UPDATE: Compass Point Downgrades American Capital Mortgage to Hold on Outlook
Compass Point reduced its rating on American Capital Mortgage (NASDAQ: MTGE) from Buy to Neutral on a more balanced outlook, but raised its price target from $20 to $23.
Compass Point said, "While MTGE's current valuation is not approaching secular peak valuations reached by other mREITs in prior cycles, we believe that given current headwinds facing Agency mREITs a more cautious approach is necessary. We see no near term risk to the dividend and current shareholders are being paid a handsome yield (14.5%) to own the shares in the current environment."
American Capital Mortgage closed at $24.81 on Monday.
Latest Ratings for MTGE
|Aug 2016||Deutsche Bank||Maintains||Hold|
|Aug 2016||Keefe Bruyette & Woods||Maintains||Outperform|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.