Key Points
- CFO Michael Andrew Sartori bought 1,000 Dynex Capital shares at $10.70 each, investing $10,700 and increasing his holdings to 36,579 shares.
- Dynex Capital’s latest quarter was disappointing: EPS of $0.38 missed estimates, revenue came in below expectations, and the company reported a $335.5 million net loss as book value fell to $10.91 per share.
- The REIT declared a monthly dividend of $0.17 per share, equivalent to an annualized $2.04 payout and an approximately 18.7% yield; analysts’ consensus rating remains “Hold,” with an average price target of $13.38.
Dynex Capital, Inc. (NYSE:DX - Get Free Report) CFO Michael Andrew Sartori purchased 1,000 shares of Dynex Capital stock in a transaction on Tuesday, October 20th. The stock was purchased at an average price of $10.70 per share, for a total transaction of $10,700.00. Following the completion of the transaction, the chief financial officer owned 36,579 shares of the company's stock, valued at approximately $391,395.30. This represents a 2.81% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which can be accessed through the SEC website.
Dynex Capital Price Performance
Shares of Dynex Capital stock opened at $10.93 on Wednesday. The company has a current ratio of 1.16, a quick ratio of 1.16 and a debt-to-equity ratio of 0.01. The stock has a market capitalization of $2.70 billion, a price-to-earnings ratio of 8.31 and a beta of 0.98. Dynex Capital, Inc. has a 1-year low of $10.31 and a 1-year high of $14.93. The firm's 50-day moving average price is $12.07 and its two-hundred day moving average price is $12.73.
Dynex Capital (NYSE:DX - Get Free Report) last posted its quarterly earnings data on Monday, October 19th. The real estate investment trust reported $0.38 earnings per share for the quarter, missing the consensus estimate of $0.39 by ($0.01). Dynex Capital had a positive return on equity of 10.45% and a negative net margin of 4.65%. The firm had revenue of $101.56 million for the quarter, compared to analyst estimates of $113.48 million.
Dynex Capital Dividend Announcement
The firm also recently declared a monthly dividend, which will be paid on Monday, November 2nd. Investors of record on Thursday, October 22nd will be given a dividend of $0.17 per share. The ex-dividend date is Thursday, October 22nd. This represents a $2.04 dividend on an annualized basis and a yield of 18.7%. Dynex Capital's dividend payout ratio is 77.57%.
Dynex Capital News Roundup
Here are the key news stories impacting Dynex Capital this week:
- Positive Sentiment: CEO Smriti Popenoe purchased 12,000 shares for approximately $156,600, while CFO Michael Sartori bought 1,000 shares for $10,700. The insider purchases increase their respective holdings and may signal management’s confidence that the stock is undervalued. CEO insider purchase filing CFO insider purchase filing
- Positive Sentiment: Management said stable funding and limited refinancing needs are allowing Dynex to earn attractive spreads without relying on near-term interest-rate cuts. The company also believes wider mortgage-backed securities spreads could create better future investment opportunities. Dynex Capital earnings call highlights
- Neutral Sentiment: JonesTrading lowered its price target from $14.75 to $12.50 but maintained a “buy” rating, implying analysts still see potential upside despite the weaker quarter. JonesTrading price target update
- Negative Sentiment: Third-quarter results were disappointing: Dynex reported a $335.5 million net loss, or $1.34 per share, and book value per share fell to $10.91 from $12.90. Wider Agency MBS spreads reduced portfolio values, producing a negative economic return of $1.48 per share. EPS of $0.38 also narrowly missed estimates, while revenue of $101.6 million fell short of the $113.5 million consensus. Leverage increased to 9.0 times equity, adding risk. Dynex Capital third-quarter results
Wall Street Analyst Weigh In
A number of equities research analysts recently weighed in on the company. JonesTrading dropped their price target on Dynex Capital from $14.75 to $12.50 and set a "buy" rating for the company in a report on Monday. BTIG Research set a $12.00 price objective on Dynex Capital and gave the stock a "buy" rating in a research note on Tuesday, October 6th. Weiss Ratings cut Dynex Capital from a "hold (c-)" rating to a "sell (d+)" rating in a report on Friday. Finally, Keefe, Bruyette & Woods restated an "outperform" rating on shares of Dynex Capital in a report on Tuesday. Three research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, Dynex Capital currently has a consensus rating of "Hold" and an average target price of $13.38.
View Our Latest Stock Analysis on Dynex Capital
Institutional Investors Weigh In On Dynex Capital
Several hedge funds and other institutional investors have recently added to or reduced their stakes in DX. Versant Capital Management Inc raised its stake in shares of Dynex Capital by 891.8% in the second quarter. Versant Capital Management Inc now owns 2,896 shares of the real estate investment trust's stock worth $38,000 after acquiring an additional 2,604 shares during the last quarter. KBC Group NV acquired a new position in shares of Dynex Capital during the second quarter worth approximately $42,000. Integrated Wealth Concepts LLC acquired a new position in shares of Dynex Capital during the second quarter worth approximately $42,000. IMG Wealth Management Inc. grew its stake in shares of Dynex Capital by 55.9% during the first quarter. IMG Wealth Management Inc. now owns 3,410 shares of the real estate investment trust's stock valued at $44,000 after purchasing an additional 1,222 shares during the last quarter. Finally, PNC Financial Services Group Inc. grew its stake in shares of Dynex Capital by 93.4% during the first quarter. PNC Financial Services Group Inc. now owns 6,638 shares of the real estate investment trust's stock valued at $85,000 after purchasing an additional 3,205 shares during the last quarter. Institutional investors and hedge funds own 38.34% of the company's stock.
About Dynex Capital
(
Get Free Report)
Dynex Capital, Inc (NYSE: DX) is an internally managed real estate investment trust that invests in mortgage-related assets. The company primarily focuses on agency mortgage-backed securities, including securities backed by the U.S. government or government-sponsored enterprises, as well as selected non-agency residential and commercial mortgage-backed securities.
Dynex Capital uses financing and other investment strategies to generate income from its portfolio of mortgage assets. Its investments are tied primarily to the U.S.
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