AGNC INVESTMENT CORP (AGNC) Stock Fundamental Analysis
NASDAQ:AGNC - Nasdaq - US00123Q1040 - REIT - Currency: USD
AGNC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 65 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. AGNC has a medium profitability rating, but doesn't score so well on its financial health evaluation. AGNC has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year AGNC was profitable.
In the past year AGNC had a positive cash flow from operations.
In multiple years AGNC reported negative net income over the last 5 years.
AGNC had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of AGNC (0.83%) is better than 73.85% of its industry peers.
AGNC has a better Return On Equity (7.49%) than 86.15% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.78%, AGNC is in the better half of the industry, outperforming 63.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.83% | ||
| ROE | 7.49% | ||
| ROIC | 0.78% |
ROA(3y)-0.54%
ROA(5y)-0.22%
ROE(3y)-2.86%
ROE(5y)-1.11%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
AGNC has a Profit Margin of 18.72%. This is amongst the best in the industry. AGNC outperforms 83.08% of its industry peers.
AGNC's Profit Margin has declined in the last couple of years.
AGNC's Operating Margin of 22.11% is amongst the best of the industry. AGNC outperforms 81.54% of its industry peers.
AGNC's Operating Margin has been stable in the last couple of years.
AGNC's Gross Margin of 24.92% is in line compared to the rest of the industry. AGNC outperforms 52.31% of its industry peers.
AGNC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.11% | ||
| PM (TTM) | 18.72% | ||
| GM | 24.92% |
OM growth 3Y-35.43%
OM growth 5Y-1.27%
PM growth 3Y-35.92%
PM growth 5Y-2.73%
GM growth 3Y-35.24%
GM growth 5Y-1.15%
2. Health
2.1 Basic Checks
Compared to 1 year ago, AGNC has more shares outstanding
Compared to 5 years ago, AGNC has more shares outstanding
The debt/assets ratio for AGNC is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -1.06, we must say that AGNC is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -1.06, AGNC is doing worse than 96.92% of the companies in the same industry.
The Debt to FCF ratio of AGNC is 901.61, which is on the high side as it means it would take AGNC, 901.61 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 901.61, AGNC is doing worse than 66.15% of the companies in the same industry.
AGNC has a Debt/Equity ratio of 7.94. This is a high value indicating a heavy dependency on external financing.
AGNC has a Debt to Equity ratio of 7.94. This is in the lower half of the industry: AGNC underperforms 78.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.94 | ||
| Debt/FCF | 901.61 | ||
| Altman-Z | -1.06 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
AGNC has a Current Ratio of 0.01. This is a bad value and indicates that AGNC is not financially healthy enough and could expect problems in meeting its short term obligations.
AGNC has a worse Current ratio (0.01) than 90.77% of its industry peers.
AGNC has a Quick Ratio of 0.01. This is a bad value and indicates that AGNC is not financially healthy enough and could expect problems in meeting its short term obligations.
AGNC's Quick ratio of 0.01 is on the low side compared to the rest of the industry. AGNC is outperformed by 90.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.01 | ||
| Quick Ratio | 0.01 |
3. Growth
3.1 Past
AGNC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -27.10%.
The Earnings Per Share has been decreasing by -2.52% on average over the past years.
AGNC shows a strong growth in Revenue. In the last year, the Revenue has grown by 53.82%.
Measured over the past years, AGNC shows a small growth in Revenue. The Revenue has been growing by 5.98% on average per year.
EPS 1Y (TTM)-27.1%
EPS 3Y-14.16%
EPS 5Y-2.52%
EPS Q2Q%-38.33%
Revenue 1Y (TTM)53.82%
Revenue growth 3Y62.37%
Revenue growth 5Y5.98%
Sales Q2Q%542.31%
3.2 Future
The Earnings Per Share is expected to decrease by -5.91% on average over the next years.
Based on estimates for the next years, AGNC will show a very strong growth in Revenue. The Revenue will grow by 194.42% on average per year.
EPS Next Y-13.68%
EPS Next 2Y-7.47%
EPS Next 3Y-5.91%
EPS Next 5YN/A
Revenue Next Year1839.06%
Revenue Next 2Y336.32%
Revenue Next 3Y194.42%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
AGNC is valuated cheaply with a Price/Earnings ratio of 4.25.
Based on the Price/Earnings ratio, AGNC is valued cheaply inside the industry as 95.38% of the companies are valued more expensively.
AGNC is valuated cheaply when we compare the Price/Earnings ratio to 28.29, which is the current average of the S&P500 Index.
AGNC is valuated cheaply with a Price/Forward Earnings ratio of 4.92.
Based on the Price/Forward Earnings ratio, AGNC is valued cheaper than 93.85% of the companies in the same industry.
AGNC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.25 | ||
| Fwd PE | 4.92 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AGNC indicates a slightly more expensive valuation: AGNC is more expensive than 64.62% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 86.38 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
AGNC has a very decent profitability rating, which may justify a higher PE ratio.
