Ellington Credit Swings to Q1 Profit, NAV Rises to $4.18
EARN is trading near its 52-week low of $4.25 (2.4% above the low).
Summary
Ellington Credit reported Q1 fiscal 2026 GAAP net income of $12.3 million ($0.33/share), a sharp reversal from the prior quarter's $32.3 million loss. NAV per share rose to $4.18 from $4.10 in June, driven by an 8% quarterly economic return. Net investment income of $6.1 million ($0.16/share) still lags the repositioned portfolio's potential, but management expects growth as excess liquidity is deployed. The company raised $2.6 million at a 5% premium to NAV, signaling investor demand. This follows the June 11 committed equity facility and the August 10 $0.08 distribution declaration. The stock trades near its 52-week low at $4.35, so the NAV recovery and profitability could support a re-rating.
At the time of this announcement, EARN was trading at $4.35 on NYSE in the Finance sector, with a market capitalization of approximately $163.9M. The 52-week trading range was $4.25 to $5.89. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: BusinessWire.