Zacks Investment Research upgraded shares of Orchid Island Capital (NYSE:ORC) from a hold rating to a buy rating in a report released on Friday morning. They currently have $8.00 price target on the real estate investment trust’s stock.
According to Zacks, “Orchid Island Capital, Inc. is a specialty finance company that invests in residential mortgage-backed securities the principal and interest payments of which are guaranteed by a U.S. Government agency or a U.S. Government-sponsored entity. The Company intends to qualify and will elect to be taxed as a REIT commencing with its taxable year ending December 31, 2013. Orchid Island Capital, Inc. is based in United States. “
Separately, ValuEngine cut shares of Orchid Island Capital from a sell rating to a strong sell rating in a research note on Wednesday, May 2nd.
Shares of ORC opened at $7.22 on Friday. The company has a market capitalization of $383.37 million, a PE ratio of 8.60 and a beta of 0.32. Orchid Island Capital has a 12-month low of $6.77 and a 12-month high of $10.64.
Orchid Island Capital (NYSE:ORC) last announced its quarterly earnings data on Friday, April 27th. The real estate investment trust reported ($0.31) earnings per share (EPS) for the quarter, missing the Thomson Reuters’ consensus estimate of $0.35 by ($0.66). research analysts expect that Orchid Island Capital will post 1.49 earnings per share for the current fiscal year.
Orchid Island Capital declared that its Board of Directors has approved a stock repurchase program on Thursday, February 8th that permits the company to repurchase 4,520,000 shares. This repurchase authorization permits the real estate investment trust to purchase shares of its stock through open market purchases. Stock repurchase programs are usually an indication that the company’s board of directors believes its stock is undervalued.
The company also recently announced a monthly dividend, which will be paid on Thursday, May 10th. Shareholders of record on Monday, April 30th will be issued a $0.09 dividend. This represents a $1.08 annualized dividend and a dividend yield of 14.96%. The ex-dividend date is Friday, April 27th. Orchid Island Capital’s payout ratio is 128.57%.
Several institutional investors and hedge funds have recently made changes to their positions in the business. Schwab Charles Investment Management Inc. boosted its holdings in shares of Orchid Island Capital by 14.4% in the first quarter. Schwab Charles Investment Management Inc. now owns 105,867 shares of the real estate investment trust’s stock worth $781,000 after buying an additional 13,300 shares during the period. Wells Fargo & Company MN boosted its holdings in shares of Orchid Island Capital by 28.4% in the first quarter. Wells Fargo & Company MN now owns 52,846 shares of the real estate investment trust’s stock worth $389,000 after buying an additional 11,678 shares during the period. MetLife Investment Advisors LLC acquired a new position in shares of Orchid Island Capital in the fourth quarter worth about $199,000. Millennium Management LLC acquired a new position in shares of Orchid Island Capital in the fourth quarter worth about $252,000. Finally, Teachers Advisors LLC boosted its holdings in shares of Orchid Island Capital by 16.7% in the fourth quarter. Teachers Advisors LLC now owns 78,493 shares of the real estate investment trust’s stock worth $728,000 after buying an additional 11,248 shares during the period. Institutional investors own 28.81% of the company’s stock.
About Orchid Island Capital
Orchid Island Capital, Inc, a specialty finance company, invests in residential mortgage-backed securities (RMBS) in the United States. The company's RMBS are backed primarily by single-family residential mortgage loans, referred as Agency RMBS. Its portfolio includes traditional pass-through Agency RMBS; and structured Agency RMBS, including collateralized mortgage obligations, interest only securities, inverse interest only securities, and principal only securities.
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