AGNC's earnings are expected to decrease with -5.91% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-7.47%
EPS Next 3Y-5.91%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 17.27%, AGNC is a good candidate for dividend investing.
AGNC's Dividend Yield is a higher than the industry average which is at 14.90.
Compared to an average S&P500 Dividend Yield of 2.51, AGNC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.27% |
5.2 History
The dividend of AGNC decreases each year by -5.92%.
AGNC has been paying a dividend for at least 10 years, so it has a reliable track record.
AGNC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-5.92%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
169.77% of the earnings are spent on dividend by AGNC. This is not a sustainable payout ratio.
AGNC's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP169.77%
EPS Next 2Y-7.47%
EPS Next 3Y-5.91%
NASDAQ:AGNC (4/21/2025, 11:41:08 AM)
8.115
-0.22 (-2.7%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners41.92%
Inst Owner Change0.78%
Ins Owners0.48%
Ins Owner Change12.72%
Market Cap7.43B
Analysts78.1
Price Target10.5 (29.39%)
Short Float %6.7%
Short Ratio2.8
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.27% |
Yearly Dividend1.56
Dividend Growth(5Y)-5.92%
DP169.77%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.24%
Min EPS beat(2)-15.95%
Max EPS beat(2)-14.53%
EPS beat(4)0
Avg EPS beat(4)-8.77%
Min EPS beat(4)-15.95%
Max EPS beat(4)-0.92%
EPS beat(8)3
Avg EPS beat(8)-2.86%
EPS beat(12)7
Avg EPS beat(12)4.77%
EPS beat(16)11
Avg EPS beat(16)7.06%
Revenue beat(2)0
Avg Revenue beat(2)-90.28%
Min Revenue beat(2)-133.13%
Max Revenue beat(2)-47.42%
Revenue beat(4)0
Avg Revenue beat(4)-98.37%
Min Revenue beat(4)-133.13%
Max Revenue beat(4)-47.42%
Revenue beat(8)0
Avg Revenue beat(8)-93.91%
Revenue beat(12)1
Avg Revenue beat(12)-110.36%
Revenue beat(16)2
Avg Revenue beat(16)-88.14%
PT rev (1m)0%
PT rev (3m)-1.34%
EPS NQ rev (1m)1.7%
EPS NQ rev (3m)-6.87%
EPS NY rev (1m)0.76%
EPS NY rev (3m)-6.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)26.91%
Revenue NY rev (1m)0%
Revenue NY rev (3m)21.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.25 | ||
| Fwd PE | 4.92 | ||
| P/S | 1.9 | ||
| P/FCF | 86.38 | ||
| P/OCF | 86.38 | ||
| P/B | 0.76 | ||
| P/tB | 0.8 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.91
EY23.54%
EPS(NY)1.65
Fwd EY20.32%
FCF(TTM)0.09
FCFY1.16%
OCF(TTM)0.09
OCFY1.16%
SpS4.26
BVpS10.66
TBVpS10.09
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.83% | ||
| ROE | 7.49% | ||
| ROCE | 8.7% | ||
| ROIC | 0.78% | ||
| ROICexc | 0.78% | ||
| ROICexgc | 0.79% | ||
| OM | 22.11% | ||
| PM (TTM) | 18.72% | ||
| GM | 24.92% | ||
| FCFM | 2.2% |
ROA(3y)-0.54%
ROA(5y)-0.22%
ROE(3y)-2.86%
ROE(5y)-1.11%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-4.26%
ROICexcg growth 5Y9.59%
ROICexc growth 3Y-4.07%
ROICexc growth 5Y9.52%
OM growth 3Y-35.43%
OM growth 5Y-1.27%
PM growth 3Y-35.92%
PM growth 5Y-2.73%
GM growth 3Y-35.24%
GM growth 5Y-1.15%
F-Score6
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.94 | ||
| Debt/FCF | 901.61 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.3 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 11.76% | ||
| Current Ratio | 0.01 | ||
| Quick Ratio | 0.01 | ||
| Altman-Z | -1.06 |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-27.1%
EPS 3Y-14.16%
EPS 5Y-2.52%
EPS Q2Q%-38.33%
EPS Next Y-13.68%
EPS Next 2Y-7.47%
EPS Next 3Y-5.91%
EPS Next 5YN/A
Revenue 1Y (TTM)53.82%
Revenue growth 3Y62.37%
Revenue growth 5Y5.98%
Sales Q2Q%542.31%
Revenue Next Year1839.06%
Revenue Next 2Y336.32%
Revenue Next 3Y194.42%
Revenue Next 5YN/A
EBIT growth 1Y456.77%
EBIT growth 3Y4.84%
EBIT growth 5Y4.64%
EBIT Next Year33.61%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y172.88%
FCF growth 3Y-61.78%
FCF growth 5Y-40.77%
OCF growth 1Y172.88%
OCF growth 3Y-61.78%
OCF growth 5Y-40.77%