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American Capital Agency (AGNC) falls 4.2% premarket as the stock goes ex-dividend today. The...

American Capital Agency (AGNC) falls 4.2% premarket as the stock goes ex-dividend today. The $1.54 decline thus far is quite a bit bigger than the $1.25 dividend. Secondary offering on the way?
Comments (33)
  • captclap
    , contributor
    Comments (3) | Send Message
     
    just overraction? div was $1.40........
    19 Sep 2012, 08:17 AM Reply Like
  • BFSVA
    , contributor
    Comments (16) | Send Message
     
    nope, $1.25
    19 Sep 2012, 02:35 PM Reply Like
  • Brian Bobbitt
    , contributor
    Comments (1899) | Send Message
     
    My my, aren't you happy to report this horrible incident, shall us holders of the stock slit our wrists or run and hide.
    I have been waiting for an entry level, and this is a buying opp.
    Always, the big dividend payers go down as people profit take after getting the dividend, this makes a perfect play for a quik pick, and get the buck and a quarter back in a short time, plus the next dividend, sell it off after the ex date, and wait for the drop and buy it back again.

     

    No matter how many times real investors shine a light on charlatans, like this article, they keep coming back like weeds.

     

    BUY AGNC TODAY before the tide goes backup.

     

    Geez.... how hard is this?

     

    Capt. Brian
    19 Sep 2012, 08:22 AM Reply Like
  • Rhianni32
    , contributor
    Comments (1998) | Send Message
     
    There has been larger dips every month. Why is today with it down less then 1% such an amazing deal?
    19 Sep 2012, 10:15 AM Reply Like
  • BFSVA
    , contributor
    Comments (16) | Send Message
     
    i agree w/ capt brian. i don't claim to be the sharpest knife in the drawer - but, my arithmetic has me buying more shares when the stock price price goes down which = more dividend $ three months later. so i'm okay with it.
    19 Sep 2012, 02:40 PM Reply Like
  • BilfordWrimley
    , contributor
    Comments (6) | Send Message
     
    That's what I did Capn'. Someday the goodtimes will be over. But I've been happy as a clam over the past year+...hehe...hopefully, I didn't just curse us all by putting it into words!
    22 Sep 2012, 03:39 PM Reply Like
  • Regarded Solutions
    , contributor
    Comments (15764) | Send Message
     
    an ex divi that dips about 25 cents more than the divi is reason for a news flash? really? I amean...REALLY????? please folks get a damn grip.
    19 Sep 2012, 08:44 AM Reply Like
  • MexCom
    , contributor
    Comments (3051) | Send Message
     
    Could be those that hung on to the current payout with a plan to lighten up immediately after in anticipation of future dividend cuts. I've had two other mREITs recently cutting back on their payouts.
    19 Sep 2012, 08:52 AM Reply Like
  • kingdad
    , contributor
    Comments (886) | Send Message
     
    another pov heard from. btw what mReits are in your current portfolio?
    If none, when was the last time you owned any and which ones were they?
    19 Sep 2012, 10:19 AM Reply Like
  • Decoy
    , contributor
    Comments (30) | Send Message
     
    It was a lousy time for investors but a good time for AGNC ,it pays for the dividend. However, if it is true that they are getting ready for a secondary ,that would be the reason which makes the drop understandable and good business for AGNC.
    19 Sep 2012, 09:24 AM Reply Like
  • Regarded Solutions
    , contributor
    Comments (15764) | Send Message
     
    http://seekingalpha.co...
    19 Sep 2012, 09:28 AM Reply Like
  • snorwalk
    , contributor
    Comment (1) | Send Message
     
    Even if there is a secondary offering coming as many of the reits do make secondary offerings, they always pop back within a few weeks.
    The interest environment looks good thru mid 2015 according to the Chairman of the Federal Reserve. That gives you a lot of time to enjoy the high yield
    19 Sep 2012, 09:29 AM Reply Like
  • Regarded Solutions
    , contributor
    Comments (15764) | Send Message
     
    true snorwalk. http://seekingalpha.co...
    19 Sep 2012, 09:30 AM Reply Like
  • morrisroos66
    , contributor
    Comments (3) | Send Message
     
    There is a rumor around about a secondary for agnc. But, why would they do that and then have to be trying to buy the same MBS that the Fed is buying. Gary Kain has said that he was preparing for qe3 by buying up the MBS that he thinks the Fed will want from the >2B$ they collected in July's secondary. Doing a secondary now would be trading on the opposite side of what he has discussed. It does not make sense that they would do a secondary now or for a number of months.
    19 Sep 2012, 09:34 AM Reply Like
  • Regarded Solutions
    , contributor
    Comments (15764) | Send Message
     
    they use too much leverage to know what the next move will be.
    19 Sep 2012, 09:37 AM Reply Like
  • Boog
    , contributor
    Comments (103) | Send Message
     
    Please, oh, pretty please, define "too much leverage" ...and how you account for their success in the face of having violated your "standard".
    24 Sep 2012, 11:34 AM Reply Like
  • AlbyVA
    , contributor
    Comments (567) | Send Message
     
