Insider Buying: Dynex Capital (NYSE:DX) CEO Buys $156,600.00 in Stock

Dynex Capital, Inc. (NYSE:DX) CEO Smriti Popenoe purchased 12,000 shares of the business’s stock in a transaction that occurred on Tuesday, October 20th. The stock was acquired at an average price of $13.05 per share, for a total transaction of $156,600.00. Following the purchase, the chief executive officer owned 541,098 shares of the company’s stock, valued at approximately $7,061,328.90. This represents a 2.27% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link.

Dynex Capital Stock Up 3.5%

Shares of Dynex Capital stock traded up $0.37 on Tuesday, hitting $10.93. 8,187,915 shares of the company’s stock traded hands, compared to its average volume of 6,048,099. The stock has a market cap of $2.70 billion, a P/E ratio of 4.16 and a beta of 0.98. The company has a quick ratio of 1.16, a current ratio of 1.16 and a debt-to-equity ratio of 0.01. The firm’s 50-day moving average is $12.11 and its 200 day moving average is $12.74. Dynex Capital, Inc. has a 52-week low of $10.31 and a 52-week high of $14.93.

Dynex Capital (NYSE:DX) last posted its quarterly earnings results on Monday, October 19th. The real estate investment trust reported $0.38 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.39 by ($0.01). Dynex Capital had a net margin of 49.18% and a return on equity of 8.85%. The company had revenue of $101.56 million during the quarter, compared to analyst estimates of $113.48 million.

Dynex Capital Dividend Announcement

The business also recently announced a monthly dividend, which will be paid on Monday, November 2nd. Stockholders of record on Thursday, October 22nd will be given a $0.17 dividend. The ex-dividend date of this dividend is Thursday, October 22nd. This represents a $2.04 annualized dividend and a dividend yield of 18.7%. Dynex Capital’s payout ratio is presently 77.57%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. Parisi Gray Wealth Management acquired a new stake in shares of Dynex Capital in the third quarter valued at approximately $151,000. Firethorn Wealth Partners LLC bought a new stake in shares of Dynex Capital during the third quarter valued at approximately $144,000. Focus Financial Network Inc. bought a new stake in shares of Dynex Capital during the third quarter valued at approximately $139,000. Fermata Advisors LLC boosted its position in shares of Dynex Capital by 47.2% during the third quarter. Fermata Advisors LLC now owns 25,386 shares of the real estate investment trust’s stock worth $283,000 after buying an additional 8,136 shares during the period. Finally, WoodTrust Financial Corp boosted its position in shares of Dynex Capital by 13.3% during the third quarter. WoodTrust Financial Corp now owns 34,000 shares of the real estate investment trust’s stock worth $379,000 after buying an additional 4,000 shares during the period. 38.34% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on DX. BTIG Research set a $12.00 price target on shares of Dynex Capital and gave the stock a “buy” rating in a research report on Tuesday, October 6th. JonesTrading lowered their price objective on Dynex Capital from $14.75 to $12.50 and set a “buy” rating for the company in a report on Monday. Keefe, Bruyette & Woods restated an “outperform” rating on shares of Dynex Capital in a research note on Tuesday. Finally, Weiss Ratings downgraded Dynex Capital from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday. Three research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $13.38.

Dynex Capital News Summary

Here are the key news stories impacting Dynex Capital this week:

• Positive Sentiment: Management said stable funding and limited refinancing activity are allowing Dynex to earn attractive spreads without relying on near-term interest-rate cuts. The company also believes currently wide Agency MBS spreads offer an opportunity to invest at favorable valuations. Dynex Capital Bets on Rich MBS Spreads After Painful Quarter
• Positive Sentiment: Dynex raised $384 million of capital and expanded its Agency MBS portfolio by $3.2 billion, lifting the total investment portfolio approximately 3% to $28.3 billion. Net interest income increased to $101.6 million from $93.8 million in the prior quarter, and the company declared a $0.51-per-share dividend. Dynex Capital Posts Third-Quarter Net Loss
• Neutral Sentiment: JonesTrading reduced its price target to $12.50 from $14.75 but maintained a Buy rating, implying potential upside from recent trading levels while acknowledging lower near-term expectations.
• Negative Sentiment: Dynex reported a third-quarter net loss of $335.5 million, or $1.34 per share, compared with a profit-oriented investor focus on portfolio values. Comprehensive loss was $374.8 million, and total economic return was negative $1.48 per share, or negative 11.5% of beginning book value.
• Negative Sentiment: Book value per common share fell sharply to $10.91 from $12.90 in the prior quarter as wider Agency MBS spreads reduced the fair value of the investment portfolio. Leverage, including to-be-announced securities, increased to 9.0 times shareholders’ equity from 8.1 times, adding risk if spreads remain unfavorable. Dynex Capital Third-Quarter Results
• Negative Sentiment: Adjusted earnings also modestly missed expectations: EPS was $0.38 versus a $0.39 consensus estimate, while revenue of $101.56 million came in below the $113.48 million forecast. Dynex Capital Earnings Report

About Dynex Capital

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.