Piper Sandler Has Lowered Expectations for Ellington Credit (NYSE:EARN) Stock Price

Ellington Credit (NYSE:EARN) had its price target lowered by Piper Sandler from $6.00 to $5.50 in a research report issued on Friday,Benzinga reports. The brokerage currently has an “overweight” rating on the real estate investment trust’s stock. Piper Sandler’s price objective would suggest a potential upside of 13.64% from the company’s current price.

Several other brokerages have also issued reports on EARN. Wall Street Zen raised Ellington Credit from a “sell” rating to a “hold” rating in a research report on Tuesday, November 11th. UBS Group set a $6.00 price target on shares of Ellington Credit in a research report on Tuesday, December 23rd. One research analyst has rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $5.75.

Ellington Credit Stock Down 1.4%

Shares of EARN opened at $4.84 on Friday. The business’s fifty day moving average is $5.30 and its 200 day moving average is $5.36. Ellington Credit has a 12-month low of $4.32 and a 12-month high of $6.46. The stock has a market cap of $181.79 million, a P/E ratio of -11.80 and a beta of 1.29.

Ellington Credit (NYSE:EARN) last issued its quarterly earnings data on Wednesday, March 4th. The real estate investment trust reported $0.21 EPS for the quarter, missing analysts’ consensus estimates of $0.24 by ($0.03). Ellington Credit had a positive return on equity of 16.47% and a negative net margin of 34.31%.The company had revenue of $11.12 million for the quarter, compared to the consensus estimate of $12.71 million. On average, analysts expect that Ellington Credit will post 1.17 EPS for the current year.

Institutional Trading of Ellington Credit

Several institutional investors and hedge funds have recently modified their holdings of the business. Inspire Advisors LLC grew its holdings in shares of Ellington Credit by 13.7% during the second quarter. Inspire Advisors LLC now owns 19,566 shares of the real estate investment trust’s stock worth $113,000 after purchasing an additional 2,363 shares in the last quarter. Envestnet Asset Management Inc. lifted its position in Ellington Credit by 6.5% during the third quarter. Envestnet Asset Management Inc. now owns 76,237 shares of the real estate investment trust’s stock valued at $415,000 after purchasing an additional 4,675 shares during the last quarter. Virtu Financial LLC purchased a new position in Ellington Credit in the 4th quarter worth approximately $57,000. Quadrature Capital Ltd bought a new position in shares of Ellington Credit in the 4th quarter worth $75,000. Finally, Engineers Gate Manager LP bought a new position in shares of Ellington Credit in the 2nd quarter worth $83,000. Hedge funds and other institutional investors own 20.40% of the company’s stock.

Ellington Credit Company Profile

Ellington Credit Income Fund (NYSE: EARN) is a closed-end management investment company that seeks to generate current income through a diversified portfolio of mortgage- and asset-backed securities. The fund primarily invests in residential mortgage-backed securities (RMBS) and asset-backed securities (ABS), with additional exposure to commercial mortgage-backed securities (CMBS) and related structured credit instruments. To enhance income and manage risk, the fund employs leverage and derivative strategies such as interest rate swaps and credit default swaps, allowing it to adjust duration and credit exposure dynamically.

The fund is externally managed and advised by Ellington Management Group, LLC, an established investment firm specializing in mortgage credit and structured products.