Dynex Capital (NYSE:DX) Sets New 12-Month High – What’s Next?

Dynex Capital, Inc. (NYSE:DX)’s stock price hit a new 52-week high during mid-day trading on Friday . The company traded as high as $14.57 and last traded at $14.5560, with a volume of 3956710 shares trading hands. The stock had previously closed at $14.26.

Wall Street Analyst Weigh In

DX has been the topic of a number of recent analyst reports. UBS Group set a $13.25 target price on Dynex Capital and gave the stock a “neutral” rating in a research note on Wednesday, October 8th. Weiss Ratings restated a “hold (c)” rating on shares of Dynex Capital in a report on Monday, December 29th. Keefe, Bruyette & Woods lifted their price objective on shares of Dynex Capital from $14.00 to $14.50 and gave the stock an “outperform” rating in a research report on Thursday, December 18th. Finally, Jones Trading reiterated a “buy” rating and issued a $14.00 target price on shares of Dynex Capital in a research note on Monday, October 20th. Two analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Dynex Capital has a consensus rating of “Hold” and a consensus price target of $13.92.

Dynex Capital Stock Up 2.8%

The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.19 and a current ratio of 1.19. The stock’s 50-day moving average price is $13.84 and its two-hundred day moving average price is $13.11. The stock has a market capitalization of $2.15 billion, a PE ratio of 9.91 and a beta of 0.98.

Dynex Capital (NYSE:DX) last issued its quarterly earnings results on Monday, October 20th. The real estate investment trust reported $0.25 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.44 by ($0.19). Dynex Capital had a net margin of 41.53% and a return on equity of 6.65%. The business had revenue of $421.91 million for the quarter, compared to analysts’ expectations of $32.06 million. As a group, analysts expect that Dynex Capital, Inc. will post 1.94 EPS for the current fiscal year.

Dynex Capital Announces Dividend

The business also recently disclosed a monthly dividend, which will be paid on Monday, February 2nd. Investors of record on Wednesday, January 21st will be given a dividend of $0.17 per share. This represents a c) dividend on an annualized basis and a yield of 13.9%. The ex-dividend date of this dividend is Wednesday, January 21st. Dynex Capital’s dividend payout ratio (DPR) is 137.84%.

Institutional Trading of Dynex Capital

Several institutional investors have recently bought and sold shares of DX. Vanguard Group Inc. raised its holdings in Dynex Capital by 21.3% in the third quarter. Vanguard Group Inc. now owns 7,513,849 shares of the real estate investment trust’s stock worth $92,345,000 after buying an additional 1,318,236 shares during the last quarter. Geode Capital Management LLC raised its holdings in Dynex Capital by 26.0% in the 2nd quarter. Geode Capital Management LLC now owns 2,525,805 shares of the real estate investment trust’s stock worth $30,870,000 after acquiring an additional 521,530 shares during the last quarter. Millennium Management LLC lifted its position in Dynex Capital by 79.8% in the 3rd quarter. Millennium Management LLC now owns 2,235,018 shares of the real estate investment trust’s stock valued at $27,468,000 after acquiring an additional 992,269 shares in the last quarter. Ameriprise Financial Inc. lifted its position in Dynex Capital by 6.8% in the 3rd quarter. Ameriprise Financial Inc. now owns 1,736,645 shares of the real estate investment trust’s stock valued at $21,345,000 after acquiring an additional 110,705 shares in the last quarter. Finally, Algebris UK Ltd. boosted its stake in Dynex Capital by 69.2% during the 3rd quarter. Algebris UK Ltd. now owns 1,669,288 shares of the real estate investment trust’s stock valued at $20,500,000 after purchasing an additional 682,655 shares during the last quarter. 38.34% of the stock is owned by hedge funds and other institutional investors.

About Dynex Capital

Dynex Capital, Inc is a mortgage real estate investment trust (REIT) that specializes in acquiring and managing mortgage-related assets. The company’s primary business involves investing in residential mortgage-backed securities (RMBS), including agency-backed pools issued or guaranteed by government-sponsored entities such as Fannie Mae, Freddie Mac and Ginnie Mae, as well as selected non-agency RMBS. Dynex Capital seeks to generate net interest income by earning interest on its portfolio while employing leverage through secured repurchase agreements and other debt facilities.

In pursuing its investment objectives, Dynex Capital manages portfolio duration and interest rate exposures, with a focus on preserving capital and optimizing yield over the economic cycle.