American Capital Mortgage Update: A Deep Value mREIT With A 13% Yield
- MTGE sees a 4.4% Q/Q increase in its book value to $22.73.
- Net spread plus dollar roll income was $0.72 per share, easily covering the current $0.65 per share dividend.
- At current prices, MTGE yields 13% and trades at a similar 13% discount to its book value.
- For these reasons I remain long MTGE stock.