Historical Valuation
Ellington Credit Co (EARN) is now in the Undervalued zone, suggesting that its current forward PE ratio of 5.90 is considered Undervalued compared with the five-year average of 7.28. The fair price of Ellington Credit Co (EARN) is between 11.05 to 13.52 according to relative valuation methord. Compared to the current price of 5.53 USD , Ellington Credit Co is Undervalued By 49.94%.
Relative Value
Fair Zone
11.05-13.52
Current Price：5.53
49.94%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Ellington Credit Co (EARN) has a current Price-to-Book (P/B) ratio of 0.87. Compared to its 3-year average P/B ratio of 0.90 , the current P/B ratio is approximately -3.68% higher. Relative to its 5-year average P/B ratio of 0.90, the current P/B ratio is about -3.12% higher. Ellington Credit Co (EARN) has a Forward Free Cash Flow (FCF) yield of approximately 9.81%. Compared to its 3-year average FCF yield of 3.15%, the current FCF yield is approximately 211.73% lower. Relative to its 5-year average FCF yield of 10.71% , the current FCF yield is about -8.42% lower.
P/B
Median3y
0.90
Median5y
0.90
FCF Yield
Median3y
3.15
Median5y
10.71
Competitors Valuation Multiple
AI Analysis for EARN
The average P/S ratio for EARN competitors is 30.49, providing a benchmark for relative valuation. Ellington Credit Co Corp (EARN.N) exhibits a P/S ratio of 4.13, which is -86.46% above the industry average. Given its robust revenue growth of -338.16%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for EARN
1Y
3Y
5Y
Market capitalization of EARN increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of EARN in the past 1 year is driven by Unknown.
People Also Watch
Frequently Asked Questions
Is EARN currently overvalued or undervalued?
Ellington Credit Co (EARN) is now in the Undervalued zone, suggesting that its current forward PE ratio of 5.90 is considered Undervalued compared with the five-year average of 7.28. The fair price of Ellington Credit Co (EARN) is between 11.05 to 13.52 according to relative valuation methord. Compared to the current price of 5.53 USD , Ellington Credit Co is Undervalued By 49.94% .
What is Ellington Credit Co (EARN) fair value?
EARN's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Ellington Credit Co (EARN) is between 11.05 to 13.52 according to relative valuation methord.
How does EARN's valuation metrics compare to the industry average?
The average P/S ratio for EARN's competitors is 30.49, providing a benchmark for relative valuation. Ellington Credit Co Corp (EARN) exhibits a P/S ratio of 4.13, which is -86.46% above the industry average. Given its robust revenue growth of -338.16%, this premium appears unsustainable.
What is the current P/B ratio for Ellington Credit Co (EARN) as of Jan 11 2026?
As of Jan 11 2026, Ellington Credit Co (EARN) has a P/B ratio of 0.87. This indicates that the market values EARN at 0.87 times its book value.
What is the current FCF Yield for Ellington Credit Co (EARN) as of Jan 11 2026?
As of Jan 11 2026, Ellington Credit Co (EARN) has a FCF Yield of 9.81%. This means that for every dollar of Ellington Credit Co’s market capitalization, the company generates 9.81 cents in free cash flow.
What is the current Forward P/E ratio for Ellington Credit Co (EARN) as of Jan 11 2026?
As of Jan 11 2026, Ellington Credit Co (EARN) has a Forward P/E ratio of 5.90. This means the market is willing to pay $5.90 for every dollar of Ellington Credit Co’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Ellington Credit Co (EARN) as of Jan 11 2026?
As of Jan 11 2026, Ellington Credit Co (EARN) has a Forward P/S ratio of 4.13. This means the market is valuing EARN at $4.13 for every dollar of expected revenue over the next 12 months.