Eagle Point Credit Company Inc. (NYSE:ECC) Sees Significant Growth in Short Interest

Key Points

• Eagle Point Credit Company Inc. experienced a significant growth in short interest, reaching 3,500,000 shares as of August 31, up 21.1% from two weeks earlier.
• Institutional investments in ECC have increased, with Wedbush Securities raising its stake by 31.3%, and overall, institutional investors now own 19.50% of the company's stock.
• The company announced a monthly dividend of $0.14 per share, equating to a remarkable 24.0% annualized yield for shareholders of record on November 10.

Eagle Point Credit Company Inc. (NYSE:ECC - Get Free Report) was the target of a significant growth in short interest in August. As of August 31st, there was short interest totaling 3,500,000 shares, a growth of 21.1% from the August 15th total of 2,890,000 shares. Currently, 4.6% of the shares of the stock are short sold. Based on an average daily volume of 1,776,900 shares, the short-interest ratio is currently 2.0 days. Based on an average daily volume of 1,776,900 shares, the short-interest ratio is currently 2.0 days. Currently, 4.6% of the shares of the stock are short sold.

Institutional Investors Weigh In On Eagle Point Credit

A number of institutional investors and hedge funds have recently added to or reduced their stakes in ECC. Wedbush Securities Inc. grew its holdings in shares of Eagle Point Credit by 31.3% during the 1st quarter. Wedbush Securities Inc. now owns 745,271 shares of the investment management company's stock worth $6,037,000 after purchasing an additional 177,661 shares during the period. Global Assets Advisory LLC acquired a new position in Eagle Point Credit in the first quarter valued at about $844,000. PFG Investments LLC boosted its stake in Eagle Point Credit by 10.7% during the first quarter. PFG Investments LLC now owns 685,957 shares of the investment management company's stock worth $5,556,000 after buying an additional 66,558 shares during the period. Cetera Investment Advisers increased its position in shares of Eagle Point Credit by 151.7% during the first quarter. Cetera Investment Advisers now owns 70,746 shares of the investment management company's stock valued at $573,000 after acquiring an additional 42,637 shares during the last quarter. Finally, SFI Advisors LLC increased its position in shares of Eagle Point Credit by 174.6% during the first quarter. SFI Advisors LLC now owns 65,173 shares of the investment management company's stock valued at $528,000 after acquiring an additional 41,438 shares during the last quarter. Hedge funds and other institutional investors own 19.50% of the company's stock.

Analyst Ratings Changes

Several equities research analysts recently issued reports on ECC shares. Keefe, Bruyette & Woods lowered their price objective on Eagle Point Credit from $9.00 to $7.50 and set a "market perform" rating on the stock in a report on Thursday, May 29th. Alliance Global Partners assumed coverage on Eagle Point Credit in a research note on Thursday. They issued a "buy" rating and a $7.75 price target on the stock. Craig Hallum initiated coverage on Eagle Point Credit in a research report on Thursday. They set a "buy" rating and a $7.75 price target for the company. Credit Suisse Group set a $7.50 price objective on Eagle Point Credit in a report on Thursday, May 29th. Finally, LADENBURG THALM/SH SH raised shares of Eagle Point Credit to a "strong-buy" rating in a research note on Wednesday, August 13th. One research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $8.21.

Eagle Point Credit Trading Up 0.7%

Shares of ECC stock traded up $0.05 on Thursday, hitting $6.99. 1,197,342 shares of the stock traded hands, compared to its average volume of 1,704,360. The company has a debt-to-equity ratio of 0.32, a quick ratio of 2.23 and a current ratio of 2.23. Eagle Point Credit has a twelve month low of $6.00 and a twelve month high of $10.00. The firm's 50-day moving average price is $7.07 and its two-hundred day moving average price is $7.54. The stock has a market capitalization of $537.88 million, a PE ratio of 63.55 and a beta of 0.38.

Eagle Point Credit Announces Dividend

The firm also recently announced a monthly dividend, which will be paid on Friday, November 28th. Shareholders of record on Monday, November 10th will be paid a dividend of $0.14 per share. The ex-dividend date of this dividend is Monday, November 10th. This represents a c) annualized dividend and a yield of 24.0%. Eagle Point Credit's dividend payout ratio (DPR) is 1,527.27%.

Eagle Point Credit Company Profile

Eagle Point Credit Company Inc is a closed ended fund launched and managed by Eagle Point Credit Management LLC. It invests in fixed income markets of the United States. The fund invests equity and junior debt tranches of collateralized loan obligations consisting primarily of below investment grade U.S.

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