Orchid Island Capital (NYSE:ORC) Hits New 12-Month Low – What’s Next?

Orchid Island Capital, Inc. (NYSE:ORC) reached a new 52-week low on Friday . The company traded as low as $6.30 and last traded at $6.3150, with a volume of 688890 shares trading hands. The stock had previously closed at $6.35.

Analyst Ratings Changes

Several research firms recently commented on ORC. Weiss Ratings upgraded shares of Orchid Island Capital from a “sell (d)” rating to a “sell (d+)” rating in a research report on Wednesday, July 15th. BTIG Research initiated coverage on Orchid Island Capital in a report on Thursday, July 9th. They issued a “neutral” rating on the stock. Two analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Reduce” and a consensus target price of $7.50.

Orchid Island Capital Price Performance

The company has a market capitalization of $1.26 billion, a price-to-earnings ratio of 4.28 and a beta of 1.55. The company has a current ratio of 509.34, a quick ratio of 509.34 and a debt-to-equity ratio of 0.34. The company’s 50 day simple moving average is $6.65 and its 200-day simple moving average is $6.87.

Orchid Island Capital (NYSE:ORC) last announced its quarterly earnings data on Thursday, July 23rd. The real estate investment trust reported $0.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.28 by ($0.02). The company had revenue of $59.97 million for the quarter, compared to analyst estimates of $74.26 million.

Orchid Island Capital Announces Dividend

The firm also recently declared a monthly dividend, which will be paid on Tuesday, September 29th. Shareholders of record on Monday, August 31st will be paid a $0.10 dividend. This represents a c) dividend on an annualized basis and a yield of 18.9%. The ex-dividend date of this dividend is Monday, August 31st. Orchid Island Capital’s dividend payout ratio (DPR) is presently 81.08%.

Orchid Island Capital announced that its board has approved a stock repurchase plan on Monday, June 22nd that allows the company to repurchase 25,000,000,000,000 shares. This repurchase authorization allows the real estate investment trust to reacquire up to 12.5% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of ORC. GAMMA Investing LLC raised its holdings in shares of Orchid Island Capital by 91.0% in the 2nd quarter. GAMMA Investing LLC now owns 3,650 shares of the real estate investment trust’s stock worth $25,000 after purchasing an additional 1,739 shares during the period. PNC Financial Services Group Inc. raised its stake in shares of Orchid Island Capital by 64.0% during the fourth quarter. PNC Financial Services Group Inc. now owns 6,413 shares of the real estate investment trust’s stock valued at $46,000 after purchasing an additional 2,502 shares during the period. Caitong International Asset Management Co. Ltd lifted its position in shares of Orchid Island Capital by 32,505.0% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 6,521 shares of the real estate investment trust’s stock worth $47,000 after purchasing an additional 6,501 shares in the last quarter. McIlrath & Eck LLC boosted its stake in shares of Orchid Island Capital by 157.2% in the first quarter. McIlrath & Eck LLC now owns 7,418 shares of the real estate investment trust’s stock valued at $52,000 after purchasing an additional 4,534 shares during the period. Finally, Raymond James Financial Inc. purchased a new stake in Orchid Island Capital during the 2nd quarter worth $55,000. 32.74% of the stock is currently owned by hedge funds and other institutional investors.

Orchid Island Capital Company Profile

Orchid Island Capital is a real estate investment trust that specializes in investing in residential mortgage?backed securities (RMBS), with a primary focus on mortgage pass?through securities guaranteed by the Government National Mortgage Association (Ginnie Mae). Structured to elect and maintain status as a REIT under the U.S. Internal Revenue Code, the company’s principal business strategy involves acquiring pools of U.S. residential mortgages in the secondary market and holding them to generate interest income.