Comparing Dynex Capital (NYSE:DX) & AGNC Investment (NASDAQ:AGNCZ)

AGNC Investment (NASDAQ:AGNCZ) and Dynex Capital (NYSE:DX) are both real estate companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, analyst recommendations, valuation, institutional ownership, dividends, risk and profitability.

Valuation and Earnings

This table compares AGNC Investment and Dynex Capital”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AGNC Investment	$1.60 billion	N/A	N/A	N/A	N/A
Dynex Capital	$533.52 million	5.24	$319.07 million	$1.69	7.70

Dynex Capital has lower revenue, but higher earnings than AGNC Investment.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for AGNC Investment and Dynex Capital, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AGNC Investment	0	0	0	0	0.00
Dynex Capital	0	2	2	0	2.50

Dynex Capital has a consensus price target of $14.69, suggesting a potential upside of 12.94%. Given Dynex Capital’s stronger consensus rating and higher probable upside, analysts plainly believe Dynex Capital is more favorable than AGNC Investment.

Profitability

This table compares AGNC Investment and Dynex Capital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AGNC Investment	N/A	N/A	N/A
Dynex Capital	34.75%	7.86%	0.97%

Insider and Institutional Ownership

38.3% of Dynex Capital shares are owned by institutional investors. 0.8% of Dynex Capital shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Dynex Capital beats AGNC Investment on 8 of the 9 factors compared between the two stocks.

About Dynex Capital

Dynex Capital, Inc., a mortgage real estate investment trust, invests in mortgage-backed securities (MBS) on a leveraged basis in the United States. It invests in agency and non-agency MBS consisting of residential MBS, commercial MBS (CMBS), and CMBS interest-only securities. Agency MBS have a guaranty of principal payment by an agency of the U.S. government or a U.S. government-sponsored entity, such as Fannie Mae and Freddie Mac. Non-Agency MBS have no such guaranty of payment. The company has qualified as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal income taxes if it distributes at least 90% of its taxable income to its stockholders as dividends. Dynex Capital, Inc. was incorporated in 1987 and is headquartered in Glen Allen, Virginia.