ARMOUR Residential REIT, Inc. (NYSE:ARR) Plans Monthly Dividend of $0.24

Key Points

• ARMOUR Residential REIT announced a monthly dividend of $0.24 per share, with an annualized yield of 20.4%, scheduled for payment on October 30th for investors of record as of October 15th.
• The company has a current payout ratio of 82.1%, but analysts anticipate it will decrease to 67.8% next year, indicating earnings are expected to cover future dividends adequately.
• ARMOUR Residential REIT reported a Q2 EPS of $0.77, missing expectations, with revenue of $84.19 million significantly exceeding the consensus estimate of $52.77 million.

ARMOUR Residential REIT, Inc. (NYSE:ARR - Get Free Report) announced a monthly dividend on Wednesday, September 24th. Investors of record on Wednesday, October 15th will be given a dividend of 0.24 per share by the real estate investment trust on Thursday, October 30th. This represents a c) dividend on an annualized basis and a yield of 20.4%. The ex-dividend date is Wednesday, October 15th.

ARMOUR Residential REIT has a payout ratio of 82.1% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings tumble. Equities research analysts expect ARMOUR Residential REIT to earn $4.25 per share next year, which means the company should continue to be able to cover its $2.88 annual dividend with an expected future payout ratio of 67.8%.

ARMOUR Residential REIT Price Performance

ARR stock opened at $14.13 on Thursday. The stock has a market capitalization of $1.29 billion, a price-to-earnings ratio of -58.85 and a beta of 1.39. The business has a fifty day moving average price of $15.54 and a 200 day moving average price of $16.16. ARMOUR Residential REIT has a fifty-two week low of $13.18 and a fifty-two week high of $20.59.

ARMOUR Residential REIT (NYSE:ARR - Get Free Report) last announced its earnings results on Wednesday, July 23rd. The real estate investment trust reported $0.77 EPS for the quarter, missing the consensus estimate of $0.81 by ($0.04). The business had revenue of $84.19 million for the quarter, compared to the consensus estimate of $52.77 million. ARMOUR Residential REIT had a positive return on equity of 15.89% and a negative net margin of 4.55%. On average, equities analysts expect that ARMOUR Residential REIT will post 3.8 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Fifth Third Bancorp raised its position in shares of ARMOUR Residential REIT by 184.3% during the 2nd quarter. Fifth Third Bancorp now owns 2,198 shares of the real estate investment trust's stock valued at $37,000 after acquiring an additional 1,425 shares during the last quarter. Allworth Financial LP increased its holdings in ARMOUR Residential REIT by 139.1% in the second quarter. Allworth Financial LP now owns 2,675 shares of the real estate investment trust's stock valued at $45,000 after purchasing an additional 1,556 shares during the last quarter. Raymond James Financial Inc. acquired a new position in ARMOUR Residential REIT in the second quarter valued at about $55,000. Russell Investments Group Ltd. lifted its stake in ARMOUR Residential REIT by 80.9% in the second quarter. Russell Investments Group Ltd. now owns 3,289 shares of the real estate investment trust's stock valued at $55,000 after buying an additional 1,471 shares during the period. Finally, Spire Wealth Management boosted its holdings in ARMOUR Residential REIT by 311.2% during the second quarter. Spire Wealth Management now owns 3,388 shares of the real estate investment trust's stock worth $57,000 after buying an additional 2,564 shares during the last quarter. 54.17% of the stock is currently owned by institutional investors and hedge funds.

ARMOUR Residential REIT Company Profile

ARMOUR Residential REIT, Inc invests in residential mortgage-backed securities (MBS) in the United States. Its securities portfolio primarily consists of the United States Government-sponsored entity's (GSE) and the Government National Mortgage Administration's issued or guaranteed securities backed by fixed rate, hybrid adjustable rate, and adjustable-rate home loans; and unsecured notes and bonds issued by the GSE and the United States treasuries, as well as money market instruments.

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