(EARN) Ellington Residential - Ratings and Ratios
Collateralized Loan Obligations, Mezzanine Debt, Equity Tranches
EARN EPS (Earnings per Share)
EARN Revenue
Description: EARN Ellington Residential
Ellington Residential Mortgage (NYSE:EARN) is a Mortgage REIT that has rebranded as Ellington Credit Company, indicating a shift in its investment focus towards generating current yields and risk-adjusted total returns through investments in collateralized loan obligations, mezzanine debt, and equity tranches.
From a financial perspective, the companys market capitalization stands at $218.97M USD, with a price-to-earnings ratio of 20.82 and a forward P/E of 4.70, suggesting potential for earnings growth. However, the return on equity is currently negative at -2.76%, indicating that the company is not generating profits from shareholders equity.
To further analyze EARNs performance, key performance indicators (KPIs) such as dividend yield, debt-to-equity ratio, and interest coverage ratio can be considered. A Mortgage REITs dividend yield is crucial as it directly impacts investor returns. EARNs dividend yield can be calculated using its current stock price and dividend payout. Additionally, the debt-to-equity ratio will provide insights into the companys leverage and financial health. A higher debt-to-equity ratio may indicate higher risk, while a lower ratio suggests a more conservative approach to financing. The interest coverage ratio will also be essential in understanding the companys ability to meet its interest payments.
Given EARNs investment strategy and recent rebranding, it is essential to monitor its ability to generate yields and total returns in the context of the overall mortgage REIT market and economic conditions. The companys focus on collateralized loan obligations and mezzanine debt may expose it to credit risk, interest rate risk, and liquidity risk. Therefore, analyzing these risks and their potential impact on EARNs financials will be crucial in making informed investment decisions.
EARN Stock Overview
| Market Cap in USD | 213m |
| Sector | Financial Services |
| Industry | Asset Management |
| GiC Sub-Industry | Mortgage REITs |
| IPO / Inception | 2013-05-01 |
EARN Stock Ratings
| Growth Rating | -27.5 |
| Fundamental | 30.8 |
| Dividend Rating | 53.3 |
| Rel. Strength | -22.1 |
| Analysts | 3.25 of 5 |
| Fair Price Momentum | 5.73 USD |
| Fair Price DCF | 3.17 USD |
EARN Dividends
| Dividend Yield 12m | 16.67% |
| Yield on Cost 5y | 16.35% |
| Annual Growth 5y | -3.04% |
| Payout Consistency | 90.5% |
| Payout Ratio | 39.5% |
EARN Growth Ratios
| Growth Correlation 3m | 89.9% |
| Growth Correlation 12m | -58.9% |
| Growth Correlation 5y | -44.3% |
| CAGR 5y | -0.83% |
| CAGR/Max DD 5y | -0.02 |
| Sharpe Ratio 12m | -0.18 |
| Alpha | -26.66 |
| Beta | 1.054 |
| Volatility | 26.26% |
| Current Volume | 528.5k |
| Average Volume 20d | 311.8k |
| Stop Loss | 5.4 (-4.1%) |
As of August 08, 2025, the stock is trading at USD 5.63 with a total of 528,530 shares traded.
Over the past week, the price has changed by -3.76%, over one month by -0.93%, over three months by +8.68% and over the past year by -2.20%.
Neither. Based on ValueRay´s Fundamental Analyses, Ellington Residential is currently (August 2025) neither a good nor a bad stock to buy. It has a ValueRay Fundamental Rating of 30.81 and therefor a neutral outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of EARN is around 5.73 USD . This means that EARN is currently overvalued and has a potential downside of 1.78%.
Ellington Residential has received a consensus analysts rating of 3.25. Therefor, it is recommend to hold EARN.
- Strong Buy: 0
- Buy: 1
- Hold: 3
- Sell: 0
- Strong Sell: 0
According to our own proprietary Forecast Model, EARN Ellington Residential will be worth about 6.9 in August 2026. The stock is currently trading at 5.63. This means that the stock has a potential upside of +22.2%.
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 6.1 | 8.9% |
| Analysts Target Price | 6 | 6.6% |
| ValueRay Target Price | 6.9 | 22.2% |
EARN Fundamental Data Overview
CCE Cash And Equivalents = 17.4m USD (Cash only, last quarter)
P/E Trailing = 20.25
P/E Forward = 4.697
P/S = 5.9332
P/B = 0.932
P/EG = -1.79
Beta = 1.302
Revenue TTM = 24.0m USD
EBIT TTM = 25.9m USD
EBITDA TTM = 32.4m USD
Net Debt = -31.8m USD (last fiscal year)
Debt = -14.5m USD (Net Debt -31.8m + CCE 17.4m)
Enterprise Value = 181.1m USD (Market Cap 213.0m + Debt -14.5m - CCE 17.4m)
Interest Coverage Ratio = 0.84 (Ebit TTM 25.9m / Interest Expense TTM 30.9m)
FCF Yield = 10.78% (FCF TTM 19.5m / Enterprise Value 181.1m)
FCF Margin = 81.24% (FCF TTM 19.5m / Revenue TTM 24.0m)
Net Margin = -21.82% (Net Income TTM -5.25m / Revenue TTM 24.0m)
Gross Margin = 92.19% ((Revenue TTM 24.0m - Cost of Revenue TTM 1.88m) / Revenue TTM)
[93m Tobins Q-Ratio = -0.29 (Enterprise Value 181.1m / Book Value Of Equity -617.5m)
[39m[93m Interest Expense / Debt = unknown (Interest Expense 6.21m / Debt -14.5m)
[39m Taxrate = 7.19% (Income Tax Expense 510.0k / Income Before Tax 7.10m, last fiscal year)
NOPAT = 24.0m (EBIT 25.9m × (1 – 7.19%))
Current Ratio = 0.12 (Total Current Assets 75.0m / Total Current Liabilities 630.4m)
Debt / Equity = -0.06 (Debt -14.5m / last Quarter total Stockholder Equity 228.5m)
Debt / EBITDA = -0.45 (Net Debt -31.8m / EBITDA 32.4m)
Debt / FCF = -0.74 (Debt -14.5m / FCF TTM 19.5m)
Total Stockholder Equity = 190.0m (last 4 quarters mean)
RoA = -0.67%
RoE = -2.76% (Net Income TTM -5.25m / Total Stockholder Equity 190.0m)
[93m RoCE = unknown (Ebit 25.9m / Total Stockholder Equity 190.0m + Long Term Debt N/A)
[39m RoIC = 3.65% (Ebit 25.9m / (Total Assets 783.6m - Total Current Assets 75.0m) )
[93m WACC = unknown (needs Market Cap, Debt -14.5m, Interest Expense N/A, Taxrate 0.07, CAPM 24.46)
[39m Shares Correlation 5-Years: 100.0 | Cagr: 21.72%
Discount Rate = 24.46% (= CAPM) -> capped to max. Risk Premium 20%
Fair Price DCF = 3.17 (DCF Value 119.0m / Shares Outstanding 37.6m)
Revenue Correlation: 6.86 | Revenue CAGR: 43.91%
Revenue Growth Correlation: 73.24%
EPS Correlation: -17.93 | EPS CAGR: 34.54%
EPS Growth Correlation: -61.68%
Additional Sources for EARN Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle