NYMTN - Assessing AGNC Investment's Results For Q3 2020 (As Anticipated An Impressive Quarter)

• On 10/26/2020, AGNC reported results for the third quarter of 2020. AGNC reported comprehensive income of $732 million and a non-tangible BV as of 9/30/2020 of $16.84 per common share.
• In this article, I will discuss my previous account projections versus actual results. I will also discuss AGNC’s dividend sustainability through January 2021.
• I will also provide my thoughts about AGNC’s MBS and derivatives portfolios as of 9/30/2020 and discuss trends that have occurred during October 2020 impacting the sector.
• AGNC’s BV performance matched expectations while the company’s net spread + dollar roll exceeded already high expectations.  My current price target and recommendation are stated in the “Conclusions Drawn” section.
• All things considered, larger-capitalized agency mREIT peers (including AGNC) navigated the COVID-19 pandemic well.  This will positively impact earnings through, at least, the first half of 2021.

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