AGNC Investment Corp. (AGNC) – Stick with this stock for the long term

On December 03, 2019, AGNC Investment Corp. (NASDAQ:AGNC) shares lost -0.35% or -0.06 points to close at $17.3 with a thin trading volume of 4.569 million shares. It opened the trading session at $17.26, the shares rose to $17.3485 and dropped to $17.21, the range by which the price of stock traded the whole day. The company now has a market cap of $9.35 billion and currently has 540.61 million outstanding shares. AGNC Investment Corp. (AGNC) stock has accumulated 2 percent of market value in 21 trading days.

AGNC stock’s trailing 3-year beta is 0.26, meaning there will be a lower rate of return, although posing a lower risk. The part of a firm’s profit given to each outstanding share of regular stock was -$2.02 share in the trailing 52 weeks. The stock’s value fallen -1.37 percent year to date (YTD) compared to a decline of -2.26 percent in 52 week’s period. The firm’s shares are still trading -5.41 percent below its 1-year high of $18.29 and 19.23 percent up from 52-week low of $14.51. The average consensus ranking on the company is 2.7, on a ranging where 5 is equal to a consensus sell rating. In other words, the mean analyst recommendations are ranking this stock as a sell.

AGNC Investment Corp. (AGNC) is most likely going to rise -0.17 percent in the coming 12 months, as per price target approximations compiled by finviz. Nevertheless, they have set the price target at a $19-month high price target. This represents a whopping 9.83 percent increase from the current trading of shares. The 52-week median price target given by the analysts is $17, which means a return possibility of -1.73 percent in comparison with the closing price of the stock of $17.3 on December 03. The lowest price set for the stock is $16 — just above -7.51 percent from AGNC share price now.

Past records have indicated that shares in AGNC Investment Corp. rose on 21 different earnings reaction days and we have yet to see whether this trend will play out and remain in place when the company reports upcoming earnings. Investors will get the next hint of AGNC’s Q4 earnings on February 10. Analysts are predicting revenue to climb 50.1 percent to $279M in the financial fourth quarter, while EPS will soar by about 1.89 percent to $0.54 per share. In the last quarter, it earnings of $0.59 per share came better than the $0.50012, adjusted, expected by Thomson Reuters consensus estimate. Revenue for the quarter was $119M, missing the $280.17M analysts had expected. Earnings are seen to rise by -89.7 percent this year, 2.24 percent in the coming year and the trend continues by -1.72 percent every year in the next 5 years.

Let’s take a glimpse at some insider activity at AGNC Investment Corp. (NASDAQ:AGNC) and observe the pattern. The earliest insider trade happened on 11/05/2019. Davis Morris A. gathered a total of 7.35 thousand shares of the firm at average share price of $17.02. The total amount for the purchase was set at $125.1 thousand. On completing this exchange, the Director account balance was 25.95 thousand shares. The stock grew 2 percent from that insider purchase. On 05/24/2019, Kain Gary D, Director, CEO, and CIO, did a purchase of 103.2 thousand shares at a price of $16.93 per share. This increased 1.75 million shares to the insider’s fortune and the stock experienced a 2.54 percent rally in price since the news became public. This exchange saw 1.64 million shares get into the Director, CEO, and CIO account.

On 04/26/2019, Director Davis Morris A. recorded a sale transaction valued at $206.97 thousand. The sale at $17.94 a share has eliminated 11.54 thousand shares from the insider’s portfolio position. Meanwhile, shares price witnessed -3.23 percent decrease since the transaction reporting date. The company insider is left with 17.55 thousand shares remaining in the account. HARVEY LARRY K, who works as Director at the company, performed a purchase of 4 thousand shares in a transaction worth $70.96 thousand. The acquisition recorded on 10/30/2018 was priced at $17.74 per share. The stock price plunged -2.14 percent since the transaction. HARVEY LARRY K currently holds a stake of 58.78 thousand in AGNC stock which is worth $1.02 million after the insider buying.

The stock is lingering around the initial support level of $17.22. After this, the following support is at the zone of $17.15. Up until the time the AGNC stock hit levels beyond the current one, bulls should have no alarm. In terms of its momentum, the stock’s RSI hit 58.91 on the daily chart, and this may be a cause for concern. In case the price goes below $17.15 level on closing basis, there may be more profit booking with the stock growing weaker. Still, getting to the $17.36 level may cause a pull-back move approaching $17.42 mark.

AGNC Investment Corp. has a -77.4% gross profit margin. Alongside this, the company’s net profit margin currently stands at -87.8%.