Invesco Mortgage Capital (NYSE:IVR) Cut to “Sell” at Wall Street Zen

Wall Street Zen lowered shares of Invesco Mortgage Capital (NYSE:IVR) from a hold rating to a sell rating in a report issued on Saturday morning.

Other equities research analysts also recently issued research reports about the company. Compass Point assumed coverage on Invesco Mortgage Capital in a report on Monday, December 15th. They issued a “buy” rating and a $9.00 price objective for the company. Weiss Ratings raised shares of Invesco Mortgage Capital from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Monday, February 2nd. Finally, Zacks Research cut shares of Invesco Mortgage Capital from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, January 27th. One analyst has rated the stock with a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $8.25.

Invesco Mortgage Capital Price Performance

Shares of NYSE IVR opened at $8.38 on Friday. The business has a 50-day moving average of $8.74 and a 200-day moving average of $8.08. The stock has a market capitalization of $697.39 million, a price-to-earnings ratio of 6.54 and a beta of 1.76. Invesco Mortgage Capital has a fifty-two week low of $5.86 and a fifty-two week high of $9.50.

Invesco Mortgage Capital (NYSE:IVR) last released its earnings results on Thursday, January 29th. The real estate investment trust reported $0.56 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.58 by ($0.02). The company had revenue of $56.06 million for the quarter, compared to the consensus estimate of $47.99 million. Invesco Mortgage Capital had a return on equity of 28.85% and a net margin of 34.30%. On average, sell-side analysts expect that Invesco Mortgage Capital will post 2.49 EPS for the current year.

Invesco Mortgage Capital Dividend Announcement

The business also recently disclosed a monthly dividend, which will be paid on Friday, March 13th. Shareholders of record on Tuesday, February 24th will be given a dividend of $0.12 per share. This represents a c) dividend on an annualized basis and a yield of 17.2%. The ex-dividend date of this dividend is Tuesday, February 24th. Invesco Mortgage Capital’s payout ratio is 37.50%.

Institutional Trading of Invesco Mortgage Capital

A number of hedge funds have recently modified their holdings of IVR. Millennium Management LLC boosted its holdings in shares of Invesco Mortgage Capital by 1,607.0% during the 3rd quarter. Millennium Management LLC now owns 1,523,395 shares of the real estate investment trust’s stock worth $11,517,000 after buying an additional 1,434,149 shares during the period. UBS Group AG boosted its holdings in shares of Invesco Mortgage Capital by 68.8% during the fourth quarter. UBS Group AG now owns 1,094,468 shares of the real estate investment trust’s stock worth $9,204,000 after acquiring an additional 446,017 shares during the period. Two Sigma Investments LP grew its position in shares of Invesco Mortgage Capital by 66.0% in the third quarter. Two Sigma Investments LP now owns 1,017,198 shares of the real estate investment trust’s stock valued at $7,690,000 after purchasing an additional 404,497 shares during the last quarter. Wolverine Asset Management LLC increased its stake in shares of Invesco Mortgage Capital by 23.5% during the third quarter. Wolverine Asset Management LLC now owns 1,191,069 shares of the real estate investment trust’s stock worth $9,004,000 after purchasing an additional 226,411 shares during the period. Finally, Invesco Ltd. increased its stake in shares of Invesco Mortgage Capital by 8.5% during the fourth quarter. Invesco Ltd. now owns 2,555,890 shares of the real estate investment trust’s stock worth $21,495,000 after purchasing an additional 199,259 shares during the period. Institutional investors and hedge funds own 40.54% of the company’s stock.

Invesco Mortgage Capital Company Profile

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.