DX

Invesco Mortgage Capital (IVR), MFA Financial (MFA), and five others lead the October Dividend Power list with high yields and 'safer' dividends backed by free cash flow. Top ten Dividend Power stocks are projected to deliver average net gains of 86.23% by October 2027, with analyst targets indicating significant upside potential. Dividend Power strategy focuses on high earnings yield and top dividend yield, favoring underpriced, high-yielding 'underdog' stocks for contrarian, income-focused investors.

GLEN ALLEN, Va.--(BUSINESS WIRE)--Dynex Capital, Inc. (NYSE: DX; “Dynex” or the “Company”), a REIT with a long track record of generating dividends from high-quality mortgage assets, announced today that it will release its financial results for the third quarter of 2026 before market open on Monday, October 19, 2026. In addition, Dynex's management team will host a conference call and live audio webcast to discuss its third quarter 2026 financial results that same morning at 10:00 a.m. ET.Confe.

Dynex Capital has rapidly expanded its asset base, doubling investments multiple times and increasing its equity cushion for preferred holders. DX's portfolio is almost entirely agency-backed RMBS, offering low credit risk and strong hedging against interest rate fluctuations. DX-D preferred offers a 9.375% yield at par, with a call date in 2031, providing superior value and capital appreciation potential versus the floating-rate DX-C.

Dynex Capital has issued a 9.375% Series D Cumulative Preferred Stock (DXPRD), currently trading OTC with a yield near 9.5%. DXPRD stands out for its high nominal yield and credit spread, matching sector peers AGNCZ and NLY-J but with a higher current yield. DX's agency-backed portfolio minimizes credit risk, but high leverage exposes it to interest rate volatility and basis spread widening, especially during monetary tightening.

Dynex Capital (DX) preferred DX-C offers a 9.9% floating yield with a low 1.5 risk rating, making it attractive for income-focused investors. DX-C is just four cents above the $25.64 buy-under target; a minor price drop would trigger a buy. The stripped price, not market price, is critical for valuation—current stripped price is $25.08 after accounting for dividend accrual.

Dynex Capital boasts a high 16.9% yield, but dividend coverage remains a key concern as EAD lags payouts. DX's portfolio expanded 42% YTD, funded by short-term repo agreements and significant equity issuance, raising both opportunity and structural risk. Leverage remains high at 8.1x equity, amplifying both returns and downside risk, especially if mortgage spreads widen unexpectedly.

Dynex Capital offers a robust Agency RMBS-focused portfolio, delivering strong total returns versus peers in the mREIT sector. DX employs high leverage (8.1x) and funds primarily via short-term repos, exposing it to interest rate and funding risks, but mitigates credit risk through agency guarantees. The Series C preferred shares yield 9.3%, float with SOFR, and trade above par; call risk is low given current replacement costs and capital structure priorities.

Six mortgage REITs are dangling yields above 10%, but the spread holding those payouts together just hit a one-year low. Here is what the coverage numbers and management language reveal about which dividends are already under pressure.

Some of the highest-yielding mortgage REITs on the market are quietly handing investors back their own money while calling it income.

GLEN ALLEN, Va.--(BUSINESS WIRE)--Dynex Capital, Inc. (NYSE: DX; “Dynex” or the “Company”), a REIT with a long track record of generating dividends from high-quality mortgage assets, announced today that the Company's Board of Directors has declared a cash dividend of $0.17 per share on its Common Stock for September 2026. The Common dividend is payable on October 1, 2026 to shareholders of record as of September 21, 2026.The Company's Board also declared a quarterly cash dividend of $0.60793 pe.