AG Mortgage Investment Trust (NYSE:MITT) Releases Quarterly Earnings Results, Misses Expectations By $0.06 EPS

AG Mortgage Investment Trust (NYSE:MITT) posted its earnings results on Wednesday. The real estate investment trust reported $0.21 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.27 by ($0.06), FiscalAI reports. AG Mortgage Investment Trust had a net margin of 8.55% and a return on equity of 15.59%.

Here are the key takeaways from AG Mortgage Investment Trust’s conference call:

• Book value fell 7.3% to $9.27 per share as September’s rate and spread volatility drove mark-to-market losses; including the $0.24 dividend, economic return was negative 4.9%. EAD was $0.21 per share, below the dividend.
• MITT sponsored three home-equity securitizations totaling about $1.25 billion and increased economic leverage only modestly, to roughly 2.0x. Management is prioritizing home equity, citing its relative appeal to borrowers who want to retain low-rate first mortgages.
• Management reported progress resolving legacy commercial loans, with a hospitality buyer deposit secured and a buyer selected for the retail exposure. It expects redeploying proceeds into residential investments to add approximately $0.15–$0.20 of annual EAD in 2027, depending on timing.
• Arc Home originated about $1 billion, up 19% year over year, but contributed roughly break-even EAD as September volatility offset earlier profitability. Management said the outlook remains uncertain, while home-equity originations at Arc are beginning to ramp.
• The proposed Cherry Hill merger advanced, with the joint proxy statement and prospectus filed and shareholder meetings expected in December. MITT incurred about $2 million in transaction expenses during the quarter.

AG Mortgage Investment Trust Stock Down 2.0%

AG Mortgage Investment Trust stock traded down $0.12 during mid-day trading on Wednesday, reaching $5.55. The company had a trading volume of 296,275 shares, compared to its average volume of 267,247. AG Mortgage Investment Trust has a 52 week low of $5.20 and a 52 week high of $9.27. The company has a 50 day moving average of $6.02 and a 200-day moving average of $7.34. The firm has a market cap of $176.65 million, a price-to-earnings ratio of 7.49 and a beta of 1.78.

AG Mortgage Investment Trust Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, October 30th. Investors of record on Wednesday, September 30th were paid a dividend of $0.24 per share. This represents a $0.96 annualized dividend and a yield of 17.3%. The ex-dividend date was Wednesday, September 30th. AG Mortgage Investment Trust’s dividend payout ratio is presently 129.73%.

Analyst Ratings Changes

A number of research firms have weighed in on MITT. Weiss Ratings lowered shares of AG Mortgage Investment Trust from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Thursday, October 8th. Citizens Jmp lowered their price target on AG Mortgage Investment Trust from $9.25 to $8.50 and set a “market outperform” rating on the stock in a research report on Thursday, October 15th. Citigroup reiterated a “market outperform” rating on shares of AG Mortgage Investment Trust in a research note on Thursday, October 15th. Piper Sandler cut their price objective on AG Mortgage Investment Trust from $9.00 to $8.00 and set an “overweight” rating for the company in a research report on Friday, October 9th. Finally, JonesTrading decreased their target price on AG Mortgage Investment Trust from $9.00 to $8.00 and set a “buy” rating for the company in a research note on Monday, August 10th. Five research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $8.54.

AG Mortgage Investment Trust Company Profile

AG Mortgage Investment Trust, Inc is a real estate investment trust that invests primarily in residential mortgage-related assets. The company seeks to generate income through a portfolio that may include agency and non-agency residential mortgage-backed securities, residential mortgage loans, mortgage servicing rights and other housing-related investments.

AG Mortgage Investment Trust’s investment activities are focused mainly on the U.S. residential mortgage market. Its portfolio may include loans and securities backed by a range of residential properties and borrowers, providing exposure to different segments of the housing and mortgage finance sectors.

Founded in 2011, the company is externally managed by AG REIT Management, LLC, an affiliate of Angelo Gordon, an alternative investment firm.