(ECC) Eagle Point Credit - Overview
Sector: Financial Services | Industry: Asset Management | Exchange: NYSE (USA) | Market Cap: 533m USD | Total Return: -30.5% in 12m
Industry Rotation: -2.1
Avg Turnover: 3.41M
EPS Trend: -77.5%
Qual. Beats: 0
Rev. Trend: 9.8%
Qual. Beats: -1
Warnings
Share dilution 17.9% YoY
Fakeout
Tailwinds
No distinct edge detected
Eagle Point Credit Company Inc. (ECC) is a closed-end management investment company focused on the U.S. fixed income markets. The fund primarily targets equity and junior debt tranches of collateralized loan obligations (CLOs), which are backed by portfolios of senior secured loans issued to below-investment-grade corporate borrowers.
The CLO structure utilizes a waterfall payment mechanism where equity tranches represent the highest-risk, highest-reward segment, receiving residual cash flows after senior debt obligations are met. This business model allows the fund to capture the spread between the interest earned on underlying corporate loans and the cost of the CLOs debt capital.
Evaluating the historical performance and risk profile of CLO equity requires specialized analysis. You may find additional insights by reviewing the fundamental metrics available on ValueRay. Established in 2014 and managed by Eagle Point Credit Management LLC, the fund operates within the Asset Management & Custody Banks sub-industry.
- CLO equity cash flow distributions drive quarterly dividend coverage and net investment income
- Federal Reserve interest rate pivots impact spreads between loan yields and debt costs
- Default rates in below investment grade senior secured loans affect net asset value
- Secondary market volatility influences the premium or discount to fund net asset value
- New CLO issuance volume dictates reinvestment opportunities and portfolio yield growth
| Net Income: -120.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA -1.78 > 1.0 |
| NWC/Revenue: 47.29% < 20% (prev -33.51%; Δ 80.80% < -1%) |
| CFO/TA 0.05 > 3% & CFO 71.1m > Net Income -120.8m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 4.84 > 1.5 & < 3 |
| Outstanding Shares: last quarter (131.8m) vs 12m ago 17.86% < -2% |
| Gross Margin: 81.02% > 18% (prev 0.11%; Δ 8.09k% > 0.5%) |
| Asset Turnover: 11.19% > 50% (prev 3.40%; Δ 7.79% > 0%) |
| Interest Coverage Ratio: 1.78 > 6 (EBITDA TTM -35.6m / Interest Expense TTM 23.9m) |
| A: 0.06 (Total Current Assets 96.7m - Total Current Liabilities 20.0m) / Total Assets 1.39b |
| B: -0.37 (Retained Earnings -515.5m / Total Assets 1.39b) |
| C: 0.03 (EBIT TTM 42.6m / Avg Total Assets 1.45b) |
| D: 1.83 (Book Value of Equity 750.9m / Total Liabilities 411.0m) |
| Altman-Z'' Score: 1.27 = BB |
Over the past week, the price has changed by -0.74%, over one month by +2.44%, over three months by +7.85% and over the past year by -30.51%.
- StrongBuy: 4
- Buy: 0
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 8.6 | 111.9% |
P/S = 2.612
P/B = 0.75
Revenue TTM = 162.2m USD
EBIT TTM = 42.6m USD
EBITDA TTM = -35.6m USD
Long Term Debt = unknown (none)
Short Term Debt = unknown (none)
Debt = 388.7m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 341.3m USD (from netDebt column, last quarter)
Enterprise Value = 874.1m USD (532.8m + Debt 388.7m - CCE 47.4m)
Interest Coverage Ratio = 1.78 (Ebit TTM 42.6m / Interest Expense TTM 23.9m)
EV/FCF = 12.29x (Enterprise Value 874.1m / FCF TTM 71.1m)
FCF Yield = 8.13% (FCF TTM 71.1m / Enterprise Value 874.1m)
FCF Margin = 43.82% (FCF TTM 71.1m / Revenue TTM 162.2m)
Net Margin = -74.48% (Net Income TTM -120.8m / Revenue TTM 162.2m)
Gross Margin = 81.02% ((Revenue TTM 162.2m - Cost of Revenue TTM 30.8m) / Revenue TTM)
Gross Margin QoQ = none% (prev none%)
Tobins Q-Ratio = 0.63 (Enterprise Value 874.1m / Total Assets 1.39b)
Interest Expense / Debt = 1.77% (Interest Expense 6.88m / Debt 388.7m)
Taxrate = 21.0% (US default 21%)
NOPAT = 33.7m (EBIT 42.6m * (1 - 21.00%))
Current Ratio = 4.84 (Total Current Assets 96.7m / Total Current Liabilities 20.0m)
Debt / Equity = 0.40 (Debt 388.7m / totalStockholderEquity, last quarter 983.9m)
Debt / EBITDA = -9.59 (negative EBITDA) (Net Debt 341.3m / EBITDA -35.6m)
Debt / FCF = 4.80 (Net Debt 341.3m / FCF TTM 71.1m)
Total Stockholder Equity = 1.06b (last 4 quarters mean from totalStockholderEquity)
RoA = -8.33% (Net Income -120.8m / Total Assets 1.39b)
RoE = -11.43% (Net Income TTM -120.8m / Total Stockholder Equity 1.06b)
RoCE = 3.10% (EBIT 42.6m / Capital Employed (Total Assets 1.39b - Current Liab 20.0m))
RoIC = 2.81% (NOPAT 33.7m / Invested Capital 1.20b)
WACC = 5.63% (E(532.8m)/V(921.5m) * Re(8.72%) + D(388.7m)/V(921.5m) * Rd(1.77%) * (1-Tc(0.21)))
Discount Rate = 8.72% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 96.61 | Cagr: 30.84%
[DCF] Terminal Value 88.44% ; FCFF base≈84.1m ; Y1≈103.7m ; Y5≈177.0m
[DCF] Fair Price = 36.25 (EV 5.13b - Net Debt 341.3m = Equity 4.79b / Shares 132.2m; r=6.0% [WACC]; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: -77.47 | EPS CAGR: -8.61% | SUE: 0.20 | # QB: 0
Revenue Correlation: 9.78 | Revenue CAGR: 7.47% | SUE: -1.75 | # QB: -1
EPS current Quarter (2026-06-30): EPS=0.22 | Chg30d=-2.25% | Revisions=-43% | Analysts=4
EPS current Year (2026-12-31): EPS=0.88 | Chg30d=-2.22% | Revisions=-33% | GrowthEPS=-10.0% | GrowthRev=-2.2%
EPS next Year (2027-12-31): EPS=0.94 | Chg30d=-6.50% | Revisions=N/A | GrowthEPS=+5.9% | GrowthRev=+4.0%
[Analyst] Revisions Ratio: -43%