Federal Agricultural Mortgage (NYSE:AGM) Shares Gap Down - Should You Sell?

Federal Agricultural Mortgage Corporation (NYSE:AGM - Get Free Report)'s share price gapped down before the market opened on Friday . The stock had previously closed at $196.47, but opened at $189.80. Federal Agricultural Mortgage shares last traded at $187.62, with a volume of 14,236 shares traded.

Analyst Upgrades and Downgrades

Separately, Keefe, Bruyette & Woods restated a "market perform" rating and set a $215.00 target price (down from $230.00) on shares of Federal Agricultural Mortgage in a research note on Monday, May 12th.

Federal Agricultural Mortgage Stock Performance

The stock's 50-day simple moving average is $189.93 and its 200 day simple moving average is $190.05. The company has a market capitalization of $1.99 billion, a PE ratio of 11.23, a P/E/G ratio of 1.46 and a beta of 0.99. The company has a debt-to-equity ratio of 1.74, a quick ratio of 0.53 and a current ratio of 0.53.

Federal Agricultural Mortgage (NYSE:AGM - Get Free Report) last posted its earnings results on Friday, May 9th. The credit services provider reported $4.19 EPS for the quarter, beating the consensus estimate of $4.00 by $0.19. Federal Agricultural Mortgage had a return on equity of 18.77% and a net margin of 12.65%. The firm had revenue of $96.79 million for the quarter, compared to analyst estimates of $94.33 million. As a group, research analysts expect that Federal Agricultural Mortgage Corporation will post 17.6 earnings per share for the current fiscal year.

Federal Agricultural Mortgage Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, June 30th. Stockholders of record on Monday, June 16th were given a dividend of $1.50 per share. This represents a $6.00 annualized dividend and a dividend yield of 3.30%. The ex-dividend date of this dividend was Monday, June 16th. Federal Agricultural Mortgage's dividend payout ratio (DPR) is presently 37.08%.

Insider Activity at Federal Agricultural Mortgage

In other news, Director Sara Louise Faivre-Davis sold 350 shares of the company's stock in a transaction on Thursday, May 15th. The shares were sold at an average price of $192.26, for a total value of $67,291.00. Following the completion of the transaction, the director owned 1,751 shares in the company, valued at approximately $336,647.26. This represents a 16.66% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Eric T. Mckissack sold 728 shares of Federal Agricultural Mortgage stock in a transaction on Monday, June 9th. The stock was sold at an average price of $192.37, for a total transaction of $140,045.36. Following the sale, the director owned 2,357 shares in the company, valued at $453,416.09. This represents a 23.60% decrease in their ownership of the stock. The disclosure for this sale can be found here. 2.21% of the stock is owned by insiders.

Hedge Funds Weigh In On Federal Agricultural Mortgage

Several large investors have recently bought and sold shares of the stock. Acadian Asset Management LLC purchased a new stake in shares of Federal Agricultural Mortgage in the 1st quarter valued at about $34,000. KBC Group NV acquired a new position in Federal Agricultural Mortgage during the first quarter worth approximately $35,000. Byrne Asset Management LLC lifted its stake in Federal Agricultural Mortgage by 116.1% in the first quarter. Byrne Asset Management LLC now owns 242 shares of the credit services provider's stock valued at $45,000 after buying an additional 130 shares during the last quarter. Versant Capital Management Inc acquired a new stake in shares of Federal Agricultural Mortgage in the first quarter valued at approximately $54,000. Finally, AlphaQuest LLC boosted its holdings in shares of Federal Agricultural Mortgage by 106.3% in the first quarter. AlphaQuest LLC now owns 751 shares of the credit services provider's stock valued at $141,000 after acquiring an additional 387 shares during the period. Institutional investors and hedge funds own 68.03% of the company's stock.

About Federal Agricultural Mortgage

Federal Agricultural Mortgage Corporation provides a secondary market for various loans made to borrowers in the United States. It operates through four segments: Corporate AgFinance, Farm & Ranch, Rural Utilities, and Renewable Energy. The company's Agricultural Finance line of business engages in purchasing and retaining eligible loans and securities; guaranteeing the payment of principal and interest on securities that represent interests in or obligations secured by pools of eligible loans; servicing eligible loans; and issuing LTSPCs for eligible loans.