AGNC - American Capital Agency Corp. (NASDAQ Stock) 17% Yield

[barjebus]

I'm completely new to dividends, and while I understand them, I do have a question specifically about AGNC. I've had my eye on AGNC for awhile, but I don't completely understand the whole ex-dividend date thing.

I know that I need to purchase the stock prior to that date so its settled for the record date, and then I'll get paid on the payment date correct? However, AGNC's dates are as follows:

Dividend Date: Jul 27, 2010
Ex-Dividend Date: Jun 28, 2010

So this makes sense to me....but when is the next payout? Obviously 3 months after this payout date correct? So would that be around October 27th, meaning the ex-date will likely end up being September 28th? Why are only past dates listed rather than future ones? Any help would be great! As well as any caution or advice regarding AGNC or dividend stocks (high yield REITs in particular) in general.

[BadThad]

This should answer your questions:

http://www.stockmarketcats.com/f54/s...dends-267.html

[BadThad]

Jez, that REIT has a nice dividend! Do me a favor and reboot this thread when the next dividend get close.

American Capital Agency Corp.: NASDAQ:AGNC quotes & news - Google Finance

Thanks

[barjebus]

Thanks BadThad, so what the article is pretty much telling me is that they haven't announced the next dividend, so I've got a decent amount of time left. Do you think my estimates are relatively correct? i.e. that it'll be around the ex-div date will be near the end of september?

[BadThad]

The divy will be annouced around earnings time. As long as you buy at least 3 biz days before the record date, you'll get the dividend.

[BadThad]

Upgrade:

Bank of America Corp (NYSE: BAC)’s Merrill Lynch division upgraded shares of American Capital Agency (NYSE: AGNC) to “neutral” from “underperform saying that the company will be helped by near-term interest rate improvements. The firm set a $25.00 price target in a research note to investors on Friday.

American Capital Agency Corp. (AGNC) is a real estate investment trust (REIT). AGNC earns income primarily from investing in residential mortgage pass-through securities and collateralized mortgage obligations. These investments consist of securities, for which the principal and interest payments are guaranteed by United States Government-sponsored entities, such as the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac) or by a United States Government agency, such as the Government National Mortgage Association (Ginnie Mae). The Company is externally managed by American Capital Agency Management, LLC, a subsidiary of a wholly owned portfolio company of American Capital, Ltd.

Shares of AGNC traded down 1.62% hitting $27.41 during mid-day trading on Friday.

[BadThad]

I've been watching this one closely, that yield is just too juicy. It's up about $1 over the last 3 days.....I should have jumped in when the market was down....continuing to watch this one. Next divy payout should be around Oct 2010.

[BadThad]

Man, this stock just won't give in to $27 or so. I'm ready to take a pretty significant position but it keeps holding. It's even up like 0.3% on a horrible market day!

[BadThad]

Upgrade last month:

Bank of America Corp (NYSE: BAC)’s Merrill Lynch division upgraded shares of American Capital Agency (NYSE: AGNC) to “neutral” from “underperform saying that the company will be helped by near-term interest rate improvements. The firm set a $25.00 price target in a research note to investors on Friday.

American Capital Agency Corp. (AGNC) is a real estate investment trust (REIT). AGNC earns income primarily from investing in residential mortgage pass-through securities and collateralized mortgage obligations. These investments consist of securities, for which the principal and interest payments are guaranteed by United States Government-sponsored entities, such as the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac) or by a United States Government agency, such as the Government National Mortgage Association (Ginnie Mae). The Company is externally managed by American Capital Agency Management, LLC, a subsidiary of a wholly owned portfolio company of American Capital, Ltd.

Shares of AGNC traded down 1.62% hitting $27.41 during mid-day trading on Friday.

[BadThad]

Alright....I give....started a position at $28.27 this morning. I can't resist. One of two things with this stock:

1) It will ramp up in price near the divy EX date and I'll sell to take profit.
2) It will stay somewhat static and I'll collect a fat dividend.

At this point, I'll look to add on any dip. I wouldn't mind having a decent position in this big dividend payer.