Federal Agricultural Mortgage (NYSE:AGM) Trading 6.6% Higher Following Better-Than-Expected Earnings

Shares of Federal Agricultural Mortgage Co. (NYSE:AGM) were up 6.6% on Friday following a stronger than expected earnings report. The company traded as high as $206.15 and last traded at $208.50. Approximately 15,149 shares were traded during trading, a decline of 52% from the average daily volume of 31,388 shares. The stock had previously closed at $195.67.

The credit services provider reported $4.63 earnings per share for the quarter, beating analysts’ consensus estimates of $4.17 by $0.46. Federal Agricultural Mortgage had a return on equity of 20.14% and a net margin of 12.59%. The firm had revenue of $101.26 million during the quarter, compared to the consensus estimate of $92.81 million. During the same period in the prior year, the company posted $4.10 EPS.

Federal Agricultural Mortgage Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Friday, March 14th will be paid a dividend of $1.50 per share. This represents a $6.00 dividend on an annualized basis and a yield of 2.88%. This is an increase from Federal Agricultural Mortgage’s previous quarterly dividend of $1.40. The ex-dividend date is Friday, March 14th. Federal Agricultural Mortgage’s dividend payout ratio is presently 36.01%.

Insider Buying and Selling

In other Federal Agricultural Mortgage news, CEO Bradford T. Nordholm sold 5,073 shares of the company’s stock in a transaction on Thursday, December 5th. The stock was sold at an average price of $213.37, for a total transaction of $1,082,426.01. Following the completion of the sale, the chief executive officer now directly owns 41,104 shares in the company, valued at $8,770,360.48. This represents a 10.99 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 2.58% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Federal Agricultural Mortgage

A number of institutional investors have recently modified their holdings of the business. Thrivent Financial for Lutherans boosted its stake in Federal Agricultural Mortgage by 1,589.4% in the fourth quarter. Thrivent Financial for Lutherans now owns 356,001 shares of the credit services provider’s stock valued at $70,114,000 after buying an additional 334,928 shares in the last quarter. Raymond James Financial Inc. bought a new position in shares of Federal Agricultural Mortgage in the fourth quarter worth about $28,914,000. International Assets Investment Management LLC acquired a new stake in shares of Federal Agricultural Mortgage in the 3rd quarter valued at approximately $175,610,000. Principal Financial Group Inc. grew its holdings in shares of Federal Agricultural Mortgage by 10.3% during the 3rd quarter. Principal Financial Group Inc. now owns 319,701 shares of the credit services provider’s stock valued at $59,911,000 after purchasing an additional 29,917 shares during the last quarter. Finally, Captrust Financial Advisors increased its position in Federal Agricultural Mortgage by 12.4% during the 4th quarter. Captrust Financial Advisors now owns 255,198 shares of the credit services provider’s stock worth $50,261,000 after purchasing an additional 28,215 shares in the last quarter. Institutional investors and hedge funds own 68.03% of the company’s stock.

Federal Agricultural Mortgage Stock Performance

The company has a debt-to-equity ratio of 1.58, a quick ratio of 0.49 and a current ratio of 0.49. The firm has a market cap of $2.27 billion, a P/E ratio of 13.39, a P/E/G ratio of 1.59 and a beta of 1.08. The company’s 50 day moving average is $196.77 and its 200 day moving average is $194.42.

Federal Agricultural Mortgage Company Profile

Federal Agricultural Mortgage Corporation provides a secondary market for various loans made to borrowers in the United States. It operates through four segments: Corporate AgFinance, Farm & Ranch, Rural Utilities, and Renewable Energy. The company’s Agricultural Finance line of business engages in purchasing and retaining eligible loans and securities; guaranteeing the payment of principal and interest on securities that represent interests in or obligations secured by pools of eligible loans; servicing eligible loans; and issuing LTSPCs for eligible loans.