Invesco Mortgage Capital (NYSE:IVR) Lowered to Hold Rating by Zacks Research

Zacks Research lowered shares of Invesco Mortgage Capital (NYSE:IVR) from a strong-buy rating to a hold rating in a research note issued to investors on Tuesday,Zacks.com reports.

Several other research firms have also issued reports on IVR. Compass Point initiated coverage on Invesco Mortgage Capital in a report on Monday, December 15th. They set a “buy” rating and a $9.00 price target for the company. Wall Street Zen upgraded Invesco Mortgage Capital from a “sell” rating to a “hold” rating in a research report on Sunday, November 9th. Finally, Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Invesco Mortgage Capital in a research note on Monday, December 29th. One investment analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Invesco Mortgage Capital currently has a consensus rating of “Hold” and an average target price of $8.25.

Invesco Mortgage Capital Price Performance

IVR stock traded down $0.07 during midday trading on Tuesday, hitting $8.89. The stock had a trading volume of 675,563 shares, compared to its average volume of 2,715,838. The firm has a market cap of $630.39 million, a price-to-earnings ratio of 17.42 and a beta of 1.71. The business has a 50-day moving average of $8.50 and a two-hundred day moving average of $7.90. Invesco Mortgage Capital has a 52-week low of $5.86 and a 52-week high of $9.50.

Invesco Mortgage Capital (NYSE:IVR) last released its earnings results on Thursday, October 30th. The real estate investment trust reported $0.58 EPS for the quarter, topping analysts’ consensus estimates of $0.53 by $0.05. The firm had revenue of ($22.71) million for the quarter, compared to analysts’ expectations of $45.40 million. Invesco Mortgage Capital had a return on equity of 29.47% and a net margin of 18.16%. Research analysts predict that Invesco Mortgage Capital will post 2.49 earnings per share for the current year.

Invesco Mortgage Capital Announces Dividend

The company also recently declared a monthly dividend, which will be paid on Friday, February 13th. Shareholders of record on Monday, January 26th will be issued a $0.12 dividend. This represents a c) annualized dividend and a yield of 16.2%. The ex-dividend date of this dividend is Monday, January 26th. Invesco Mortgage Capital’s payout ratio is currently 282.35%.

Hedge Funds Weigh In On Invesco Mortgage Capital

A number of institutional investors have recently modified their holdings of IVR. FNY Investment Advisers LLC acquired a new position in shares of Invesco Mortgage Capital in the fourth quarter worth about $28,000. Bogart Wealth LLC raised its holdings in shares of Invesco Mortgage Capital by 103.9% during the 2nd quarter. Bogart Wealth LLC now owns 4,711 shares of the real estate investment trust’s stock worth $37,000 after acquiring an additional 2,400 shares during the period. Comerica Bank raised its position in shares of Invesco Mortgage Capital by 1,722.1% during the 3rd quarter. Comerica Bank now owns 5,120 shares of the real estate investment trust’s stock valued at $39,000 after buying an additional 4,839 shares during the period. BNP Paribas Financial Markets lifted its position in Invesco Mortgage Capital by 83.5% in the second quarter. BNP Paribas Financial Markets now owns 5,599 shares of the real estate investment trust’s stock valued at $44,000 after buying an additional 2,548 shares during the last quarter. Finally, CWM LLC increased its holdings in Invesco Mortgage Capital by 698.7% in the 3rd quarter. CWM LLC now owns 7,516 shares of the real estate investment trust’s stock valued at $57,000 after purchasing an additional 6,575 shares during the last quarter. Hedge funds and other institutional investors 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.