Invesco Mortgage Capital to Discuss Dividend After Negative 11.6% Q3 Return

Invesco Mortgage Capital Inc. (IVR) plans to discuss its dividend policy with its board after posting a negative 11.6% economic return and a 16.1% decline in book value for the third quarter of 2026.

Management will weigh market conditions, current earnings, portfolio composition and investment opportunities as it considers the $0.12 monthly payout. It said the dividend should be supported by the company's earnings power.

Management outlined a target asset return on equity of 18%-20%. Book value had risen about 4% quarter to date. Management described its outlook for agency mortgage-backed securities and agency commercial mortgage-backed securities as constructive, pointing to wider spreads and stronger projected returns.

IVR is not necessarily seeking to add leverage at current levels. It may repurchase shares if their market price remains materially below book value for an extended period.