Invesco Mortgage Capital maintains $0.12 per share dividend in June

By Greg Peters • Sunday, June 14 16:03 • Permanent Link

Invesco Mortgage Capital said it will pay a June dividend of $0.12 per common share, unchanged from the prior month’s payout level implied by the company’s regular monthly distribution pattern.

As of May 31, 2026, the company reported:

Total investment portfolio, including TBAs: $8.0 billion
Specifically, the portfolio totaled $7.97 billion
Unrestricted cash and unencumbered investments: $532.5 million
Repurchase agreement borrowings: $6.1 billion
Estimated book value per common share: $8.25
Debt-to-equity ratio: 6.2x
Economic debt-to-equity ratio: 7.3x

The portfolio was dominated by agency mortgage-backed securities. Of the $7.97 billion total investment portfolio:

Agency RMBS: $5.95 billion, or 74.7%
Agency CMBS: $902.5 million, or 11.3%
Agency CMO: $65.4 million, or 0.8%
TBAs at implied market value: $1.05 billion, or 13.2%

Within the agency RMBS holdings, the biggest concentration was in 5.5% coupons, which totaled $1.92 billion and represented 24.2% of the portfolio. Other major coupon buckets included:

5.0% coupons: $1.60 billion
6.0% coupons: $1.25 billion
4.5% coupons: $1.17 billion

The agency RMBS portfolio carried a weighted average yield of 5.37%. The total MBS portfolio posted a 5.30% weighted average yield.

On the financing side, repurchase agreements on agency MBS totaled $6.09 billion, with a weighted average interest rate of 3.75% and a weighted average remaining maturity of 25 days.

The company’s interest rate swap book totaled $4.615 billion in notional amount, with a weighted average fixed pay rate of 1.92% and a weighted average floating receive rate of 3.63%. The longest-dated swaps extended out to 20.6 years.

In Treasury futures, the company held short positions totaling $1.14 billion notional, including:

$460 million in 10-year futures
$375 million in ultra 10-year futures
$305 million in 30-year futures

The company’s estimated common book value of $8.25 per share reflects 98.2 million common shares outstanding and $169.0 million of liquidation preference on its Series C preferred stock. Following these announcements, the company's shares moved -0.75%, and are now trading at a price of $7.94. For the full picture, make sure to review Invesco Mortgage Capital's 8-K report.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.