Ellington Credit (EARN) Competitors

AGNC Investment (NASDAQ:AGNC) and Ellington Credit (NYSE:EARN) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their dividends, earnings, valuation, risk, profitability, institutional ownership, analyst recommendations and media sentiment.

Which has preferable earnings & valuation, AGNC or EARN?

AGNC Investment has higher revenue and earnings than Ellington Credit. Ellington Credit is trading at a lower price-to-earnings ratio than AGNC Investment, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AGNC Investment	$2.95B	3.40	$863M	$0.34	28.32
Ellington Credit	$15.07M	14.01	$6.59M	-$0.13	-43.23

Is AGNC or EARN more profitable?

AGNC Investment has a net margin of 11.50% compared to Ellington Credit's net margin of -21.82%. AGNC Investment's return on equity of 19.32% beat Ellington Credit's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
AGNC Investment	11.50%	19.32%	1.71%
Ellington Credit	-21.82%	17.67%	3.74%

Is AGNC or EARN a better dividend stock?

AGNC Investment pays an annual dividend of $1.44 per share and has a dividend yield of 15.0%. Ellington Credit pays an annual dividend of $0.96 per share and has a dividend yield of 17.1%. AGNC Investment pays out 423.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Ellington Credit pays out -738.5% of its earnings in the form of a dividend. Ellington Credit is clearly the better dividend stock, given its higher yield and lower payout ratio.

Does the media favor AGNC or EARN?

In the previous week, AGNC Investment had 14 more articles in the media than Ellington Credit. MarketBeat recorded 16 mentions for AGNC Investment and 2 mentions for Ellington Credit. AGNC Investment's average media sentiment score of 1.26 beat Ellington Credit's score of 0.97 indicating that AGNC Investment is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
AGNC Investment	14 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Ellington Credit	1 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts prefer AGNC or EARN?

AGNC Investment currently has a consensus target price of $9.58, suggesting a potential downside of 0.48%. Ellington Credit has a consensus target price of $6.13, suggesting a potential upside of 8.99%. Given Ellington Credit's higher probable upside, analysts clearly believe Ellington Credit is more favorable than AGNC Investment.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AGNC Investment	0 Sell rating(s)	3 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.63
Ellington Credit	0 Sell rating(s)	1 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.50

Which has more risk and volatility, AGNC or EARN?

AGNC Investment has a beta of 1.28, indicating that its share price is 28% more volatile than the S&P 500. Comparatively, Ellington Credit has a beta of 1.29, indicating that its share price is 29% more volatile than the S&P 500.

Do institutionals and insiders believe in AGNC or EARN?

38.3% of AGNC Investment shares are owned by institutional investors. Comparatively, 20.4% of Ellington Credit shares are owned by institutional investors. 0.4% of AGNC Investment shares are owned by company insiders. Comparatively, 1.4% of Ellington Credit shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

AGNC Investment beats Ellington Credit on 11 of the 18 factors compared between the two stocks.