ARMOUR Residential REIT Increases Authorized Common Stock Shares to 175 Million

ARMOUR Residential REIT has increased its authorized common stock shares from 125 million to 175 million, potentially enhancing its capital structure and market positioning. The company operates in the real estate investment trust industry, focusing on residential mortgage-backed securities. Analysts rate the stock as a Hold with a $18.00 price target.

Armour Residential REIT (ARR) has increased its authorized common stock shares from 125 million to 175 million, a move that could enhance its capital structure and market positioning. The real estate investment trust (REIT) focuses on residential mortgage-backed securities and has seen its shares slip after launching a stock offering [1].

On July 2, 2025, ARR announced that it will use the net proceeds from the offering to acquire additional mortgage-backed securities and other mortgage-related assets issued or guaranteed by U.S. Government-sponsored enterprises or guaranteed by the Government National Mortgage Association (Ginnie Mae). Goldman Sachs is the sole bookrunner for the offering [1].

The increase in authorized shares comes as ARR seeks to strengthen its balance sheet and expand its investment capabilities. As of July 2, 2025, ARR has approximately 91.59 million shares outstanding with a market capitalization of $1.5 billion. The stock closed flat at $16.80 on Tuesday, down 11% year-to-date (YTD) [1].

Analysts rate ARR as a Hold with a price target of $18.00. One analyst rates the stock as a "strong buy," while five rate it as a "hold." The median price target is $18.00 [1].

NNN REIT, Inc., another REIT in the real estate investment trust industry, reported strong financial results for the second quarter of 2025. The company reported net earnings of $0.54 per diluted share, a 1.2% increase over the prior year. NNN REIT also increased its 2025 Core FFO and AFFO per share guidance by $0.01 and raised its acquisition volume guidance by $100 million [2].

In conclusion, Armour Residential REIT's expansion of its share offering could enhance its capital structure and market positioning. The company's focus on residential mortgage-backed securities and its recent financial performance provide a solid foundation for future growth.

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_L6N3TX17P:0-armour-residential-reit-slips-after-launching-stock-offering/
[2] https://www.prnewswire.com/news-releases/nnn-reit-inc-announces-second-quarter-2025-results-and-increased-2025-guidance-302521071.html