Dynex Capital posts Q1 loss on widening mortgage spreads

Dynex Capital

20/04/2026 13:10

Overview

U.S. mortgage REIT reported Q1 net loss and negative EPS, book value per share declined

Company raised $442 mln in equity capital and made $6 bln net investment purchases

Book value decline driven by widening mortgage spreads late in the quarter

Outlook

Company did not provide specific guidance for future quarters or the full year in its press release

Result Drivers

MORTGAGE SPREADS - Book value decline and net loss driven by widening mortgage spreads late in the quarter

CAPITAL RAISE AND INVESTMENTS - Co raised $442 mln in equity and made $6 bln net investment purchases, increasing leverage

INTEREST INCOME AND FINANCING COSTS - Interest income increased from Agency MBS purchases; repurchase agreement financing costs declined due to Fed rate cuts

Company press release: ID:nBw8tYkrGa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
-$0.41
Q1 Net Income
-$80.36 mln
Q1 Net Interest Income
$79.25 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "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 Dynex Capital Inc is $15.25, about 12% above its April 17 closing price of $13.61

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 8 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.)