Replies to post #1650 on ARMOUR Residential REIT Inc (ARR)

[catdaddyrt]

I like ARR it is very much under book value at this price and it will go back up - as long as the fed keeps interest rate down, which they will until the economy recovers, this is a good place to park some money for a nice return - it has been volatile over some negative public opinions that I personally don't agree with - is there risk yes with any stock there is but I like the risk vs the reward here - its oversold underbook and a high yield - to me its a buy all day long at 6.00 here is some history on the book value

http://ycharts.com/companies/ARR/book_value_per_share

on the down side the dividend has gone down .01 the last 3 qtrs. but its yield is still hard to beat anywhere - we have one more dividend @.07 my hope is that it stays at .07 then later starts moving back up

this qualifies as a rare circumstance -imo

About Book Value per Share

Book value per share indicates the book value (or accounting value) of each share of stock. Book value is a company's net asset value, which is calculated by total assets minus intangible assets and liabilities. A relatively high book value per share in relation to stock price often occurs when a stock is undervalued.

In the rare circumstance that market price falls below the book value per share, generally a stock is undervalued and might be an attractive buy.

[mokew]

I agree with the reply from Cat. If you wait until the dividend payout you might get twice as many shares of ARR and a 4% better div.
IMO there should be a correction soon, so I'll just enjoy the summer and collect dividends without looking at the market every day.