ARMOUR Residential REIT (NYSE:ARR) Hits New 1-Year Low – What’s Next?

ARMOUR Residential REIT, Inc. (NYSE:ARR) shares hit a new 52-week low during trading on Tuesday. The company traded as low as $12.13 and last traded at $12.2340, with a volume of 412,849 shares changing hands. The stock had previously closed at $12.41.

Analyst Ratings Changes

A number of brokerages have weighed in on ARR. JonesTrading decreased their price target on ARMOUR Residential REIT from $19.00 to $15.25 and set a “buy” rating for the company in a report on Thursday, October 22nd. Wall Street Zen lowered ARMOUR Residential REIT from a “sell” rating to a “strong sell” rating in a research report on Saturday, October 24th. B. Riley Financial decreased their target price on ARMOUR Residential REIT from $18.00 to $14.50 and set a “neutral” rating for the company in a research note on Friday, October 23rd. Zacks Research upgraded ARMOUR Residential REIT from a “strong sell” rating to a “hold” rating in a report on Tuesday, July 21st. Finally, Weiss Ratings lowered ARMOUR Residential REIT from a “sell (d+)” rating to a “sell (d)” rating in a research note on Friday, October 23rd. Two analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $16.56.

ARMOUR Residential REIT Stock Performance

The stock’s 50 day simple moving average is $14.35 and its 200 day simple moving average is $16.48. The firm has a market cap of $1.81 billion, a P/E ratio of -407.17 and a beta of 1.47.

ARMOUR Residential REIT (NYSE:ARR) last released its quarterly earnings data on Wednesday, October 21st. The real estate investment trust reported $0.71 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.71. The firm had revenue of $121.70 million for the quarter, compared to analyst estimates of $119.84 million. ARMOUR Residential REIT had a negative net margin of 5.09% and a positive return on equity of 15.90%. As a group, analysts forecast that ARMOUR Residential REIT, Inc. will post 2.88 EPS for the current fiscal year.

ARMOUR Residential REIT Dividend Announcement

The firm also recently announced a monthly dividend, which will be paid on Friday, November 27th. Investors of record on Monday, November 16th will be issued a $0.24 dividend. This represents a $2.88 dividend on an annualized basis and a dividend yield of 23.6%. The ex-dividend date is Monday, November 16th. ARMOUR Residential REIT’s dividend payout ratio is currently -9,600.00%.

Insider Buying and Selling at ARMOUR Residential REIT

In related news, Chairman Daniel Staton sold 35,583 shares of the firm’s stock in a transaction dated Thursday, September 10th. The shares were sold at an average price of $15.86, for a total value of $564,346.38. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 0.19% of the stock is owned by corporate insiders.

Institutional Trading of ARMOUR Residential REIT

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. State Street Corp lifted its holdings in shares of ARMOUR Residential REIT by 15.0% in the second quarter. State Street Corp now owns 4,745,078 shares of the real estate investment trust’s stock valued at $82,802,000 after purchasing an additional 619,020 shares in the last quarter. Bank of New York Mellon Corp purchased a new position in shares of ARMOUR Residential REIT during the second quarter valued at approximately $13,757,000. First Trust Advisors LP boosted its position in shares of ARMOUR Residential REIT by 234.6% during the first quarter. First Trust Advisors LP now owns 664,247 shares of the real estate investment trust’s stock valued at $11,080,000 after buying an additional 465,733 shares during the last quarter. Principal Financial Group Inc. grew its holdings in ARMOUR Residential REIT by 2.0% during the first quarter. Principal Financial Group Inc. now owns 543,935 shares of the real estate investment trust’s stock worth $9,073,000 after buying an additional 10,592 shares in the last quarter. Finally, Ascentis Wealth Management LLC grew its holdings in ARMOUR Residential REIT by 11.3% during the second quarter. Ascentis Wealth Management LLC now owns 395,000 shares of the real estate investment trust’s stock worth $6,893,000 after buying an additional 40,000 shares in the last quarter. 54.17% of the stock is owned by institutional investors.

ARMOUR Residential REIT Company Profile

ARMOUR Residential REIT, Inc is a real estate investment trust that invests primarily in residential mortgage-backed securities. Its portfolio generally consists of securities issued or guaranteed by U.S. government-sponsored enterprises, including Fannie Mae and Freddie Mac, or by U.S. government agencies such as Ginnie Mae.

The company invests in a range of agency mortgage securities, including fixed-rate and adjustable-rate mortgage pass-through securities, collateralized mortgage obligations, specified pools and to-be-announced securities.