ELLINGTON CREDIT CO (EARN) Stock Price, Forecast & Analysis
USA - NYSE:EARN - US2885781078
5.09 USD
-0.11 (-2.12%)
5.09 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to EARN. EARN was compared to 235 industry peers in the Capital Markets industry. EARN has a bad profitability rating. Also its financial health evaluation is rather negative. EARN is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
EARN had positive earnings in the past year.
In the past year EARN had a positive cash flow from operations.
In multiple years EARN reported negative net income over the last 5 years.
EARN had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
EARN's Return On Assets of -0.67% is on the low side compared to the rest of the industry. EARN is outperformed by 77.45% of its industry peers.
The Return On Equity of EARN (-2.30%) is worse than 76.17% of its industry peers.
The Return On Invested Capital of EARN (1.74%) is worse than 64.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.67% | ||
| ROE | -2.3% | ||
| ROIC | 1.74% |
ROA(3y)-0.53%
ROA(5y)-0.06%
ROE(3y)-6.71%
ROE(5y)-2.43%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
EARN's Profit Margin has declined in the last couple of years.
EARN has a Operating Margin (26.02%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of EARN has grown nicely.
EARN's Gross Margin of 31.11% is on the low side compared to the rest of the industry. EARN is outperformed by 68.09% of its industry peers.
In the last couple of years the Gross Margin of EARN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.02% | ||
| PM (TTM) | N/A | ||
| GM | 31.11% |
OM growth 3Y-43.57%
OM growth 5Y11%
PM growth 3YN/A
PM growth 5Y-23.61%
GM growth 3Y-38.4%
GM growth 5Y9.83%
2. Health
2.1 Basic Checks
EARN has more shares outstanding than it did 1 year ago.
The number of shares outstanding for EARN has been increased compared to 5 years ago.
The debt/assets ratio for EARN has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.77, we must say that EARN is in the distress zone and has some risk of bankruptcy.
EARN's Altman-Z score of -0.77 is on the low side compared to the rest of the industry. EARN is outperformed by 82.13% of its industry peers.
The Debt to FCF ratio of EARN is 56.80, which is on the high side as it means it would take EARN, 56.80 years of fcf income to pay off all of its debts.
EARN's Debt to FCF ratio of 56.80 is in line compared to the rest of the industry. EARN outperforms 46.38% of its industry peers.
A Debt/Equity ratio of 2.26 is on the high side and indicates that EARN has dependencies on debt financing.
EARN has a Debt to Equity ratio of 2.26. This is amonst the worse of the industry: EARN underperforms 81.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | 56.8 | ||
| Altman-Z | -0.77 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
EARN has a Current Ratio of 0.05. This is a bad value and indicates that EARN is not financially healthy enough and could expect problems in meeting its short term obligations.
EARN has a worse Current ratio (0.05) than 94.89% of its industry peers.
A Quick Ratio of 0.05 indicates that EARN may have some problems paying its short term obligations.
EARN's Quick ratio of 0.05 is on the low side compared to the rest of the industry. EARN is outperformed by 94.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 |
3. Growth
3.1 Past
EARN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.20%, which is quite good.
EARN shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -31.03% yearly.
Looking at the last year, EARN shows a quite strong growth in Revenue. The Revenue has grown by 10.15% in the last year.
Measured over the past years, EARN shows a small growth in Revenue. The Revenue has been growing by 2.60% on average per year.
EPS 1Y (TTM)19.2%
EPS 3YN/A
EPS 5Y-31.03%
EPS Q2Q%779.25%
Revenue 1Y (TTM)10.15%
Revenue growth 3Y20.7%
Revenue growth 5Y2.6%
Sales Q2Q%26.2%
3.2 Future
EARN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.18% yearly.
EARN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.39% yearly.
EPS Next Y14.45%
EPS Next 2Y10.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year15.93%
Revenue Next 2Y16.39%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 26.79 indicates a quite expensive valuation of EARN.
Based on the Price/Earnings ratio, EARN is valued a bit more expensive than the industry average as 69.79% of the companies are valued more cheaply.
EARN's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.10.
Based on the Price/Forward Earnings ratio of 4.75, the valuation of EARN can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EARN indicates a rather cheap valuation: EARN is cheaper than 96.17% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.52. EARN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.79 | ||
| Fwd PE | 4.75 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EARN is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.98 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)1.85
PEG (5Y)N/A
EPS Next 2Y10.18%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 17.91%, EARN is a good candidate for dividend investing.
EARN's Dividend Yield is rather good when compared to the industry average which is at 8.48. EARN pays more dividend than 91.91% of the companies in the same industry.
EARN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.91% |
5.2 History
The dividend of EARN decreases each year by -5.74%.
EARN has paid a dividend for at least 10 years, which is a reliable track record.
EARN has decreased its dividend recently.
