AGNC Investment Corp. (AGNC, Financial) reported a tangible net book value per share of $8.25 as of March 31, 2025, marking a slight decrease of $0.16, or 1.9%, from $8.41 at the end of 2024. This decline was driven by a moderate widening of Agency MBS spreads over the quarter.
Despite broader market challenges and cautious investor sentiment due to potential governmental policy impacts on economic growth and inflation, AGNC achieved an economic return of 2.4% in the first quarter. The company's total stock return, including dividends reinvested, was particularly robust at 7.8% for the period.
The economic return on tangible common equity was bolstered by $0.36 in dividends per common share. Although there was a $0.16 reduction in tangible net book value per share, AGNC's anticipated portfolio returns have benefited from the wider spread environment. Additionally, net spread and dollar roll income reached $0.44 per common share, an increase from $0.37 in the previous quarter.
AGNC concluded the first quarter with a tangible 'at risk' leverage of 7.5x and maintained a significant liquidity position, boasting $6.0 billion in unencumbered cash and Agency MBS. This represented 63% of the company's tangible equity at the end of the quarter, reflecting a strong financial position despite market volatility.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 11 analysts, the average target price for AGNC Investment Corp (AGNC, Financial) is $9.95 with a high estimate of $11.00 and a low estimate of $8.25. The average target implies an upside of 21.99% from the current price of $8.16. More detailed estimate data can be found on the AGNC Investment Corp (AGNC) Forecast page.
Based on the consensus recommendation from 15 brokerage firms, AGNC Investment Corp's (AGNC, Financial) average brokerage recommendation is currently 2.2, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
