Core Viewpoint - First Sabrepoint Capital Management LP has established a new position in Federal Agricultural Mortgage Corporation (Farmer Mac) by acquiring 44,500 shares valued at approximately $7.81 million, indicating a strategic investment in the agricultural finance sector [1][2]. Company Overview - Federal Agricultural Mortgage Corporation (Farmer Mac) provides a secondary market for agricultural and rural infrastructure loans in the United States [6]. - The company reported a total revenue of $402.4 million and a net income of $216 million for the trailing twelve months (TTM) [4]. - The dividend yield stands at 3.44%, with shares priced at $179.14 as of February 12, 2026 [4]. Financial Performance - Farmer Mac's outstanding business volume reached $31.1 billion, with net interest income increasing by 13% year over year to $98.5 million [10]. - Core earnings hit a record of $49.6 million, translating to $4.52 per diluted share, while the net effective spread reached a record $97.8 million [10]. - Despite a 7.85% decline in share price over the past year, the company has outperformed the S&P 500 by 20.75 percentage points [8][10]. Investment Implications - The new position represents 3.01% of First Sabrepoint's 13F reportable assets under management, suggesting confidence in Farmer Mac's growth potential [8]. - The company's secondary market model, which includes farm and ranch, rural utilities, broadband, and renewable energy, provides credit exposure tied to essential infrastructure rather than consumer spending [11]. - Farmer Mac maintains a strong balance sheet with $1.7 billion in core capital and a Tier 1 ratio of 13.9%, indicating financial stability [11].