Dynex Capital (DX) might move higher on growing optimism about its earnings prospects, which is reflected by its upgrade to a Zacks Rank #2 (Buy).
Two Harbors (TWO), Tanger (SKT) and Dynex (DX) are three real estate stocks to look into as mortgage rates fall on imminent rate cuts.
Two Harbors (TWO), Tanger (SKT) and Dynex (DX) are three real estate stocks to look into as mortgage rates fall on the Fed's rate-cut indications.
Quarterly BV decrease was as expected, with a slight underperformance due to a larger investment portfolio increase than anticipated. DX's core earnings/EAD outperformed expectations, leading to a 2.5% recommendation range upgrade. DX's hedging coverage ratio decreased slightly, but dividend stability is expected to remain over the foreseeable future.
24/7 Wall St. Insights Stocks that pay above-average dividends can be the key to big total return gains.
Mortgage REITs like Dynex Capital are becoming more attractive for passive income investors in a lower-rate environment. Dynex Capital focuses on Agency residential mortgage-backed securities, poised to benefit from falling interest rates. With a 12.8% dividend yield and potential for increased valuations, Dynex Capital is recommended for passive income investors in the current market.
Dynex Capital, Inc. (NYSE:DX ) Q2 2024 Earnings Conference Call July 22, 2024 10:00 AM ET Company Participants Alison Griffin - Vice President, Investor Relations Byron Boston - Chairman and Co-Chief Executive Officer Rob Colligan - Executive Vice President, Chief Financial Officer and Chief Operating Officer Smriti Popenoe - President, Co-Chief Executive Officer and Chief Investment Officer Conference Call Participants Jason Weaver - Jones Trading Eric Hagen - BTIG George Bose - KBW Doug Harter - UBS Jason Stewart - Janney Operator Thank you for standing by. My name is Eric and I will be your conference operator today.
The U.S. interest rate environment is highly uncertain and though we might see lower interest rates in late 2024, there's no way to be sure.. Although I hold a specific view of interest rates, many might disagree.
We think Dynex, Inc.'s asset-liability relationship has improved since our latest coverage. Asset-level returns might be sustained by rising risks in the mortgage space. Receding repo rates might assist DX's funding costs.