BlackRock Fund Advisors recently announced the acquisition of new stake in ARMOUR Residential REIT Inc. (NYSE:ARR). The institutional investor has increased its shareholding in the Real Estate company by 13.47% to 31.23 million shares with purchase of 3.71 million shares. This fresh investment now brings its stake to 13.68% valued currently at $153.34 million. In addition, The Vanguard Group, Inc. raised its holdings by 1.05 million to 21.1 million shares. And SSgA Funds Management, Inc. has lifted its position by 12.55% or 0.7 million shares – to 6.31 million shares.
With over 20.94 million ARMOUR Residential REIT Inc. (ARR) shares trading Friday and a closing price of $4.90 on the day, the dollar volume was approximately $102.58 million. The shares have shown a negative half year performance of -2.39% and its price on 09/15/23 gained nearly 0.62%. Currently, there are 228.31M common shares owned by the public and among those 226.80M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 4 analysts who have offered their price forecasts for ARR have a consensus price objective of $5.50. The analysts have set the share’s price value over the next 12 months at a high of $6.00 and a low of $5.00. The average price target is 10.91% above its recent price level and an upside to the estimated low will see the stock gain 2.0% over that period. But an upside of 18.33% will see the stock hit the forecast high price target while median target price for the stock is $5.50.
Insiders at the company have transacted a total of 101 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 68 of these insider trades were purchases, accounting for 370,810 shares. Insider sales of the common stock occurred on 33 occasions, with total insider shares sold totaling 138,208 shares.
The top 3 mutual fund holders in ARMOUR Residential REIT Inc. are iShares Core S&P Small Cap ETF, Vanguard Total Stock Market ETF, and Vanguard Small Cap Index Fund. iShares Core S&P Small Cap ETF owns 13.88 million shares of the company’s stock, all valued at over $68.17 million. The company bought an additional 29463.0 shares recently to bring their total holdings to about 6.08% of the shares outstanding. Vanguard Small Cap Index Fund bought 43408.0 shares to bring its total holdings to over 5.1 million shares at a value of $25.05 million. Vanguard Small Cap Index Fund now owns shares totaling to 2.24% of the shares outstanding.
Shares of ARMOUR Residential REIT Inc. (NYSE: ARR) opened at $4.88, up $0.01 from a prior closing price of $4.87. However, the script later moved the day high at 4.9200, up 0.62%. The company’s stock has a 5-day price change of 1.45% and -5.95% over the past three months. ARR shares are trading -12.97% year to date (YTD), with the 12-month market performance down to -28.36% lower. It has a 12-month low price of $4.38 and touched a high of $6.93 over the same period. ARR has an average intraday trading volume of 7.20 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 1.16%, -1.76%, and -8.04% respectively.
Institutional ownership of ARMOUR Residential REIT Inc. (NYSE: ARR) shares accounts for 52.30% of the company’s 228.31M shares outstanding. Mutual fund holders own 11.41%, while other institutional holders and individual stakeholders account for 32.97% and 0.75% respectively.
It has a market capitalization of $1.11B and a beta (3y monthly) value of 1.23. The earnings-per-share (ttm) stands at -$0.93. The company has a debt-to-equity ratio at 7.11. Price movements for the stock have been influenced by the stock’s volatility, which stands at 2.02% over the week and 2.19% over the month.
Analysts forecast that ARMOUR Residential REIT Inc. (ARR) will achieve an EPS of $0.22 for the current quarter, $0.22 for the next quarter and $1 for 2024. The lowest estimate earnings-per-share for the quarter is $0.2 while analysts give the company a high EPS estimate of $0.25. Comparatively, EPS for the current quarter was $0.32 a year ago. Earnings per share for the fiscal year are expected to decrease by -18.30%, and 6.71% over the next financial year. EPS should grow at an annualized rate of -11.36% over the next five years, compared to -20.00% over the past 5-year period.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 4 brokerage firm advisors rate ARMOUR Residential REIT Inc. (ARR) as a “Hold” at a consensus score of 3.00. Specifically, 0 Wall Street analysts polled rate the stock as a buy, while 4 of the 4 advise that investors “hold,” and 0 rated it as a “Sell.”
Looking at the support for the ARR, a number of firms have released research notes about the stock. B. Riley Securities stated their Neutral rating for the stock in a research note on February 22, 2022, with the firm’s price target at $11-$9.50.