Will we stay at .80 or go lower? I see the price has dropped quite a bit lately I was wondering if this might be pricing itself for a lower dividend. Or it might drop more if the dividend is lowered? At almost 16% it seems like it is priced in here. Or is tax loss selling before they pay the dividend.
You KIDDING me??? That imbecile Gary Kain doesn't dare lower the dividend one more penny, or this stock will *TANK*. We know and he knows it. The dividend stays at .80.
Sentiment: Strong Buy
It would be tough to guess. I think that management is going to go with a dividend based on things other than just taxable income, so you can't just look at the last 4 quarters income and divide by four this time.
I think that they'll want to keep it stable at 80 cents.
If they are just making the decision off of earnings, it's looking like 50 cents.
Look at my reply to paul__the trust has a requirement to meet based on 2013 net taxable income. Even if they want to delay the required payout ($) amount they will have to 'declare' it before any extension filed (and granted) for fiscal year filing. Take note that a Trust similar to any business entity are required to make quarterly filings. A REIT must adopt a calendar year as its fiscal year unless it first qualified for REIT status before OCT 5, 1976.
So you see the 4th Qtr payout has almost nothing to do with 2014. Why do I say ‘almost nothing’__because again the req is “at least 90% net taxable income annually”. This does provide some flexibility. You intimated 2014 may be harder__so hold back. Is that possible?__since the bottom threshold is 90% annual. Actually it is (note again a REIT could actually payout over 100%). A Trust theoretically cannot retain GAAP earnings; as a corporation would. However, a corporate entity that transferred to REIT status could have retained earnings. Similarly assets attained by a REIT could have retained earnings.
I predict something in the range of $0.50 to $0.70. AGNC has no reason to try to pump the stock price with a high dividend, and needs to conserve cash. It would be better for AGNC to use their cash to repurchase shares if the stock tanks on a low dividend.
The lower price is in response to lower dividends. Until Agnc can stabilize the dividend there will be pressure. It appears that we are close to the dividend stabilizing.