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American Capital Agency Corp. (AGNC)

  • Jul. 12, 2013, 12:54 PM
    Interest rates are quietly creeping higher, with the 10-year Treasury back to 2.60% after threatening to hit 2.50% a few hours back. Accordingly, the mREIT sector (REM -1.2%) begins to relinquish some its big gains from yesterday. Leading on the downside are American Capital (AGNC -3.5%), Annaly (NLY -2.3%), Armour (ARR -2.3%), Invesco (IVR -1.9%), and Western Mortgage (WMC -2%). 
  • Jul. 11, 2013, 7:55 AM
    Another analyst throws in the towel on American Capital Agency (AGNC), with Evercore downgrading to Hold from Buy after a 2-month 40% decline (previous). In fairness to Evercore, the team upped MFA Financial along with this move, suggesting it prefers rotating out of the pure-agency REITs and into the hybrid players. AGNC +4.3% premarket.
  • Jul. 11, 2013, 7:47 AM
    Bernanke's dovish tilt and tumbling interest rates have the mortgage REITs (REM) partying in premarket action: AGNC +4%, NLY +2.2%, CIM +1.8%, TWO +2.4%, NYMT +3.1%, WMC +1.5%.
  • Jul. 9, 2013, 11:00 AM
    Agency mREITs continue to merit caution even after big declines, says Citi. Even if the scare of higher long-term rates may be priced in, around the corner could be worries of short-term rate hikes (and a flatter yield curve). Citi expects Q2 reported book values to be off 10-15% and asset sales combined with increased hedging to negatively impact future earnings. Price targets are cut at AGNC and NLY. Among other agency players: ARR, HTS, CYS, CMO, AMTG.
  • Jul. 9, 2013, 9:08 AM
    Beaten-down American Capital Mortgage (MTGE) sees a big buy, with Pine River Capital (they run TWO Harbors) reporting the addition of nearly 4.4M shares to its previous 1M share stake. The stock's off nearly 40% since an ugly Q1 earnings report in early May (along with sister-company AGNC) was compounded by the fast rise in interest rates since.
  • Jul. 8, 2013, 3:35 PM
    More on the Wunderlich downgrade of the mREITs (REM +1.2%), (MORT +1.3%): The "lack of liquidity reached crisis levels" on Friday, says the team. "Price discovery has become a very uncertain process and we believe there is a risk that some entity - be it a mREIT or a hedge fund - could fail to meet margin requirements ... while we hope to be wrong in this case, equity investors need to be mindful of the potential downside scenarios."
  • Jul. 8, 2013, 10:00 AM
    Investors tiptoe back into mREITs (REM +0.7%) following Friday's drubbing which was the exclamation point (at least the bulls hope so) on 3 months of major losses for the sector. In what could turn out to be a sell side classic, Wunderlich cuts a swath of pummeled names from Buy to Hold: American Capital (AGNC), (MTGE +0.7%), CYS (CYS +1.2%), Invesco (IVR +0.9%), Western Asset (WMC -0.4%), AG (MITT -2.5%). Others of interest this morning: Annaly (NLY +1.6%), Armour (ARR +1.2%), Hatteras (HTS +0.6%), MFA (MFA +0.4%), Anworth (ANH +1.8%), Dynex (DX +1%).
  • Jul. 5, 2013, 9:38 AM
    Panicky selling grips the mortgage REITs (REM -3.5%) as Treasury yields soar following the payroll report. American Capital (AGNC -6.9%), (MTGE -5%), Annaly (NLY -6.9%) Chimera (CIM -4.9%), Armour (ARR -3.9%), Invesco (IVR -2.7%), CYS Investments (CYS -3%). CYS' Kevin Grant was public a month ago about being a happy buyer as yields rose - a bit early on that call.
