Invesco Mortgage Capital (NYSE:IVR) Price Target Raised to $7.50

Key Points

• UBS Group raised its target price for INVESCO MORTGAGE CAPITAL (NYSE:IVR) from $7.25 to $7.50, retaining a "neutral" rating, indicating potential downside of 3.90% from the current price.
• INVESCO MORTGAGE CAPITAL reported $0.58 EPS for the last quarter, surpassing estimates, but its revenue fell short of expectations at $17.73 million.
• Institutional investors have significantly increased their holdings in INVESCO MORTGAGE CAPITAL, with several hedge funds raising their positions by over 50% in the latest quarter.

Invesco Mortgage Capital (NYSE:IVR - Free Report) had its price objective increased by UBS Group from $7.25 to $7.50 in a report issued on Wednesday morning, Marketbeat Ratings reports. They currently have a neutral rating on the real estate investment trust's stock.

IVR has been the subject of several other reports. Wall Street Zen downgraded shares of Invesco Mortgage Capital from a "hold" rating to a "sell" rating in a research note on Friday, May 9th. Zacks Research upgraded shares of Invesco Mortgage Capital to a "hold" rating in a research report on Monday, August 11th. Three equities research analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $7.50.

Invesco Mortgage Capital Price Performance

Shares of NYSE IVR traded down $0.04 on Wednesday, hitting $7.94. The company's stock had a trading volume of 922,792 shares, compared to its average volume of 1,660,174. The company has a market capitalization of $526.63 million, a price-to-earnings ratio of 19.84 and a beta of 1.76. The stock has a 50 day moving average of $7.69 and a 200-day moving average of $7.69. Invesco Mortgage Capital has a 12-month low of $5.86 and a 12-month high of $9.42.

Invesco Mortgage Capital (NYSE:IVR - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The real estate investment trust reported $0.58 EPS for the quarter, topping the consensus estimate of $0.56 by $0.02. Invesco Mortgage Capital had a net margin of 13.77% and a return on equity of 30.04%. The firm had revenue of $17.73 million during the quarter, compared to analyst estimates of $45.93 million. Sell-side analysts expect that Invesco Mortgage Capital will post 2.49 EPS for the current fiscal year.

Invesco Mortgage Capital Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, July 25th. Investors of record on Monday, July 7th were given a dividend of $0.34 per share. This represents a $1.36 dividend on an annualized basis and a yield of 17.1%. The ex-dividend date was Monday, July 7th. Invesco Mortgage Capital's dividend payout ratio is 340.00%.

Institutional Trading of Invesco Mortgage Capital

Several institutional investors have recently made changes to their positions in IVR. Rhumbline Advisers boosted its stake in Invesco Mortgage Capital by 2.7% during the first quarter. Rhumbline Advisers now owns 86,863 shares of the real estate investment trust's stock valued at $685,000 after buying an additional 2,260 shares during the last quarter. Deutsche Bank AG boosted its stake in Invesco Mortgage Capital by 76.2% during the fourth quarter. Deutsche Bank AG now owns 46,322 shares of the real estate investment trust's stock valued at $373,000 after buying an additional 20,038 shares during the last quarter. Wolverine Asset Management LLC bought a new position in Invesco Mortgage Capital during the first quarter valued at approximately $3,244,000. Bank of America Corp DE boosted its stake in Invesco Mortgage Capital by 32.3% during the fourth quarter. Bank of America Corp DE now owns 61,051 shares of the real estate investment trust's stock valued at $491,000 after buying an additional 14,897 shares during the last quarter. Finally, Cetera Investment Advisers lifted its stake in shares of Invesco Mortgage Capital by 19.6% in the 4th quarter. Cetera Investment Advisers now owns 127,088 shares of the real estate investment trust's stock valued at $1,023,000 after purchasing an additional 20,788 shares during the last quarter. Hedge funds and other institutional investors own 40.54% of the company's stock.

About Invesco Mortgage Capital

Invesco Mortgage Capital Inc operates as a real estate investment trust (REIT) that invests, finances, and manages mortgage-backed securities and other mortgage-related assets in the United States. It invests in residential mortgage-backed securities (RMBS) and commercial mortgage-backed securities (CMBS) that are guaranteed by a U.S.