UPDATE: Deutsche Bank Reiterates On ARMOUR Residential REIT Following Mixed 1Q Results

In a report published Tuesday, Deutsche Bank analyst Greg Poole reiterated a Hold rating on

, but lowered the price target from $4.30 to $4.20. In the report, Deutsche Bank noted, “Reducing target to $4.20/sh from $4.30/sh given BV decline; Maintain Hold. ARR reported mixed 1Q results, as adjusted core EPS beat our estimate by 3c on higher leverage and wider spreads while BVPS declined 1.7% to $4.67/sh. During 1Q and April, ARR sold 30-year fixed rate MBS to buy shorter duration MBS in order to better position the portfolio for future increases in interest rates. "Given the 1Q results and an increase to our leverage and spread estimates, we are increasing our core EPS estimates. As a result of the BV decline, we are trimming our target by 10c to $4.20/sh. Maintain Hold.” ARMOUR Residential REIT closed on Monday at $4.21.