Dividend Growth(5Y)-5.74%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
The earnings of EARN are negative and hence is the payout ratio. EARN will probably not be able to sustain this dividend level.
DP-423.55%
EPS Next 2Y10.18%
EPS Next 3YN/A
5.09
-0.11 (-2.12%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners13.11%
Inst Owner Change-0.75%
Ins Owners0.94%
Ins Owner Change1.75%
Market Cap191.18M
Revenue(TTM)52.48M
Net Income(TTM)-5245000
Analysts76
Price Target5.99 (17.68%)
Short Float %0.33%
Short Ratio0.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 17.91% |
Yearly Dividend0.92
Dividend Growth(5Y)-5.74%
DP-423.55%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)35.2%
Min Revenue beat(2)25.47%
Max Revenue beat(2)44.92%
Revenue beat(4)2
Avg Revenue beat(4)14.86%
Min Revenue beat(4)-7.86%
Max Revenue beat(4)44.92%
Revenue beat(8)2
Avg Revenue beat(8)-8.47%
Revenue beat(12)2
Avg Revenue beat(12)-58.93%
Revenue beat(16)6
Avg Revenue beat(16)-32.55%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-7.91%
EPS NQ rev (3m)-7.91%
EPS NY rev (1m)0.68%
EPS NY rev (3m)-6.16%
Revenue NQ rev (1m)-10.4%
Revenue NQ rev (3m)-10.4%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-7.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.79 | ||
| Fwd PE | 4.75 | ||
| P/S | 3.48 | ||
| P/FCF | 20.98 | ||
| P/OCF | 20.98 | ||
| P/B | 0.84 | ||
| P/tB | 0.84 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.19
EY3.73%
EPS(NY)1.07
Fwd EY21.04%
FCF(TTM)0.24
FCFY4.77%
OCF(TTM)0.24
OCFY4.77%
SpS1.46
BVpS6.08
TBVpS6.08
PEG (NY)1.85
PEG (5Y)N/A
Graham Number5.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.67% | ||
| ROE | -2.3% | ||
| ROCE | 6.23% | ||
| ROIC | 1.74% | ||
| ROICexc | 1.78% | ||
| ROICexgc | 1.78% | ||
| OM | 26.02% | ||
| PM (TTM) | N/A | ||
| GM | 31.11% | ||
| FCFM | 16.58% |
ROA(3y)-0.53%
ROA(5y)-0.06%
ROE(3y)-6.71%
ROE(5y)-2.43%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-20.19%
ROICexgc growth 5Y30.77%
ROICexc growth 3Y-18.96%
ROICexc growth 5Y29.4%
OM growth 3Y-43.57%
OM growth 5Y11%
PM growth 3YN/A
PM growth 5Y-23.61%
GM growth 3Y-38.4%
GM growth 5Y9.83%
F-Score5
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | 56.8 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.4 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 | ||
| Altman-Z | -0.77 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.2%
EPS 3YN/A
EPS 5Y-31.03%
EPS Q2Q%779.25%
EPS Next Y14.45%
EPS Next 2Y10.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)10.15%
Revenue growth 3Y20.7%
Revenue growth 5Y2.6%
Sales Q2Q%26.2%
Revenue Next Year15.93%
Revenue Next 2Y16.39%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y280.64%
EBIT growth 3Y-31.89%
EBIT growth 5Y13.89%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y190.92%
FCF growth 3Y-31.12%
FCF growth 5Y-12.27%
OCF growth 1Y190.92%
OCF growth 3Y-31.12%
OCF growth 5Y-12.27%
ELLINGTON CREDIT CO / EARN FAQ
What does ELLINGTON CREDIT CO do?
Ellington Credit Co. is a real estate investment trust, which engages in the acquisition, investment, and management of residential mortgage and real estate-related assets. The company is headquartered in Old Greenwich, Connecticut and currently employs 160 full-time employees. The company went IPO on 2013-01-05. The firm is focused on acquiring, investing in, and managing secondary collateralized loan obligations (CLO) mezzanine debt and equity tranches. The company specializes in acquiring, investing in, and managing residential mortgage- and real estate-related assets. The firm's primary objective is to generate attractive risk-adjusted total returns for its shareholders by making investments in multiple parts of the CLO capital structure, including mezzanine debt and equity tranches. Additionally, it may also invest in CLO loan accumulation facilities, which are entities that acquire corporate loans and other similar corporate credit-related assets in anticipation of ultimately collateralizing a CLO transaction, as well as other related assets. The company is externally managed and advised by Ellington Credit Company Management LLC.
Can you provide the latest stock price for ELLINGTON CREDIT CO?
The current stock price of EARN is 5.09 USD. The price decreased by -2.12% in the last trading session.
What is the ChartMill technical and fundamental rating of EARN stock?
EARN has a ChartMill Technical rating of 0 out of 10 and a ChartMill Fundamental rating of 3 out of 10.