AGNC INVESTMENT CORP (AGNC) Stock Fundamental Analysis
NASDAQ:AGNC - Nasdaq - US00123Q1040 - REIT - Currency: USD
Overall AGNC gets a fundamental rating of 3 out of 10. We evaluated AGNC against 67 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 correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AGNC was profitable.
AGNC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: AGNC reported negative net income in multiple years.
Of the past 5 years AGNC 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 0.35%, AGNC perfoms like the industry average, outperforming 49.25% of the companies in the same industry.
AGNC has a Return On Equity (3.33%) which is comparable to the rest of the industry.
With a Return On Invested Capital value of 0.40%, AGNC perfoms like the industry average, outperforming 53.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.35% | ||
| ROE | 3.33% | ||
| ROIC | 0.4% |
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's Profit Margin of 9.46% is fine compared to the rest of the industry. AGNC outperforms 64.18% of its industry peers.
AGNC's Profit Margin has declined in the last couple of years.
AGNC has a better Operating Margin (13.31%) than 67.16% of its industry peers.
AGNC's Operating Margin has been stable in the last couple of years.
AGNC has a Gross Margin (16.54%) which is comparable to the rest of the industry.
AGNC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.31% | ||
| PM (TTM) | 9.46% | ||
| GM | 16.54% |
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
AGNC has more shares outstanding than it did 5 years ago.
AGNC has a worse debt/assets ratio than last year.
2.2 Solvency
AGNC has an Altman-Z score of -1.07. This is a bad value and indicates that AGNC is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of AGNC (-1.07) is worse than 95.52% of its industry peers.
AGNC has a debt to FCF ratio of 323.18. This is a negative value and a sign of low solvency as AGNC would need 323.18 years to pay back of all of its debts.
The Debt to FCF ratio of AGNC (323.18) is worse than 64.18% of its industry peers.
AGNC has a Debt/Equity ratio of 8.30. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of AGNC (8.30) is worse than 77.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.3 | ||
| Debt/FCF | 323.18 | ||
| Altman-Z | -1.07 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
AGNC has a Current Ratio of 0.02. This is a bad value and indicates that AGNC is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.02, AGNC is doing worse than 88.06% of the companies in the same industry.
A Quick Ratio of 0.02 indicates that AGNC may have some problems paying its short term obligations.
AGNC's Quick ratio of 0.02 is on the low side compared to the rest of the industry. AGNC is outperformed by 88.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.02 | ||
| Quick Ratio | 0.02 |
3. Growth
3.1 Past
AGNC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -31.36%.
Measured over the past years, AGNC shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.52% on average per year.
The Revenue has grown by 53.82% in the past year. This is a very strong growth!
The Revenue has been growing slightly by 5.98% on average over the past years.
EPS 1Y (TTM)-31.36%
EPS 3Y-14.16%
EPS 5Y-2.52%
EPS Q2Q%-28.3%
Revenue 1Y (TTM)53.82%
Revenue growth 3Y62.37%
Revenue growth 5Y5.98%
Sales Q2Q%5500%
3.2 Future
Based on estimates for the next years, AGNC will show a decrease in Earnings Per Share. The EPS will decrease by -5.57% on average per year.
Based on estimates for the next years, AGNC will show a very strong growth in Revenue. The Revenue will grow by 201.74% on average per year.
EPS Next Y-11.58%
EPS Next 2Y-7.38%
EPS Next 3Y-5.57%
EPS Next 5YN/A
Revenue Next Year1981.96%
Revenue Next 2Y404.27%
Revenue Next 3Y201.74%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 5.78, the valuation of AGNC can be described as very cheap.
AGNC's Price/Earnings ratio is rather cheap when compared to the industry. AGNC is cheaper than 92.54% of the companies in the same industry.
AGNC is valuated cheaply when we compare the Price/Earnings ratio to 27.53, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 5.72, the valuation of AGNC can be described as very cheap.
92.54% of the companies in the same industry are more expensive than AGNC, based on the Price/Forward Earnings ratio.
AGNC is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.71, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.78 | ||
| Fwd PE | 5.72 |
4.2 Price Multiples
AGNC's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.06 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as AGNC's earnings are expected to decrease with -5.57% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-7.38%
EPS Next 3Y-5.57%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 15.60%, AGNC is a good candidate for dividend investing.
