great dividines

Strong Buy -- Price 6.52 on April 14
by JMP Securities
Anworth will pay a 20-cents dividend ... for 1Q08 ... 66.7% over the 12 cents a share paid for 4Q07, ranking ANH's sequential dividend growth second only to Capstead Mortgage among the four large, public-agency [real-estate investment trusts]. [The] growth was fueled by a sharp increase in net-interest spread, which we estimate was 108 basis points [hundredths of a percentage point] in 1Q08... . ANH is now offering current yield of 12.3%... . With ANH shares trading a fraction above our current mark-to-market tangible book value estimate of roughly $6.40 ... our target is 9.50. Market cap: $500 million.

Anworth Mortgage (ANH) was downgraded by Keefe Bruyette from Outperform to Market Perform.

Play on the normalized yield-curve.

From Barron's 3-26-07

"It is a $400 million market cap and it trades at only 87% of book. We love the guy who runs it, Lloyd McAdams, because he thinks like a shareholder and bought back a lot of stock when the shares were even lower than they are today, despite the fact that shrinking their balance sheet runs counter to his personal compensation in the short term. They own a greater percentage of adjustable-rate mortgages than Annaly does, and those will benefit more as they are reset upward..."

Attempt a couple of years ago to diversify; I liked the dividends

Stable Fed rates should make this productive

Don't like their history....