Federal Agricultural Mortgage (NYSE:AGM) Shares Gap Down – What’s Next?

Federal Agricultural Mortgage Corporation (NYSE:AGM)’s stock price gapped down before the market opened on Monday. The stock had previously closed at $197.97, but opened at $183.42. Federal Agricultural Mortgage shares last traded at $181.8130, with a volume of 3,932 shares trading hands.

Analysts Set New Price Targets

A number of brokerages recently issued reports on AGM. Keefe, Bruyette & Woods increased their price target on shares of Federal Agricultural Mortgage from $228.00 to $255.00 and gave the stock an “outperform” rating in a report on Monday, August 3rd. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Federal Agricultural Mortgage in a report on Friday, September 25th. Finally, Zacks Research downgraded shares of Federal Agricultural Mortgage from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, September 29th. One investment analyst has rated the stock with a Buy rating and two have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Federal Agricultural Mortgage presently has a consensus rating of “Hold” and an average price target of $255.00.

Federal Agricultural Mortgage Stock Up 1.1%

The company has a market cap of $1.98 billion, a price-to-earnings ratio of 9.63, a PEG ratio of 0.68 and a beta of 1.02. The business has a fifty day moving average of $211.65 and a two-hundred day moving average of $189.59. The company has a current ratio of 0.56, a quick ratio of 0.56 and a debt-to-equity ratio of 1.82.

Federal Agricultural Mortgage (NYSE:AGM) last issued its quarterly earnings data on Thursday, November 5th. The credit services provider reported $4.82 EPS for the quarter, missing the consensus estimate of $5.20 by ($0.38). The business had revenue of $125.25 million during the quarter, compared to analyst estimates of $121.29 million. Federal Agricultural Mortgage had a net margin of 28.88% and a return on equity of 19.22%. As a group, equities analysts anticipate that Federal Agricultural Mortgage Corporation will post 20.45 EPS for the current fiscal year.

Federal Agricultural Mortgage Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Tuesday, September 15th were paid a $1.60 dividend. The ex-dividend date of this dividend was Tuesday, September 15th. This represents a $6.40 dividend on an annualized basis and a yield of 3.5%. Federal Agricultural Mortgage’s dividend payout ratio (DPR) is currently 33.86%.

Institutional Investors Weigh In On Federal Agricultural Mortgage

Several institutional investors and hedge funds have recently added to or reduced their stakes in AGM. Huntington Bancshares Inc. MD acquired a new position in Federal Agricultural Mortgage during the second quarter worth $2,340,508,000. Wellington Management Group LLP grew its position in shares of Federal Agricultural Mortgage by 3.1% in the second quarter. Wellington Management Group LLP now owns 327,881 shares of the credit services provider’s stock valued at $65,337,000 after purchasing an additional 9,809 shares during the period. Principal Financial Group Inc. grew its position in shares of Federal Agricultural Mortgage by 12.7% in the first quarter. Principal Financial Group Inc. now owns 351,330 shares of the credit services provider’s stock valued at $52,123,000 after purchasing an additional 39,702 shares during the period. Rice Hall James & Associates LLC grew its position in shares of Federal Agricultural Mortgage by 2.0% in the first quarter. Rice Hall James & Associates LLC now owns 114,705 shares of the credit services provider’s stock valued at $17,016,000 after purchasing an additional 2,281 shares during the period. Finally, Empowered Funds LLC grew its position in shares of Federal Agricultural Mortgage by 55.5% in the first quarter. Empowered Funds LLC now owns 96,341 shares of the credit services provider’s stock valued at $14,292,000 after purchasing an additional 34,375 shares during the period. Hedge funds and other institutional investors own 68.03% of the company’s stock.

Federal Agricultural Mortgage Company Profile

Federal Agricultural Mortgage Corporation, known as Farmer Mac, operates a secondary market that helps provide liquidity to lenders serving U.S. agriculture and rural communities. Established by Congress under the Agricultural Credit Act of 1987, the company purchases eligible loans and provides guarantees and other financing solutions to lending institutions.

Farmer Mac’s offerings support loans for farms and ranches, rural utilities and infrastructure, and other eligible rural borrowers.