Ellington Financial (NYSE:EFC) Upgraded to “Buy” by Zacks Investment Research

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Zacks Investment Research upgraded shares of Ellington Financial (NYSE:EFC) from a hold rating to a buy rating in a report issued on Wednesday morning, Zacks.com reports. The firm currently has $21.00 price objective on the financial services provider’s stock.

According to Zacks, “Ellington Financial LLC is a finance company that engages in acquiring and managing mortgage-related assets, including residential mortgage backed securities, prime jumbo, Alternative A-paper and subprime residential mortgage loans. The Company’s targeted assets also include mortgage-related derivatives, corporate debt and equity securities and derivatives. Ellington Financial LLC is headquartered in Old Greenwich, USA. “

A number of other brokerages have also recently weighed in on EFC. B. Riley increased their price target on Ellington Financial from $18.50 to $19.50 and gave the stock a buy rating in a research report on Monday. ValuEngine cut Ellington Financial from a hold rating to a sell rating in a research report on Wednesday, October 2nd. Nomura initiated coverage on Ellington Financial in a research report on Friday, September 27th. They set a buy rating and a $20.00 price target on the stock. Finally, Maxim Group reiterated a buy rating and set a $20.00 price target on shares of Ellington Financial in a research report on Friday, January 10th. One investment analyst has rated the stock with a sell rating and four have issued a buy rating to the company. Ellington Financial has an average rating of Buy and an average target price of $20.13.

Shares of Ellington Financial stock traded down $0.08 on Wednesday, reaching $18.73. 7,158 shares of the company were exchanged, compared to its average volume of 276,274. The company has a debt-to-equity ratio of 3.99, a quick ratio of 70.03 and a current ratio of 70.03. The company’s 50-day moving average is $18.29 and its two-hundred day moving average is $18.04. The firm has a market cap of $629.58 million, a price-to-earnings ratio of 13.28 and a beta of 0.38. Ellington Financial has a 1-year low of $15.38 and a 1-year high of $18.89.

Ellington Financial (NYSE:EFC) last announced its quarterly earnings results on Wednesday, November 6th. The financial services provider reported $0.47 earnings per share for the quarter, topping analysts’ consensus estimates of $0.43 by $0.04. The business had revenue of $39.99 million for the quarter, compared to analysts’ expectations of $39.03 million. Ellington Financial had a return on equity of 9.00% and a net margin of 28.49%. As a group, sell-side analysts forecast that Ellington Financial will post 1.81 earnings per share for the current year.

The business also recently declared a monthly dividend, which will be paid on Tuesday, February 25th. Stockholders of record on Friday, January 31st will be given a dividend of $0.15 per share. This represents a $1.80 dividend on an annualized basis and a dividend yield of 9.61%. This is a boost from Ellington Financial’s previous monthly dividend of $0.14. The ex-dividend date is Thursday, January 30th. Ellington Financial’s dividend payout ratio is presently 119.15%.

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Tower Research Capital LLC TRC grew its position in shares of Ellington Financial by 108.9% in the second quarter. Tower Research Capital LLC TRC now owns 1,550 shares of the financial services provider’s stock valued at $28,000 after purchasing an additional 808 shares during the last quarter. Strs Ohio raised its holdings in Ellington Financial by 15.3% in the 3rd quarter. Strs Ohio now owns 8,300 shares of the financial services provider’s stock valued at $149,000 after acquiring an additional 1,100 shares during the period. Wolverine Trading LLC bought a new position in Ellington Financial in the 2nd quarter valued at about $184,000. Russell Investments Group Ltd. raised its holdings in Ellington Financial by 201.5% in the 2nd quarter. Russell Investments Group Ltd. now owns 10,897 shares of the financial services provider’s stock valued at $193,000 after acquiring an additional 7,283 shares during the period. Finally, Cambridge Investment Research Advisors Inc. bought a new position in Ellington Financial in the 3rd quarter valued at about $193,000. Hedge funds and other institutional investors own 63.25% of the company’s stock.

Ellington Financial Company Profile

Ellington Financial LLC, through its subsidiary Ellington Financial Operating Partnership LLC, operates as a specialty finance company in the United States. The company acquires and manages mortgage-related assets, including residential mortgage-backed securities (RMBS) backed by prime jumbo, Alt-A, manufactured housing, and subprime residential mortgage loans; RMBS for which the principal and interest payments are guaranteed by the U.S.

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