    Thanks for the AGNC Discount... Now lets hope they can keep the dividend at $1.25/share
    19 Sep 2012, 10:27 AM Reply Like
  • kmi
    , contributor
    Comments (3992) | Send Message
     
    No reason to exit mReits until the fiscal cliff. And fiscal cliff will likely not go through in its current iteration. So, no reason to exit mReits until the growth story is affirmed. Weak growth and uncertain fiscal/economic policy to provide direction means keeping some money here still makes sense.
    19 Sep 2012, 11:47 AM Reply Like
  • joe kelly
    , contributor
    Comments (1730) | Send Message
     
    What have the people who got a $1.25 and sold for $1.40 less than agnc was at the day before gained?

     

    They wait three days and the idiots are gone. Then they can sell it for what they paid for it before dividend day.
    19 Sep 2012, 12:37 PM Reply Like
  • Destin
    , contributor
    Comments (472) | Send Message
     
    I personally would welcome another secondary with this high a premium over book value.
    19 Sep 2012, 01:06 PM Reply Like
  • Rhianni32
    , contributor
    Comments (1998) | Send Message
     
    Its worked out pretty well for us so far.
    19 Sep 2012, 01:32 PM Reply Like
  • Comepd102
    , contributor
    Comment (1) | Send Message
     
    We can expect comments as such because many investors are living in nervous times. Just last month AGNC dipped and came right back and why not again? This is one of the best REIT's for the best bang for the buck.

     

    Ralphie
    19 Sep 2012, 01:28 PM Reply Like
  • Whitelips
    , contributor
    Comments (2) | Send Message
     
    I am an artist and investor who goes with his gut and his mind. This is a buying opportunity. I feel it in my bones
    19 Sep 2012, 01:29 PM Reply Like
  • lci1@cox.net
    , contributor
    Comment (1) | Send Message
     
    Read your news.. nice they announced this the day it goes X
    Jefferies Downgrades American Capital Agency (AGNC) to Hold on Valuation
    19 Sep 2012, 01:32 PM Reply Like
  • yisroal
    , contributor
    Comments (11) | Send Message
     
    Funny AGNC and MTGE both took a big hit today. I would say no big deal, just a sale day on both of these family members. MTGE although a newer kid on the block has been very strong. It is following it's big brother and will in time catch up. This makes it a really good deal today. Both have been strong and paying better then almost any others in the neighborhood. I don't think this will change any time soon. So it may be a great day to double down and ride then up.
    IMHO most analyst's are just filling paper to make a living. If they were really so smart they would not have to work at a keyboard to make a living.
    19 Sep 2012, 02:50 PM Reply Like
  • htmiata
    , contributor
    Comments (5) | Send Message
     
    Well said!
    20 Sep 2012, 02:50 AM Reply Like
  • Jack Rice
    , contributor
    Comments (841) | Send Message
     
    I think the news is relevant to dividend arbitrageurs. Sometimes it works with AGNC, sometimes not.
    19 Sep 2012, 08:15 PM Reply Like
  • AlbyVA
    , contributor
    Comments (567) | Send Message
     
    In all honesty, I don't see what all the fuss is about. Its Ex-Dividend Day people... WTF!!!!

     

    The stock falls $1.54 after paying out $1.25. In short, it has only fallen $0.29/cents.

     

    Anybody crying about the stock drop needs to go back to Econ101.
    19 Sep 2012, 11:08 PM Reply Like
  • Kessey
    , contributor
    Comments (20) | Send Message
     
    This is way better than Econ 101. Just stay the course.
    20 Sep 2012, 01:56 AM Reply Like
  • kingdad
    , contributor
    Comments (886) | Send Message
     
    if you bought AGNC below the current prices it's ALL GOOD!
    Money in the bank! with mo money to come. Smile and make the Order supersized.
    20 Sep 2012, 01:10 PM Reply Like
  • Jerbear
    , contributor
    Comments (574) | Send Message
     
    Doesn't even move the needle on my profits.
    20 Sep 2012, 09:31 PM Reply Like
  • Pinkrabbit
    , contributor
    Comments (185) | Send Message
     
    My portfolio has been 100% REITs since 2007. I tell my fellow investors (friends) not to pay too much attention to the peaks and valleys of the stock price. Focus on the dividend stream and the ability to pay dividends. REITs are Buy and Holds. I'm sure the "Hold" rating added to the drop along with the EX-Date.

     

    Never worry about secondary offerings. That is the REITsr only source of money to grow. Now if they use the offering to pay dividends, that is another matter.
    22 Sep 2012, 04:11 PM Reply Like
  • AlbyVA
    , contributor
    Comments (567) | Send Message
     
    Agreed. Secondary offerings are just used to loan out the money with leverage and reap additional profits. And like Pink Rabbit said, if secondary money is used to pay dividends, that is a Red Flag it is time to sell, because the short name for that action is Ponzi Scheme.
    23 Sep 2012, 08:44 AM Reply Like
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