Angel Oak: A High Yield REIT Positioned For Future Loan & Securitization Demand

  • Angel Oak Mortgage REIT gets a buy rating in my initial coverage of this firm showing a +16% dividend yield this week and undervaluation. Other positives are a proven return on equity, the recent investment by Brookfield, and being in a market position to serve growing demand for liquidity in the mortgage sector. Risk factors to consider are exposure to a large book of loans and securitized mortgages, as well as exposure to collaterized debt liability.