Orchid Island Capital declares $0.12 monthly dividend for July 2025

VERO BEACH, Fla. - Orchid Island Capital, Inc. (NYSE:ORC) announced Wednesday a monthly cash dividend of $0.12 per share for July 2025, payable on August 28 to shareholders of record as of July 31. According to InvestingPro data, the company maintains an impressive 20.1% dividend yield and has consistently paid dividends for 13 consecutive years.

The real estate investment trust also reported preliminary financial results for the second quarter ended June 30, 2025, including an estimated book value per share of $7.21, down from the previous quarter. The company estimates it generated a net loss of $0.29 per share for the quarter, which includes approximately $0.45 per share of net realized and unrealized losses on RMBS and derivative instruments. InvestingPro analysis indicates the stock is currently overvalued, with analysts maintaining a neutral stance and a $8 price target.

Orchid Island’s estimated total return on equity for the quarter was negative 4.7%, with dividends declared during the period totaling $0.36 per share.

The company’s RMBS portfolio as of June 30 consisted primarily of fixed-rate pass-through securities, with approximately 63.2% in Fannie Mae securities and 36.8% in Freddie Mac securities. The weighted average coupon on the portfolio was 5.42%.

As a REIT, Orchid Island must distribute at least 90% of its taxable income annually to maintain its status. The company had 126,715,437 shares of common stock outstanding as of July 9, 2025.

Orchid Island Capital invests in Agency RMBS on a leveraged basis and is managed by Bimini Advisors, LLC. The company expects to announce its next common stock dividend on August 13, 2025, according to the press release statement.

In other recent news, Orchid Island Capital Inc. reported strong financial results for the first quarter of 2025, significantly exceeding analyst expectations. The company posted earnings per share (EPS) of $0.18, more than double the anticipated $0.08, and reported revenue of $19.71 million, far surpassing the forecasted $3.04 million. Orchid Island Capital’s strategic focus on higher coupon, shorter duration assets, and a flexible hedging approach contributed to this performance. Additionally, the company raised $206 million through stock sales and repurchased 1.1 million shares, reflecting strategic capital management. Despite market volatility, Orchid Island Capital remains cautiously optimistic about its portfolio positioning, with future EPS projections of $0.11 for Q2 2025 and $0.16 for Q3 2025. Analysts from firms such as Jones Trading and Janney Montgomery have engaged in discussions about the company’s financial strategies, including hedging and dividend sustainability. The merger between Rocket Mortgage and Nationstar was also a topic of interest, with potential impacts on Orchid Island’s operations being considered. These recent developments underscore Orchid Island Capital’s adaptability in a challenging market environment.

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