AGNC's Dividend Yield is rather good when compared to the industry average which is at 11.97. AGNC pays more dividend than 85.07% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, AGNC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.6% |
5.2 History
The dividend of AGNC decreases each year by -5.92%.
AGNC has paid a dividend for at least 10 years, which is a reliable track record.
AGNC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-5.92%
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
AGNC pays out 395.81% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of AGNC has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP395.81%
EPS Next 2Y-7.38%
EPS Next 3Y-5.57%
9.37
+0.14 (+1.52%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners41.88%
Inst Owner Change10.98%
Ins Owners0.38%
Ins Owner Change8.78%
Market Cap9.56B
Analysts78.1
Price Target9.87 (5.34%)
Short Float %5.76%
Short Ratio2.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.6% |
Yearly Dividend1.56
Dividend Growth(5Y)-5.92%
DP395.81%
Div Incr Years1
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.53%
Min EPS beat(2)-14.53%
Max EPS beat(2)7.47%
EPS beat(4)1
Avg EPS beat(4)-6.68%
Min EPS beat(4)-15.95%
Max EPS beat(4)7.47%
EPS beat(8)3
Avg EPS beat(8)-2.58%
EPS beat(12)7
Avg EPS beat(12)4.43%
EPS beat(16)11
Avg EPS beat(16)6.38%
Revenue beat(2)0
Avg Revenue beat(2)-49.72%
Min Revenue beat(2)-52.02%
Max Revenue beat(2)-47.42%
Revenue beat(4)0
Avg Revenue beat(4)-84.58%
Min Revenue beat(4)-133.13%
Max Revenue beat(4)-47.42%
Revenue beat(8)0
Avg Revenue beat(8)-97.85%
Revenue beat(12)1
Avg Revenue beat(12)-90.88%
Revenue beat(16)1
Avg Revenue beat(16)-106.22%
PT rev (1m)1.43%
PT rev (3m)-6.01%
EPS NQ rev (1m)-0.19%
EPS NQ rev (3m)3.85%
EPS NY rev (1m)-0.26%
EPS NY rev (3m)2.43%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)14.96%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)7.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.78 | ||
| Fwd PE | 5.72 | ||
| P/S | 2.71 | ||
| P/FCF | 37.06 | ||
| P/OCF | 37.06 | ||
| P/B | 0.95 | ||
| P/tB | 1 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.62
EY17.29%
EPS(NY)1.64
Fwd EY17.49%
FCF(TTM)0.25
FCFY2.7%
OCF(TTM)0.25
OCFY2.7%
SpS3.46
BVpS9.84
TBVpS9.33
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.35% | ||
| ROE | 3.33% | ||
| ROCE | 4.62% | ||
| ROIC | 0.4% | ||
| ROICexc | 0.4% | ||
| ROICexgc | 0.4% | ||
| OM | 13.31% | ||
| PM (TTM) | 9.46% | ||
| GM | 16.54% | ||
| FCFM | 7.31% |
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-Score4
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.3 | ||
| Debt/FCF | 323.18 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 77.25% | ||
| Current Ratio | 0.02 | ||
| Quick Ratio | 0.02 | ||
| Altman-Z | -1.07 |
F-Score4
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)-31.36%
EPS 3Y-14.16%
EPS 5Y-2.52%
EPS Q2Q%-28.3%
EPS Next Y-11.58%
EPS Next 2Y-7.38%
EPS Next 3Y-5.57%
EPS Next 5YN/A
Revenue 1Y (TTM)53.82%
Revenue growth 3Y62.37%
Revenue growth 5Y5.98%
Sales Q2Q%5500%
Revenue Next Year1981.96%
Revenue Next 2Y404.27%
Revenue Next 3Y201.74%
Revenue Next 5YN/A
EBIT growth 1Y-37.25%
EBIT growth 3Y4.84%
EBIT growth 5Y4.64%
EBIT Next Year33.61%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-61.38%
FCF growth 3Y-61.78%
FCF growth 5Y-40.77%
OCF growth 1Y-61.38%
OCF growth 3Y-61.78%
OCF growth 5Y-40.77%