American Capital Mortgage Investment Corp. (NASDAQ: MTGE) is one of 38 public companies in the “Mortgage REITs” industry, but how does it weigh in compared to its rivals? We will compare American Capital Mortgage Investment Corp. to related companies based on the strength of its institutional ownership, profitability, earnings, risk, analyst recommendations, valuation and dividends.

Analyst Ratings

This is a breakdown of current recommendations for American Capital Mortgage Investment Corp. and its rivals, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
American Capital Mortgage Investment Corp. 0 1 3 0 2.75
American Capital Mortgage Investment Corp. Competitors 199 1033 915 41 2.36

American Capital Mortgage Investment Corp. presently has a consensus price target of $20.00, indicating a potential upside of 4.44%. As a group, “Mortgage REITs” companies have a potential upside of 3.64%. Given American Capital Mortgage Investment Corp.’s stronger consensus rating and higher probable upside, equities analysts plainly believe American Capital Mortgage Investment Corp. is more favorable than its rivals.

Volatility and Risk

American Capital Mortgage Investment Corp. has a beta of 0.48, meaning that its stock price is 52% less volatile than the S&P 500. Comparatively, American Capital Mortgage Investment Corp.’s rivals have a beta of 0.72, meaning that their average stock price is 28% less volatile than the S&P 500.

Profitability

This table compares American Capital Mortgage Investment Corp. and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
American Capital Mortgage Investment Corp. 104.38% 10.40% 1.77%
American Capital Mortgage Investment Corp. Competitors 49.20% 10.70% 2.78%

Valuation and Earnings

This table compares American Capital Mortgage Investment Corp. and its rivals gross revenue, earnings per share (EPS) and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
American Capital Mortgage Investment Corp. $158.84 million N/A 8.63
American Capital Mortgage Investment Corp. Competitors $320.94 million $123.24 million 1.59

American Capital Mortgage Investment Corp.’s rivals have higher revenue and earnings than American Capital Mortgage Investment Corp.. American Capital Mortgage Investment Corp. is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Dividends

American Capital Mortgage Investment Corp. pays an annual dividend of $1.80 per share and has a dividend yield of 9.4%. American Capital Mortgage Investment Corp. pays out 81.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Mortgage REITs” companies pay a dividend yield of 10.2% and pay out 80.6% of their earnings in the form of a dividend. American Capital Mortgage Investment Corp. lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Institutional and Insider Ownership

73.9% of American Capital Mortgage Investment Corp. shares are owned by institutional investors. Comparatively, 58.1% of shares of all “Mortgage REITs” companies are owned by institutional investors. 1.1% of American Capital Mortgage Investment Corp. shares are owned by company insiders. Comparatively, 3.3% of shares of all “Mortgage REITs” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

American Capital Mortgage Investment Corp. rivals beat American Capital Mortgage Investment Corp. on 8 of the 14 factors compared.

About American Capital Mortgage Investment Corp.

MTGE Investment Corp., formerly American Capital Mortgage Investment Corp., is a real estate investment trust. The Company invests in, finances and manages a leveraged portfolio of real estate-related investments, which include agency residential mortgage-backed securities (RMBS), non-agency securities, other mortgage-related investments and other real estate investments. Agency RMBS includes residential mortgage pass-through certificates and collateralized mortgage obligations (CMOs) structured from residential mortgage pass-through certificates for which the principal and interest payments are guaranteed by a government-sponsored enterprise (GSE), or by a United States Government agency, such as Government National Mortgage Association (Ginnie Mae). Non-agency securities include securities backed by residential mortgages that are not guaranteed by a GSE or the United States Government agency, and credit risk transfer securities (CRT). The Company’s manager is MTGE Management, LLC.

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