Invesco Mortgage Capital (NYSE:IVR) Hits New 12-Month Low – Here’s Why

by · The Markets Daily

Invesco Mortgage Capital Inc (NYSE:IVR – Get Free Report) shares hit a new 52-week low on Thursday . The stock traded as low as $7.00 and last traded at $6.9550, with a volume of 394314 shares trading hands. The stock had previously closed at $7.09.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on IVR. Weiss Ratings raised Invesco Mortgage Capital from a “sell (d+)” rating to a “hold (c)” rating in a research report on Tuesday, August 11th. Zacks Research cut Invesco Mortgage Capital from a “hold” rating to a “strong sell” rating in a research report on Wednesday, August 26th. UBS Group set a $7.75 target price on Invesco Mortgage Capital and gave the stock a “neutral” rating in a research note on Wednesday, August 19th. Finally, Wall Street Zen raised Invesco Mortgage Capital from a “sell” rating to a “hold” rating in a research report on Saturday, September 5th. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $8.38.

Check Out Our Latest Research Report on IVR

Invesco Mortgage Capital Trading Down 2.0%

The company’s 50-day moving average is $7.56 and its 200 day moving average is $7.90. The stock has a market capitalization of $747.56 million, a PE ratio of 4.69 and a beta of 1.62.

Invesco Mortgage Capital (NYSE:IVR – Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The real estate investment trust reported $0.50 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.50. The business had revenue of $30.10 million for the quarter, compared to analyst estimates of $46.48 million. Invesco Mortgage Capital had a net margin of 38.01% and a return on equity of 26.48%. Sell-side analysts forecast that Invesco Mortgage Capital Inc will post 1.97 EPS for the current fiscal year.

Invesco Mortgage Capital Dividend Announcement

The business also recently disclosed a monthly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, August 25th will be issued a dividend of $0.12 per share. The ex-dividend date of this dividend is Tuesday, August 25th. This represents a c) dividend on an annualized basis and a dividend yield of 20.7%. Invesco Mortgage Capital’s payout ratio is 97.30%.

Hedge Funds Weigh In On Invesco Mortgage Capital

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in IVR. Bank of New York Mellon Corp purchased a new position in shares of Invesco Mortgage Capital during the 2nd quarter valued at about $2,087,000. Bank of America Corp DE boosted its stake in shares of Invesco Mortgage Capital by 190.1% in the first quarter. Bank of America Corp DE now owns 410,787 shares of the real estate investment trust’s stock worth $3,319,000 after buying an additional 269,195 shares during the last quarter. BlackRock Inc. acquired a new stake in Invesco Mortgage Capital during the second quarter worth about $69,562,000. Odyssean LLC grew its holdings in Invesco Mortgage Capital by 144.9% during the second quarter. Odyssean LLC now owns 374,410 shares of the real estate investment trust’s stock worth $2,958,000 after acquiring an additional 221,498 shares during the period. Finally, Renaissance Technologies LLC raised its position in Invesco Mortgage Capital by 42.4% during the first quarter. Renaissance Technologies LLC now owns 677,100 shares of the real estate investment trust’s stock valued at $5,471,000 after acquiring an additional 201,500 shares in the last quarter. Hedge funds and other institutional investors own 40.54% of the company’s stock.

Invesco Mortgage Capital Company Profile

(Get Free Report)

Invesco Mortgage Capital Inc (NYSE: IVR) is a real estate investment trust that specializes in investing in U.S. residential mortgage-backed securities. The company’s portfolio is weighted toward agency-guaranteed RMBS issued or guaranteed by U.S. government-sponsored enterprises such as Fannie Mae, Freddie Mac and Ginnie Mae. By focusing on collateral backed by federal agencies, Invesco Mortgage Capital seeks to generate attractive returns while managing credit risk through securities that carry explicit or implicit government guarantees.

To enhance its portfolio yield, the company employs leverage through repurchase agreements, warehouse facilities and debt financing.

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