Orchid Island Capital (NYSE:ORC) Stock Price Passes Below 200 Day Moving Average – Should You Sell?

Orchid Island Capital, Inc. (NYSE:ORC)’s stock price crossed below its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of $7.23 and traded as low as $6.83. Orchid Island Capital shares last traded at $6.9750, with a volume of 9,704,533 shares changing hands.

Analyst Upgrades and Downgrades

ORC has been the subject of a number of recent analyst reports. Wall Street Zen lowered shares of Orchid Island Capital from a “hold” rating to a “sell” rating in a research report on Tuesday, May 5th. Weiss Ratings lowered Orchid Island Capital from a “sell (d+)” rating to a “sell (d)” rating in a research note on Wednesday, June 24th. One equities research analyst has rated the stock with a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Reduce” and an average target price of $7.50.

Orchid Island Capital Stock Performance

The company’s 50-day moving average is $6.83 and its two-hundred day moving average is $7.23. The company has a market capitalization of $1.40 billion, a P/E ratio of 9.30 and a beta of 1.55. The company has a quick ratio of 509.34, a current ratio of 509.34 and a debt-to-equity ratio of 0.26.

Orchid Island Capital (NYSE:ORC) last announced its earnings results on Thursday, April 23rd. The real estate investment trust reported $0.26 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.26. The company had revenue of ($12.56) million for the quarter, compared to the consensus estimate of $33.03 million.

Orchid Island Capital Announces Dividend

The business also recently disclosed a monthly dividend, which will be paid on Thursday, July 30th. Stockholders of record on Tuesday, June 30th will be issued a dividend of $0.10 per share. This represents a c) dividend on an annualized basis and a dividend yield of 17.2%. The ex-dividend date of this dividend is Tuesday, June 30th. Orchid Island Capital’s payout ratio is currently 160.00%.

Orchid Island Capital announced that its board has initiated a share repurchase program on Monday, June 22nd that authorizes the company to buyback 25,000,000,000,000 shares. This buyback authorization authorizes the real estate investment trust to purchase up to 12.5% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board believes its stock is undervalued.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. PNC Financial Services Group Inc. raised its position in Orchid Island Capital by 64.0% during the fourth quarter. PNC Financial Services Group Inc. now owns 6,413 shares of the real estate investment trust’s stock valued at $46,000 after purchasing an additional 2,502 shares in the last quarter. Caitong International Asset Management Co. Ltd boosted its holdings in shares of Orchid Island Capital by 32,505.0% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 6,521 shares of the real estate investment trust’s stock worth $47,000 after purchasing an additional 6,501 shares in the last quarter. McIlrath & Eck LLC boosted its holdings in shares of Orchid Island Capital by 157.2% in the 1st quarter. McIlrath & Eck LLC now owns 7,418 shares of the real estate investment trust’s stock worth $52,000 after purchasing an additional 4,534 shares in the last quarter. Raymond James Financial Inc. purchased a new position in shares of Orchid Island Capital in the 2nd quarter worth about $55,000. Finally, CWM LLC increased its position in shares of Orchid Island Capital by 72.0% during the 4th quarter. CWM LLC now owns 7,797 shares of the real estate investment trust’s stock valued at $56,000 after purchasing an additional 3,263 shares during the last quarter. 32.74% of the stock is currently owned by hedge funds and other institutional investors.

Orchid Island Capital Company Profile

Orchid Island Capital is a real estate investment trust that specializes in investing in residential mortgage‐backed securities (RMBS), with a primary focus on mortgage pass‐through securities guaranteed by the Government National Mortgage Association (Ginnie Mae). Structured to elect and maintain status as a REIT under the U.S. Internal Revenue Code, the company’s principal business strategy involves acquiring pools of U.S. residential mortgages in the secondary market and holding them to generate interest income.