AAIC Stock Recent News

Arlington Asset Investment Corp. invests in mortgage-backed assets and has not paid dividends since the start of the COVID pandemic. Arlington has been able to generate consistent operating income and has a debt-to-equity ratio of 2.67. Ellington Financial LLC has entered into a merger agreement to acquire Arlington, offering a premium to Arlington shareholders and expecting to benefit from Arlington's assets.

Bond prices tumble as PPI exceeds expectations, raising the 10y US T-Note yield to 4.15%. Arlington Asset Investment Corp.'s Series C Fixed-to-Floating Rate Cumulative Redeemable Preferred presents an opportunity in the changing environment. AAIC.PC has a low number of shares outstanding and a potential 13% net return over the next eight months.

We take a look at the action in preferreds and baby bonds through the second week of July and highlight some of the key themes we are watching. Preferreds rallied this week, buoyed by a disinflationary theme that has supported markets recently. We take a look at a couple of metrics outside of leverage to gauge debt quality.

We take a look at the action in preferreds and baby bonds through the third week of June and highlight some of the key themes we are watching. Preferreds were roughly flat as higher Treasury yields were offset by tighter credit spreads. We take a look at a couple of pricing discrepancies in the B. Riley Financial senior security suite, which are indicative of broader market inefficiencies.

Ellington Financial (EFC) enters into an agreement to acquire Arlington (AAIC) in a stock-and-cash transaction. This deal is likely to increase scale and provide greater access to capital markets.

Big yields and even bigger discounts on each share here. A buyout drove one of our positions up about 40% in a day. The REITs we're highlighting here don't unusually trade at such large discounts to book value.

Ellington Financial announced a definitive stock and cash merger agreement with Arlington Asset Investment Corp., offering numerous benefits to both companies. The merger is anticipated to be accretive to Ellington Financial's earnings in 2023 and book value within one year of closing, with enhanced long-term growth potential. There may still be some arbitrage opportunity in buying Arlington common post-announcement, with the potential for trading gains for those willing to take the risk.

We take a look at the action in preferreds and baby bonds through the third week of April and highlight some of the key themes we are watching. Preferreds had another decent week as credit spreads continued to tighten. Sector yield remains attractive at around 7%.

U.S. equity markets concluded a wild first-quarter with their best week of 2023 as easing contagion concerns and further evidence of cooling price pressures lifted markets to a third-straight weekly gain. Pushing its gains to 7.5% for the quarter, the S&P 500 posted its best week since last November with gains of 3.4%. The tech-heavy Nasdaq 100 climbed into "bull market".

We take a look at the action in preferreds and baby bonds through the first week of March and highlight some of the key themes we are watching. Preferreds have remained resilient even as upside inflation surprises weighted on other fixed-income sectors.