Latest Ratios: P/E Ratio -11.6x · EV/EBITDA N/A · ROE -8.3%. (2012–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $165M | $198M | $180M | $91M | $90M | $132M | $161M | $135M | $131M | $140M | $119M |
| Enterprise Value | $327M | $361M | $711M | $782M | $898M | $1.1B | $1.1B | $1.4B | $1.6B | $1.7B | $1.3B |
| P/E Ratio → | -11.55 | — | 27.58 | 19.77 | — | — | 8.00 | 6.06 | — | 12.95 | 9.93 |
| P/S Ratio | 3.87 | 4.65 | 3.55 | 1.65 | — | 60.84 | 4.49 | 2.15 | 4.90 | 3.93 | 4.53 |
| P/B Ratio | 1.07 | 1.29 | 0.93 | 0.67 | 0.80 | 0.85 | 0.97 | 0.84 | 0.85 | 0.72 | 0.84 |
| P/FCF | 0.30 | 0.37 | 19.73 | — | 4.03 | 4.73 | 6.61 | 7.71 | 4.54 | 2.32 | 5.95 |
| P/OCF | 0.30 | 0.37 | 19.73 | — | 4.03 | 4.73 | 6.61 | 7.71 | 4.54 | 2.32 | 5.95 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 8.47 | 14.03 | 14.13 | — | 520.59 | 31.14 | 22.22 | 59.63 | 47.30 | 49.00 |
| EV / EBITDA | — | — | 100.19 | 171.57 | — | — | 55.60 | 62.73 | — | 155.80 | 46.34 |
| EV / EBIT | — | — | 100.19 | 171.57 | — | — | 55.60 | 62.73 | — | 155.80 | 107.77 |
| EV / FCF | — | 0.67 | 78.02 | — | 40.06 | 40.44 | 45.88 | 79.63 | 55.25 | 27.90 | 64.39 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 85.4% | 85.4% | 31.3% | 18.2% | 244.6% | -25.7% | 72.2% | 43.8% | -21.6% | 46.4% | 64.6% |
| Operating Margin | -19.8% | -19.8% | 14.0% | 8.2% | 294.6% | -291.3% | 56.0% | 35.4% | -42.3% | 30.4% | 45.5% |
| Net Profit Margin | -33.9% | -33.9% | 13.0% | 8.2% | 294.6% | -291.3% | 56.0% | 35.4% | -42.3% | 30.4% | 45.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -8.3% | -8.3% | 4.0% | 3.7% | -22.7% | -3.9% | 12.3% | 14.1% | -6.5% | 6.5% | 8.3% |
| ROA | -2.4% | -2.4% | 0.7% | 0.5% | -2.3% | -0.5% | 1.5% | 1.4% | -0.6% | 0.7% | 0.8% |
| ROIC | -1.1% | -1.1% | 0.7% | 0.4% | -2.1% | -0.4% | 1.1% | 1.1% | -0.5% | 0.5% | 0.7% |
| ROCE | -3.8% | -3.8% | 3.7% | 2.9% | -8.8% | -1.8% | 11.0% | 11.9% | -4.8% | 4.2% | 4.3% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.43 | 1.43 | 2.91 | 5.35 | 7.49 | 6.90 | 6.10 | 8.06 | 9.63 | 8.29 | 8.46 |
| Debt / EBITDA | — | — | 79.34 | 160.02 | — | — | 50.48 | 58.24 | — | 148.05 | 43.26 |
| Net Debt / Equity | — | 1.06 | 2.74 | 5.07 | 7.18 | 6.46 | 5.75 | 7.84 | 9.51 | 8.00 | 8.22 |
| Net Debt / EBITDA | — | — | 74.85 | 151.57 | — | — | 47.59 | 56.66 | — | 142.85 | 42.05 |
| Debt / FCF | — | 0.30 | 58.29 | — | 36.03 | 35.72 | 39.27 | 71.92 | 50.71 | 25.58 | 58.43 |
| Interest Coverage | -0.80 | -0.80 | 0.20 | 0.10 | -2.04 | -2.32 | 2.02 | 0.63 | -0.35 | 0.57 | 1.28 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.35 | 0.35 | 0.13 | 0.12 | 0.10 | 0.15 | 0.11 | 0.06 | 0.08 | 0.07 | 0.10 |
| Quick Ratio | 0.35 | 0.35 | 0.13 | 0.12 | 0.10 | 0.15 | 0.11 | 0.06 | 0.08 | 0.07 | 0.10 |
| Cash Ratio | 0.35 | 0.35 | 0.05 | 0.05 | 0.04 | 0.06 | 0.06 | 0.03 | 0.01 | 0.04 | 0.03 |
| Asset Turnover | — | 0.11 | 0.06 | 0.06 | -0.01 | 0.00 | 0.03 | 0.04 | 0.02 | 0.02 | 0.02 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 21.8% | 18.1% | 12.4% | 15.5% | 15.4% | 13.1% | 8.6% | 11.4% | 14.6% | 12.6% | 13.1% |
| Payout Ratio | — | — | 337.3% | 309.8% | — | — | 68.8% | 69.5% | — | 163.0% | 130.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 3.6% | 5.1% | — | — | 12.5% | 16.5% | — | 7.7% | 10.1% |
| FCF Yield | 100.0% | 273.1% | 5.1% | — | 24.8% | 21.2% | 15.1% | 13.0% | 22.0% | 43.1% | 16.8% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.3% | 0.0% | 0.6% | 0.6% | 7.2% | 0.0% | 0.2% |