  • Jun. 24, 2013, 9:47 AM
    Continued panicky action grips the mortgage REIT sector (REM -3.5%) at the open as the global stock selloff as yet offers no relief on interest rates. Adding to the fear is an opening print of -25% on the Market Vectors Mortgage REIT ETF (MORT -3.7%). American Capital (AGNC -4.5%), (MTGE -2.6%), Annaly (NLY -2.8%), Armour (ARR -4.8%), Invesco (IVR -4.4%), Hatteras (HTS -3.9%), CYS Investments (CYS -3.6%). Set for release from embargo tomorrow is SA Pro's REIT Analyst arguing the selloff in AGNC has left the price about 20% below book value.
  • Jun. 20, 2013, 3:32 PM
    Mortgage-backed securities continue their tumble, the yield on Fannie Mae issuance up another 8 bps to a 20-month high of 3.29%. The "violent" reaction to the "moderate" shift in Fed message proves the market was "all-in" says TCW's Bryan Whalen. The slide in MBS prices eventually might make for great opportunities for mREITs (REM -3.9%), but for now book values may continue to deteriorate. American Capital (AGNC -4.8%), MTGE>>, Armour (ARR -3.9%), Invesco (IVR -4.4%), New York Mortgage (NYMT -5.1%), Apollo (AMTG -4.8%), Javelin (JMI -4.7%).
  • Jun. 19, 2013, 3:13 PM
    Markets start to fall in earnest as the reality of a tapering and then ending in QE sinks in - even as the chairman is at pains to prove it's anything but a tightening move. The DJIA (DIA -0.8%) is off 145 points as the 10-year Treasury yield soars 15 bps to 2.33%, its highest level in 2 years. Reversing sizable early gains is the mREIT sector (REM -2.3%) - a leveraged holder of the paper the Fed will no longer be buying - with American Capital (AGNC -2%), (MTGE -1.5%), Annaly (NLY -2.2%), Invesco (IVR -2.5%), Two Harbors (TWO -3.5%), and Anworth (ANH -2.2%) leading the way. The greenback (UUP +0.9%) continues to fly higher.
  • Jun. 19, 2013, 8:59 AM
    American Capital Agency (AGNC) declares $1.05/share quarterly dividend. Forward yield 16.57%. For shareholders of record June 28. Payable July 26. Ex-div date June 26. Shares +2.5% premarket. (PR)
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  • Jun. 19, 2013, 6:56 AM
    American Capital Agency (AGNC) gains 2.5% premarket after cutting its quarterly dividend 16% to $1.05/share, a 16.6% annualized yield based on last night's close, suggesting the cuts aren't over with. SA Pro's Dane Bowler a month ago suggested an annual payout of about $3.50 as a "sustainable" level for the dividend. (PR)
  • Jun. 13, 2013, 3:39 PM
    Mortgage REIT (REM +4.1%) rallies are accelerating as the day draws to a close. Sector giants Annaly (NLY +4.7%), American Capital Agency (AGNC +4.2%) are closing in on 5% gains, while CYS Investment (CYS +6.2%) and Western Mortgage (WMC +7.1%) are threatening 7%. Did everybody realize all at once that higher long end rates combined with ZIRP should allow mREIT managers to invest at very profitable spreads?
  • Jun. 12, 2013, 4:08 PM
    American Capital Agency (AGNC -0.7%) is getting no pressure from its lenders to reduce leverage in light of the decline in mortgage prices, says CIO Gary Kain, responding to a question at the Morgan Stanley conference (webcast) (slides). If anything, he says, AGNC has room to take up leverage to an even higher level (it averaged 8.2x in Q1). Previous: The presentation discloses book value loss in Q2 through June 7 is similar to that of Q1.
  • Jun. 12, 2013, 10:34 AM
    American Capital Agency (AGNC -0.2%) estimates a similar decline in book value through June 7 as that experienced in Q1 (8.6%), putting June 7 book value at $26.44. At the current price, the stock is trading at about a 7% discount to book. The numbers were disclosed in slides prepared for the company's presentation at the Morgan Stanley conference at 3:35 ET this afternoon.
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Company Description
American Capital Agency Corp is a real estate investment trust that invests exclusively in residential mortgage pass-through securities and collateralized mortgage obligations on a leveraged basis.
Sector: Financial
Country: United States