Dynex Capital said on July 12, 2023 that its board of directors declared a regular monthly dividend of $0.13 per share ($1.56 annualized). Previously, the company paid $0.13 per share.
Shareholders of record as of July 21, 2023 will receive payment on August 1, 2023.
At the current share price of $12.82/share, the dividend yield of the stock is 12.17%.
Looking back five years and taking a sample each week, the average dividend yield was 10.86%, the low 7.67% and the high 17.54%. The standard deviation of returns is 1.84 (n=236).
The current dividend yield is 0.71 standard deviation above the historical average.
Additionally, the company’s dividend payout ratio is -5.35. The payout ratio tells us how much of a company’s income is paid out as dividends. A payout ratio of one (1.0) means that 100% of the company’s income is paid out as dividends. A payout ratio above one means the company is dipping into its savings to maintain its dividend, which is not a healthy situation. Companies with little growth prospects should pay most of their income in the form of dividends, which generally means a payout ratio between 0.5 and 1.0. Companies with good growth prospects should retain part of their profits in order to invest in these growth prospects, which translates into a payout ratio of zero to 0.5.
The company has not increased its dividend in the past three years.
What is fund sentiment?
There are 266 funds or institutions reporting positions in Dynex Capital. This is a decrease of 6 owner(s) or 2.21% in the last quarter. Average portfolio weight of all funds dedicated to DX is 0.10%, a decrease of 12.67%. The total number of shares held by institutions has increased over the past three months by 2.91% to 26,753,000 shares. 
DX’s put/call ratio is 0.33, indicating a bullish outlook.
Analysts’ price forecast suggests an 11.39% rise
As of July 6, 2023, the one-year average price target for Dynex Capital was 14.28. The forecast ranges from a low of 13.64 to a high of $15.75. The average price target represents an increase of 11.39% from its last published closing price of 12.82.
Check out our ranking of companies with the biggest upward price target.
The expected annual turnover for Dynex Capital is 51MM, an increase of 177.92%. Projected annual non-GAAP EPS is 0.88.
What are the other shareholders doing?
VTSMX – Vanguard Total Stock Market Index Fund Investor Shares owns 1,724,000 shares representing 3.19% ownership of the company. In its previous filing, the company said it held 1,334,000 shares, representing a raise of 22.64%. The company increase its DX portfolio allocation of 13.73% in the last quarter.
Balyasny Asset Management holds 1,433,000 shares representing 2.65% ownership of the company. In its previous filing, the company said it held 2,223,000 shares, representing a decrease of 55.13%. The company decreases its DX portfolio allocation of 43.79% in the last quarter.
Victory Capital Management holds 1,388,000 shares representing 2.56% ownership of the company. In its previous filing, the company said it held 94,000 shares, representing a raise of 93.26%. The company increase its DX portfolio allocation of 759.53% in the last quarter.
Schonfeld Strategic Advisors holds 1,120,000 shares representing 2.07% ownership of the company. In its previous filing, the company said it held 47,000 shares, representing a raise of 95.82%. The company increase its DX portfolio allocation of 2,524.27% in the last quarter.
IWM – iShares Russell 2000 ETF holds 1,088,000 shares representing 2.01% ownership of the company. In its previous filing, the company said it owns 1,061,000 shares, representing a raise of 2.44%. The company increase its portfolio allocation to DX by 2.04% in the last quarter.
General information about Dynex Capital
(This description is provided by the company.)
ynex Capital, Inc. is an internally managed real estate investment trust, or REIT, that invests in mortgage assets on a leveraged basis. The Company invests in agency and non-agency RMBS, CMBS and CMBS IO.
Further reading:
- DYNEX CAPITAL, INC. ANNOUNCES FIRST QUARTER 2023 RESULTS
- Amendment No. 4 to Distribution Agreement, dated February 10, 2023, to the Distribution Agreement by and between Dynex Capital, Inc., JP Morgan Securities LLC, JMP Securities LLC, JonesTrading Institutional Services LLC and BTIG, LLC.
- DYNEX CAPITAL, INC. ANNOUNCES FOURTH QUARTER AND FULL YEAR 2022 RESULTS
- Executive Agreement and General Release between Dynex Capital, Inc. and Stephen J. Benedetti dated July 26, 2022 (attached).
- DYNEX CAPITAL, INC. ANNOUNCES THIRD QUARTER 2022 RESULTS
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.