AGNC Investment swings to a loss in Q1 on Middle East conflict uncertainty

Agnc Investment

20/04/2026 21:20

Overview

U.S. mortgage REIT reported Q1 net loss and tangible net book value per share fell 5.6% from $8.88 per common share as of December 31, 2025

Company posted Q1 comprehensive loss per share and negative 1.6% economic return on tangible equity

Net spread and dollar roll income per share rose from prior quarter; $401 mln equity issued via ATM program

Outlook

Company says longer-term outlook for Agency MBS remains constructive despite near-term geopolitical risks

AGNC sees wider mortgage spreads to benchmark rates and improved supply-demand as positive catalysts for Agency MBS

Company says interest rate volatility and Middle East tensions add uncertainty to near-term outlook

Result Drivers

SPREAD WIDENING - Agency MBS spreads widened in March due to increased volatility and negative investor sentiment following the war in Iran, leading to a decline in tangible net book value and negative economic return

HIGHER NET INTEREST SPREAD - Net spread and dollar roll income per share increased from the prior quarter, driven by a 25 basis point rise in net interest spread

CAPITAL MANAGEMENT - Over $400 mln of common equity was issued through the at-the-market program, supporting capital strategy and liquidity

Company press release: ID:nPnFMVcsa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
-$0.17
Q1 Net Income
-$148 mln
Q1 Net Interest Income
$319 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 5 "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the specialized reits peer group is "buy."

Wall Street's median 12-month price target for AGNC Investment Corp is $11.75, about 7.8% above its April 17 closing price of $10.90

The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 7 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)