Orchid Island Capital, Inc., a specialty finance company, invests in residential mortgage-backed securities (RMBS) in the United States. The company's RMBS is backed by single-family residential mortgage loans, referred to as Agency RMBS. Its portfolio comprises traditional pass-through Agency RMBS, such as mortgage pass through certificates and collateralized mortgage obligations; and structured Agency RMBS, including interest only securities, inverse interest only securities, and principal only securities. The company has elected to be taxed as a real estate investment trust (REIT) for the United States federal income tax purposes. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to stockholders, if it annually distributes dividends equal to at least 90% of its REIT taxable income to its shareholders. Orchid Island Capital, Inc. was incorporated in 2010 and is headquartered in Vero Beach, Florida.
| Horizon | Bear case (−1σ) | Base case | Bull case (+1σ) |
|---|---|---|---|
| 1 Month | $4.76 (-6.4%) | $5.08 | $5.43 (+6.8%) |
| 3 Months | $4.53 (-10.8%) | $5.08 | $5.69 (+12.1%) |
| 6 Months | $4.32 (-14.9%) | $5.08 | $5.97 (+17.5%) |
| 12 Months | $4.05 (-20.4%) | $5.08 | $6.38 (+25.6%) |