Seeking Alpha·Jun 27, 2026
Eagle Point Credit: I Avoid Common Stock For Now, Focus On Senior SecuritiesEagle Point Credit focuses on CLO equity and junior debt tranches, offering high yield but elevated risk, particularly for common shareholders. ECC's net investment income is pressured by realized and unrealized losses, with only $0.067 per share attributable to common shareholders in Q1. The asset coverage ratio for preferred stock recently fell below the 200% threshold, prompting ECC to retire notes and restore compliance.
