Federal Agricultural Mortgage (NYSE:AGM) Shares Up 6.6% After Better-Than-Expected Earnings

Federal Agricultural Mortgage Co. (NYSE:AGM)’s share price rose 6.6% during mid-day trading on Friday following a stronger than expected earnings report. The company traded as high as $206.15 and last traded at $208.50. Approximately 15,149 shares were traded during trading, a decline of 52% from the average daily volume of 31,388 shares. The stock had previously closed at $195.67.

The credit services provider reported $4.63 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.17 by $0.46. The business had revenue of $101.26 million during the quarter, compared to the consensus estimate of $92.81 million. Federal Agricultural Mortgage had a net margin of 12.59% and a return on equity of 20.14%. During the same period last year, the business posted $4.10 EPS.

Federal Agricultural Mortgage Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 31st. Investors of record on Friday, March 14th will be issued a dividend of $1.50 per share. The ex-dividend date is Friday, March 14th. This is a positive change from Federal Agricultural Mortgage’s previous quarterly dividend of $1.40. This represents a $6.00 dividend on an annualized basis and a dividend yield of 2.88%. Federal Agricultural Mortgage’s payout ratio is presently 36.01%.

Insider Buying and Selling at Federal Agricultural Mortgage

In other Federal Agricultural Mortgage news, CEO Bradford T. Nordholm sold 5,073 shares of the firm’s stock in a transaction that occurred on Thursday, December 5th. The shares were sold at an average price of $213.37, for a total transaction of $1,082,426.01. Following the completion of the sale, the chief executive officer now directly owns 41,104 shares in the company, valued at $8,770,360.48. This trade represents a 10.99 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Insiders own 2.58% of the company’s stock.

Hedge Funds Weigh In On Federal Agricultural Mortgage

Several institutional investors and hedge funds have recently made changes to their positions in the company. Blue Trust Inc. bought a new stake in Federal Agricultural Mortgage in the 4th quarter valued at $25,000. Point72 DIFC Ltd lifted its holdings in shares of Federal Agricultural Mortgage by 180.0% during the third quarter. Point72 DIFC Ltd now owns 364 shares of the credit services provider’s stock worth $68,000 after buying an additional 234 shares in the last quarter. Venturi Wealth Management LLC bought a new stake in shares of Federal Agricultural Mortgage in the fourth quarter valued at about $100,000. Parkside Financial Bank & Trust grew its stake in shares of Federal Agricultural Mortgage by 7.0% in the fourth quarter. Parkside Financial Bank & Trust now owns 1,004 shares of the credit services provider’s stock valued at $198,000 after acquiring an additional 66 shares in the last quarter. Finally, US Bancorp DE increased its position in Federal Agricultural Mortgage by 7.3% during the third quarter. US Bancorp DE now owns 1,106 shares of the credit services provider’s stock worth $207,000 after acquiring an additional 75 shares during the period. Institutional investors and hedge funds own 68.03% of the company’s stock.

Federal Agricultural Mortgage Trading Up 6.4 %

The company has a debt-to-equity ratio of 1.58, a current ratio of 0.49 and a quick ratio of 0.49. The firm has a market capitalization of $2.27 billion, a P/E ratio of 13.39, a price-to-earnings-growth ratio of 1.59 and a beta of 1.08. The business’s 50-day moving average is $196.77 and its 200 day moving average is $194.42.

Federal Agricultural Mortgage Company Profile

Federal Agricultural Mortgage Corporation provides a secondary market for various loans made to borrowers in the United States. It operates through four segments: Corporate AgFinance, Farm & Ranch, Rural Utilities, and Renewable Energy. The company’s Agricultural Finance line of business engages in purchasing and retaining eligible loans and securities; guaranteeing the payment of principal and interest on securities that represent interests in or obligations secured by pools of eligible loans; servicing eligible loans; and issuing LTSPCs for eligible loans.