Eagle Point Credit (NYSE:ECC) Shares Gap Down - Time to Sell?

Eagle Point Credit Company Inc. (NYSE:ECC - Get Free Report) gapped down prior to trading on Wednesday . The stock had previously closed at $7.66, but opened at $7.41. Eagle Point Credit shares last traded at $7.51, with a volume of 566,646 shares.

Wall Street Analysts Forecast Growth

Several research firms have commented on ECC. Keefe, Bruyette & Woods cut their target price on Eagle Point Credit from $9.00 to $7.50 and set a "market perform" rating on the stock in a research note on Thursday. Credit Suisse Group set a $7.50 price objective on Eagle Point Credit in a report on Thursday.

Eagle Point Credit Stock Up 1.9%

The company has a current ratio of 2.27, a quick ratio of 2.27 and a debt-to-equity ratio of 0.18. The stock has a market cap of $604.04 million, a P/E ratio of 9.35 and a beta of 0.46. The firm has a 50-day simple moving average of $7.70 and a two-hundred day simple moving average of $8.42.

Eagle Point Credit (NYSE:ECC - Get Free Report) last issued its quarterly earnings data on Wednesday, May 28th. The investment management company reported $0.28 earnings per share for the quarter, topping the consensus estimate of $0.26 by $0.02. The business had revenue of $52.30 million during the quarter, compared to analysts' expectations of $53.54 million. Eagle Point Credit had a net margin of 44.67% and a return on equity of 12.53%. Equities research analysts expect that Eagle Point Credit Company Inc. will post 1.1 earnings per share for the current fiscal year.

Eagle Point Credit Announces Dividend

The business also recently announced a monthly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Wednesday, September 10th will be issued a $0.14 dividend. The ex-dividend date of this dividend is Wednesday, September 10th. This represents a $1.68 dividend on an annualized basis and a dividend yield of 21.40%. Eagle Point Credit's dividend payout ratio (DPR) is currently 200.00%.

Insiders Place Their Bets

In other Eagle Point Credit news, CEO Thomas P. Majewski acquired 1,087 shares of Eagle Point Credit stock in a transaction that occurred on Friday, March 21st. The shares were bought at an average price of $23.00 per share, with a total value of $25,001.00. Following the completion of the purchase, the chief executive officer now directly owns 1,087 shares in the company, valued at $25,001. This trade represents a ∞ increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at the SEC website. Insiders own 0.17% of the company's stock.

Institutional Investors Weigh In On Eagle Point Credit

Institutional investors and hedge funds have recently made changes to their positions in the business. Janney Montgomery Scott LLC raised its stake in Eagle Point Credit by 35.0% during the 4th quarter. Janney Montgomery Scott LLC now owns 50,370 shares of the investment management company's stock worth $447,000 after buying an additional 13,067 shares during the period. Kingswood Wealth Advisors LLC acquired a new position in shares of Eagle Point Credit during the fourth quarter worth approximately $98,000. Money Concepts Capital Corp bought a new position in shares of Eagle Point Credit in the 4th quarter worth $1,696,000. Choreo LLC grew its position in Eagle Point Credit by 60.6% in the 4th quarter. Choreo LLC now owns 38,856 shares of the investment management company's stock valued at $344,000 after purchasing an additional 14,669 shares during the period. Finally, Strategic Financial Concepts LLC bought a new stake in Eagle Point Credit during the 4th quarter valued at $158,000. Institutional investors own 19.50% of the company's stock.

About Eagle Point Credit

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.