UPDATE: JMP Securities Upgrades AG Mortgage Investment Trust (MITT) to Market Outperform

September 28, 2021 3:18 AM EDT
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Price: $12.32 +0.57%

Rating Summary:
    7 Buy, 4 Hold, 2 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 13 | Down: 13 | New: 72
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(Updated - September 28, 2021 6:16 AM EDT)

JMP Securities analyst Trevor Cranston upgraded AG Mortgage Investment Trust (NYSE: MITT) from Market Perform to Market Outperform with a price target of $13.50.

The analyst comments "AG Mortgage Investment recently announced that both of its two remaining commercial loan exposures have paid off in full, which we view as a highly positive development for the company that is immediately accretive to book value and, in our view, should be accretive to forward core earnings. Commercial Loan K was a $19M UPB hotel/retail construction loan in New York, which was accruing interest and was carried at 98% of UPB as of June 30. Commercial Loan L was a $51M UPB hotel/retail loan in Chicago carried at 86% of par, and was in non-accrual status, with $26M of financing against the loan. With both loans now paid off in full, MITT’s book value will increase by $0.70 per share, a 4.8% increase from June 30 tangible book value of $14.72. In addition, these loan payoffs will free up significant capital for reinvestment into the company’s residential credit investment strategies, which should have a positive impact on core earnings given attractive returns available on new investments and the previous non-accrual status of the larger commercial loan."

For an analyst ratings summary and ratings history on AG Mortgage Investment Trust click here. For more ratings news on AG Mortgage Investment Trust click here.

Shares of AG Mortgage Investment Trust closed at $11.26 yesterday.

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