,091 shares of the company's stock, valued at approximately $26,072,073.81. This represents a 24.23% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, 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 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. In the last ninety days, insiders have sold 775,000 shares of company stock valued at $9,246,000. 0.40% of the stock is owned by insiders.

Hedge Funds Weigh In On AGNC Investment

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. GoalVest Advisory LLC bought a new position in AGNC Investment during the 4th quarter valued at about $26,000. Atlantic Union Bankshares Corp purchased a new position in shares of AGNC Investment during the third quarter valued at approximately $29,000. Sound Income Strategies LLC lifted its position in 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 valued at $30,000 after purchasing an additional 1,048 shares during the period. Flagship Harbor Advisors LLC bought a new position in AGNC Investment during the fourth quarter valued at approximately $33,000. Finally, National Bank of Canada FI boosted its holdings in AGNC Investment by 100.9% in the third quarter. National Bank of Canada FI now owns 3,365 shares of the real estate investment trust's stock worth $33,000 after purchasing an additional 1,690 shares during the last quarter. 38.28% of the stock is owned by institutional investors.

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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