Citigroup Inc. has significantly increased its stake in AGNC Investment Corp. (AGNC:NSD) during the first quarter of this year, marking a substantial move in its investment strategy. According to the latest filings with the Securities & Exchange Commission, Citigroup now holds a remarkable 471.8% more shares of AGNC Investment, underscoring its growing interest in the real estate investment trust (REIT) sector and influencing AGNC stock forecast.
Citigroup’s Impressive Stake:
Citigroup Inc. revealed that it now possesses 394,701 shares of AGNC Investment Corp., a significant increase from its previous holdings. This boost involved the acquisition of an additional 325,670 shares during the first quarter of the year. The total value of Citigroup’s investment in AGNC Investment stands at an impressive $3,979,000 as of the end of the most recent quarter. This sizeable stake underscores Citigroup’s confidence in the company and its prospects in the REIT market.
Hedge Funds Increased Interest:
Citigroup is not alone in its interest in AGNC Investment Corp. Several other prominent hedge funds have also been active in trading AGNC shares recently, demonstrating a growing appetite for the real estate investment trust’s stock.
Vanguard Group Inc:
One of the leading names in the financial industry, Vanguard Group Inc., expanded its stake in AGNC Investment by 1.1% during the third quarter. Vanguard Group Inc. now owns an astonishing 48,875,957 shares of the REIT’s stock, valued at a substantial $411,535,000. This increase resulted from the acquisition of an additional 536,286 shares in the last quarter.
Geode Capital Management LLC:
Another notable hedge fund, Geode Capital Management LLC, boosted its stake in AGNC Investment by an impressive 14.2% during the fourth quarter. Geode Capital Management LLC now holds 8,151,153 shares of AGNC’s stock, worth a substantial $84,483,000, after adding 1,014,234 shares in the last quarter.
Continued Growth in Investments:
Macquarie Group Ltd. also demonstrated its faith in AGNC Investment, growing its stake by 5.7% during the fourth quarter. Macquarie Group Ltd. now possesses 7,698,618 shares of the REIT’s stock, valued at $79,681,000, following the acquisition of an additional 413,796 shares in the last quarter.
Allspring Global Investments Holdings LLC saw a 9.1% growth in its stake during the first quarter. The firm now owns 6,898,358 shares of AGNC Investment’s stock, valued at $69,535,000, thanks to the acquisition of an additional 577,803 shares.
Finally, Millennium Management LLC significantly expanded its position in AGNC Investment during the fourth quarter, witnessing an impressive 86.5% growth. The firm now owns 6,506,730 shares of the REIT’s stock, valued at $67,345,000, after acquiring an additional 3,018,383 shares.
In total, institutional investors and hedge funds now account for 38.86% of AGNC Investment Corp.’s outstanding shares, reflecting the growing interest and confidence in the company’s performance and potential.
Insider Activity:
In addition to institutional interest, there has been notable insider activity at AGNC Investment. Director Morris A. Davis purchased 4,772 shares of the company’s stock on Thursday, July 27th. This transaction amounted to a total value of $50,010.56.
Following this purchase, Director Davis now holds 55,060 shares of AGNC Investment, valued at $577,028.80. This insider buying activity reflects confidence in the company’s outlook.
On the other hand, EVP Bernice Bell sold 5,000 shares of AGNC Investment stock on Thursday, August 31st. The transaction had a total value of $49,650.00.
Following the sale, Bell now holds 258,947 shares in the company, valued at approximately $2,571,343.71. This sale is worth noting as it may indicate a strategic move by an executive within the company.
Analysts Ratings:
Market analysts have been actively monitoring AGNC Investment Corp., offering their insights and predictions.
- Royal Bank of Canada reiterated its “outperform” rating on AGNC Investment and set a target price of $11.00 per share on July 26th.
- JPMorgan Chase & Co. adjusted its target price from $11.00 to $10.50 on July 24th.
Overall, AGNC Investment currently holds a “Strong Buy”. Stock Target Advisor’s analysts are Slightly Bearish, which is based on 4 positive signals and 7 negative signals.
AGNC Stock Forecast:
The average target price for AGNC stock is USD 10.89 with an upside potential of 12.49%. this value spans as high as USD 12.5 and as low as USD 10 for September 2024.
Financial Snapshot of AGNC Stock:
The stock opened at $9.96 on Monday, boasting a market capitalization of $5.92B billion. With a price-to-earnings (P/E) ratio of -38.31 and a beta of 1.23, AGNC Investment presents investors with an opportunity in the real estate investment trust sector.
Over the past year, AGNC Investment has experienced a range in share price, with a 12-month low of $7.30 and a 12-month high of $12.25. The company’s current ratio and quick ratio both stand at 0.22, highlighting a balanced liquidity position. Furthermore, AGNC Investment maintains a low debt-to-equity ratio of 0.01, indicating responsible financial management.
The stock’s 50-day simple moving average is $9.97, while its 200-day simple moving average is $9.96. These moving averages provide valuable insights into the stock’s recent performance and trends.
Impressive Earnings Report:
AGNC Investment Corp. recently reported its quarterly earnings results for the second quarter of this year, indicating positive financial performance. The company reported earnings per share (EPS) of $0.67 for the quarter, surpassing the consensus estimate of $0.58 by $0.09. Additionally, AGNC Investment generated revenue of $457.00 million during the quarter, exceeding the consensus estimate of $342.01 million. This strong performance highlights the company’s ability to deliver value to its investors.
AGNC Investment also demonstrated a robust return on equity of 29.59% and a net margin of 1.96%. Comparatively, in the same quarter of the previous year, the company reported earnings per share of $0.83, showcasing its continued commitment to growth and profitability. Equities research analysts anticipate that AGNC Investment Corp. will achieve earnings per share of 2.4 for the current year, reinforcing its promising outlook.
Dividend Announcement:
In addition to its financial performance, AGNC Investment Corp. recently announced its dividend, reinforcing its commitment to rewarding shareholders. The dividend is scheduled to be paid on Tuesday, September 12th, and shareholders of record on Thursday, August 31st, will receive a dividend of $0.12 per share.
This dividend represents an attractive yield of 14.6%. The ex-dividend date for this dividend was Wednesday, August 30th. While the company’s current payout ratio is -553.85%, the dividend serves as an enticing incentive for investors.
Conclusion:
The significant increase in Citigroup Inc.’s holdings in AGNC Investment Corp. highlights the growing interest in the company’s potential. Coupled with notable insider activity and positive analyst ratings, AGNC Investment Corp. appears well-positioned for future growth. Investors should closely monitor the developments and performance of this real estate investment trust as it continues to make strides in the market.
