Dynex Capital (DX): A Monthly Dividend Stock Under $20 With Big Yield

Dynex Capital, Inc. (NYSE:DX) is included among the 13 Best Dividend Stocks to Buy Under $20. Aerial view of a large urban cityscape showcasing a major real estate development. Dynex Capital, Inc. (NYSE:DX) recently declared its Q2 2025 earnings. Its strategy of selectively raising and allocating capital toward attractive mortgage-backed securities markets places the company in a strong position to deliver solid returns to its shareholders. The company remains focused on investing in highly liquid, transparent, and easily valued securities, which supports its ability to manage risk effectively and maintain stability through different interest rate environments and economic conditions. Dynex Capital, Inc. (NYSE:DX) reported a net interest income of $23.1 million, which showed a 35% growth from the previous quarter. The company’s cash position also came in strong. It ended the quarter with $387.5 million available in cash and cash equivalents, and its total assets amounted to $11.3 billion. The company generated $282 million in equity capital, after accounting for issuance expenses, by issuing common stock through its at-the-market (ATM) program. It also acquired $1.9 billion worth of Agency residential mortgage-backed securities (RMBS), $364 million in Agency commercial mortgage-backed securities (CMBS), and boosted its investments in TBAs by $953 million. Dynex Capital, Inc. (NYSE:DX) is a popular dividend stock under $20 as the company pays monthly dividends to shareholders. Currently, it pays a monthly dividend of $0.17 per share and has an attractive dividend yield of 16.25%, as of July 21. The company has been making regular dividend payments to shareholders since 2008. While we acknowledge the potential of DX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 13 Best Industrial Dividend Stocks to Buy Right Now and 10 Best Passive Income Stocks to Buy Now. Disclosure: None.