AGNC Investment Corp. (AGNC) is in the limelight with the Federal Reserve's decision to begin an interest rate cut this month. The Fed has kept its influential lending rate at its highest level at 5.25-5.50% since 2001 to tame inflation. The inflation has been gradually cooling down.On Aug. 23, Fed Chairman Jerome Powell stated that the central bank has "ample room" to maneuver as policy enters its next phase. He stressed that the timing and speed of reduction will "depend on incoming data." With this, as p ...

Real estate stocks have struggled as interest rates rose over the past three years.With inflation mostly back under control, the Federal Reserve's attention has shifted toward the labor market, where the unemployment rate has inched higher in the past few months as job creation numbers slow.Last month, the unemployment rate triggered the "Sahm rule," which says when the three-month average of the unemployment rate rises half a percentage point above its low over the prior 12 months, the country is headed to ...

Both these stocks offer dividend yields at a double-digit percentage.Folks looking for a way to bulk up their passive income stream have lots of options, but many require more capital than the average investors can manage. Luckily, there are some ultra-high-yield dividend stocks that just about anyone can afford.AGNC Capital (AGNC 0.49%) and PennantPark Floating Rate Capital (PFLT 1.34%) offer an average yield of about 12.4% at recent prices. That means an investment of about $4,100 spread evenly among them ...

A high yield alone doesn't make a stock a good income investment, which AGNC Investment proves. Here are two better options.If you see a stock with a dividend yield exceeding 14%, you should immediately know you have to dig deeper. That is usually a sign that Wall Street views the investment as risky, which is why most investors will probably be better off avoiding AGNC Investment (AGNC 0.49%). But you'll likely find Realty Income (O 1.16%) and W.P. Carey (WPC 1.33%), both of which have yields just above 5% ...

Lower interest rates and tighter spread could propel the stock much higher.From June 2021 until the start of this year, AGNC Investment (AGNC 0.49%) had seen its stock decline steadily. This year, AGNC's stock price is up a modest 5%.So why would anyone predict that this perpetual underperformer will outperform the market over the next year? Let's delve into why I think AGNC's total return will outperform the market over the next year. But first, let's also look at why it has been underperforming the market ...

marinzolich/iStock via Getty Images AGNC Investment Corp. (NASDAQ:AGNC) reported its 2nd quarter results, announcing expected numbers amidst the bouncing and noisy financial markets. In the report, the company noted that NAV, net asset value, dropped once again from the almost predictable noise experienced during the quarter, falling from $8.85 to $8.40. Obviously, the bond markets haven't been stable in the last three years, experiencing more extreme noise from inflation signaling high rates than follo ...

Dividend Stocks Overview - Dividend stocks have historically outperformed non-payers, generating an average annual return of 9.17% over the last 50 years, compared to 4.27% for non-payers [2] - Dividend stocks were 6% less volatile than the S&P 500 over the same period, while non-payers were 18% more volatile [2] - High-yielding dividend stocks can sometimes be risky, as declining share prices can create unsustainable yields [3] AGNC Investment - AGNC Investment is a mortgage REIT with a current yield of 13.97% [5] - The company has delivered double-digit yields in 13 of the last 14 years [5] - AGNC's business model involves borrowing at low short-term rates to invest in higher-yielding long-term assets like mortgage-backed securities (MBS) [5] - The company is highly sensitive to interest rate changes and the velocity of those changes [5] - AGNC's performance is expected to improve as the Federal Reserve begins a rate-easing cycle, which should lower short-term borrowing costs and expand net interest margins [6][7] - AGNC's investment portfolio is primarily composed of agency MBS, with only $1 billion of its $66 billion portfolio in riskier assets, providing added protection against defaults [8] PennantPark Floating Rate Capital - PennantPark Floating Rate Capital is a small-cap BDC with a current yield of 11.15% [9] - The company focuses on investing in the debt of middle-market companies, with $1.45 billion of its $1.66 billion portfolio tied to debt securities [9] - Rising interest rates have benefited PennantPark, increasing the weighted average yield on its debt investments from 7.4% to 12.1% since September 2021 [10] - The company's debt portfolio is entirely variable-rate, allowing it to benefit from the Fed's rate hikes [11] - PennantPark has a low delinquency rate of 1.5% on a cost basis, reflecting strong vetting processes and principal protection [11] - The company's portfolio is highly diversified, with investments spread across 151 companies, ensuring no single investment is critical to its success [12] Investment Strategy - Investing $9,555 equally in AGNC Investment and PennantPark Floating Rate Capital could generate $100 in monthly dividend income, given their combined average yield of 12.56% [4]

It's not too late to buy 14%-plus-yielding AGNC Investment, but you'd better know why you're buying it or you could end up getting burned.AGNC Investment (AGNC -0.48%) is not an easy stock to understand. It's often viewed as an income investment because of its huge 14%-plus dividend yield. Only dividend investors have been let down by the company's long string of dividend cuts. You need to take a different view of AGNC if you want to buy it. Here's what you need to know about this niche real estate investme ...

A month has gone by since the last earnings report for AGNC Investment (AGNC) . Shares have lost about 1.9% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is AGNC Investment due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers. AGNC Investment Q2 Earnings Meet, Asset Yiel ...

t_kimura By Scott Kennedy, produced with Colorado Wealth Management Fund. AGNC Commentary Quarterly BV Fluctuation: Minor Underperformance (1.7% - 1.8% Variance). Net Spread and Dollar Roll Income (Expense) (Core Earnings/EAD Equivalent): Minor - Modest Underperformance (Low End of Range). A bit of an underperforming quarter regarding AGNC Investment’s (NASDAQ:AGNC) BV in my opinion (nothing overly “alarming”). AGNC recorded a minor - modest quarterly BV decrease versus my projected minor decrease. ...