| Total Shareholder Yield | 21.8% | 18.1% | 12.4% | 15.5% | 15.7% | 13.1% | 9.2% | 12.0% | 21.7% | 12.6% | 13.2% |
| Shares Outstanding | — | $38M | $27M | $15M | $13M | $13M | $12M | $12M | $13M | $12M | $9M |
Net interest margin compression
According to recent market data, EARN trades at a P/B ratio of 1.12, which, when compared to peers like MFA Financial at 0.57, suggests that investors may be pricing in a premium for the Ellington platform's specialized credit management despite the company's current negative earnings trajectory.
The forward P/E of 5.23 appears to imply a recovery in net interest margins that may not materialize if the current yield curve inversion persists. Investors should monitor whether this valuation premium is sustainable given the persistent erosion of book value and the high fee drag associated with the external management structure.
Based on reported figures, EARN's ROIC has trended into negative territory, reaching -0.8% in 2025Q1, a stark reversal from the 2.0% peak observed in 2023Q4, which indicates that the firm is currently failing to generate positive returns on its invested capital base.
This decay in returns is primarily driven by the compression of net interest margins and the high cost of hedging against mortgage basis volatility. The inability to maintain positive ROIC suggests that the current portfolio composition is not effectively compensating for the inherent leverage risks taken by the firm.
As reported in financial statements, EARN maintains a current ratio of 0.05 as of 2025Q1, a figure that highlights the extreme liquidity constraints inherent in its repo-financed business model and leaves the company with minimal margin for error during periods of sudden market stress.
The reliance on short-term repurchase agreements to fund long-term mortgage assets creates a structural liquidity mismatch that is exacerbated by the current interest rate environment. This vulnerability warrants further investigation into the firm's ability to meet margin calls without further dilutive asset sales or capital raises.
The P/E ratio is frequently misapplied to EARN, as it fails to account for the significant non-cash mark-to-market adjustments on the RMBS portfolio that distort GAAP earnings, making Earnings Available for Distribution (EAD) a far more reliable metric for assessing the company's true economic performance.
Using P/E to value this business model obscures the underlying cash-generating power of the mortgage portfolio by including volatile, unrealized gains and losses. Analysts should instead focus on the stability of the net interest margin and the sustainability of the dividend relative to EAD to avoid misleading valuation conclusions.
Includes 30+ ratios · 14 years · Updated daily
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
See how regular investing compounds over time.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying EARN stock.
Ellington Credit Company's current P/E ratio is -11.6x. The historical average is 13.4x.
Ellington Credit Company's return on equity (ROE) is -8.3%. The historical average is 0.6%.
Based on historical data, Ellington Credit Company is trading at a P/E of -11.6x. Compare with industry peers and growth rates for a complete picture.
Ellington Credit Company's current dividend yield is 21.78%.
Ellington Credit Company has 85.4% gross margin and -19.8% operating margin.