NYSE:DX

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Executive Summary

Dynex Capital, Inc., a mortgage real estate investment trust, invests in mortgage-backed securities (MBS) on a leveraged basis in the United States. More Details


Snowflake Analysis

Average dividend payer with acceptable track record.


Similar Companies

Share Price & News

How has Dynex Capital's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DX is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: DX's weekly volatility has decreased from 10% to 2% over the past year.


Market Performance


7 Day Return

1.0%

DX

4.4%

US Mortgage REITs

-1.4%

US Market


1 Year Return

2.6%

DX

-22.8%

US Mortgage REITs

37.1%

US Market

Return vs Industry: DX exceeded the US Mortgage REITs industry which returned -25.7% over the past year.

Return vs Market: DX underperformed the US Market which returned 34.1% over the past year.


Shareholder returns

DXIndustryMarket
7 Day1.0%4.4%-1.4%
30 Day2.8%6.3%1.6%
90 Day6.8%10.6%7.3%
1 Year14.2%2.6%-14.2%-22.8%40.2%37.1%
3 Year50.1%5.1%14.5%-16.3%62.5%52.1%
5 Year75.8%-1.4%61.4%-6.2%133.9%108.0%

Long-Term Price Volatility Vs. Market

How volatile is Dynex Capital's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Dynex Capital undervalued compared to its fair value and its price relative to the market?

2.74x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: DX ($18.99) is trading above our estimate of fair value ($7.47)

Significantly Below Fair Value: DX is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: DX is good value based on its PE Ratio (2.7x) compared to the US Mortgage REITs industry average (19.3x).

PE vs Market: DX is good value based on its PE Ratio (2.7x) compared to the US market (21.5x).


Price to Earnings Growth Ratio

PEG Ratio: DX's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: DX's PB Ratio (1x) is in line with the US Mortgage REITs industry average.


Next Steps

Future Growth

How is Dynex Capital forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

-57.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DX's earnings are forecast to decline over the next 3 years (-57% per year).

Earnings vs Market: DX's earnings are forecast to decline over the next 3 years (-57% per year).

High Growth Earnings: DX's earnings are forecast to decline over the next 3 years.

Revenue vs Market: DX's revenue is expected to decline over the next 3 years (-70.8% per year).

High Growth Revenue: DX's revenue is forecast to decline over the next 3 years (-70.8% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DX's Return on Equity is forecast to be low in 3 years time (9.3%).


Next Steps

Past Performance

How has Dynex Capital performed over the past 5 years?

-9.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DX has high quality earnings.

Growing Profit Margin: DX became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: DX has become profitable over the past 5 years, growing earnings by -9.9% per year.

Accelerating Growth: DX has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: DX has become profitable in the last year, making it difficult to compare its past year earnings growth to the Mortgage REITs industry (-40.1%).


Return on Equity

High ROE: Whilst DX's Return on Equity (28.03%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Dynex Capital's financial position?


Financial Position Analysis

Short Term Liabilities: DX's short term assets ($485.1M) do not cover its short term liabilities ($2.4B).

Long Term Liabilities: DX's short term assets ($485.1M) exceed its long term liabilities ($8.3M).


Debt to Equity History and Analysis

Debt Level: DX's debt to equity ratio (385%) is considered high.

Reducing Debt: DX's debt to equity ratio has reduced from 642% to 385% over the past 5 years.

Debt Coverage: DX's debt is not well covered by operating cash flow (7.5%).

Interest Coverage: Insufficient data to determine if DX's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Dynex Capital current dividend yield, its reliability and sustainability?

8.21%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: DX's dividend (8.21%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: DX's dividend (8.21%) is in the top 25% of dividend payers in the US market (3.75%)


Stability and Growth of Payments

Stable Dividend: DX's dividend payments have been volatile in the past 10 years.

Growing Dividend: DX's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (24%), DX's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: DX's dividends in 3 years are forecast to be covered by earnings (87.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.1yrs

Average management tenure


CEO

Byron Boston (61 yo)

7.08yrs

Tenure

US$2,190,606

Compensation

Mr. Byron L. Boston has been the Chief Executive Officer and Co-Chief Investment Officer of Dynex Capital, Inc. since January 01, 2014. Mr. Boston served as the President of Dynex Capital, Inc. since March...


CEO Compensation Analysis

Compensation vs Market: Byron's total compensation ($USD2.19M) is above average for companies of similar size in the US market ($USD1.53M).

Compensation vs Earnings: Byron's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Byron Boston
CEO, Co-Chief Investment Officer & Director7.08yrsUS$2.19m1.32%
$ 6.6m
Smriti Popenoe
President & Co-Chief Investment Officer0.17yrUS$1.12m0.42%
$ 2.1m
Stephen Benedetti
Executive VP12.75yrsUS$1.12m0.69%
$ 3.5m
Alison Griffin
Vice President of Investor Relationsno datano datano data
Wayne Brockwell
Senior Vice President of Portfoliono datano datano data
Jeffrey Childress
VP & Controllerno datano data0.033%
$ 166.3k

7.1yrs

Average Tenure

57yo

Average Age

Experienced Management: DX's management team is seasoned and experienced (7.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Byron Boston
CEO, Co-Chief Investment Officer & Director7.08yrsUS$2.19m1.32%
$ 6.6m
David Stevens
Independent Director2.08yrsUS$123.92k0.039%
$ 193.6k
Michael Hughes
Independent Chairman of the Board3.75yrsUS$152.80k0.25%
$ 1.3m
Julia Suzanne Coronado
Independent Director0.33yrno datano data
Robert Salcetti
Independent Director7.17yrsUS$132.80k0.14%
$ 693.5k
Joy Palmer
Independent Director0.33yrno datano data

2.9yrs

Average Tenure

61yo

Average Age

Experienced Board: DX's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: DX insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.3%.


Top Shareholders

Company Information

Dynex Capital, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Dynex Capital, Inc.
  • Ticker: DX
  • Exchange: NYSE
  • Founded: 1987
  • Industry: Mortgage REITs
  • Sector: Diversified Financials
  • Market Cap: US$502.247m
  • Shares outstanding: 26.45m
  • Website: https://www.dynexcapital.com

Number of Employees


Location

  • Dynex Capital, Inc.
  • 4991 Lake Brook Drive
  • Suite 100
  • Glen Allen
  • Virginia
  • 23060-9245
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DXNYSE (New York Stock Exchange)YesCommon StockUSUSDFeb 1988
DYT1DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 1988
DX.PRCNYSE (New York Stock Exchange)6.9% SER C PFDUSUSDFeb 2020

Biography

Dynex Capital, Inc., a mortgage real estate investment trust, invests in mortgage-backed securities (MBS) on a leveraged basis in the United States. It invests in agency and non-agency MBS consisting of re...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/25 00:57
End of Day Share Price2021/02/24 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.