Ellington Residential Mortgage REIT Stock Price and Value Analysis

Should you buy Ellington Residential Mortgage REIT stock? (NYSE:EARN). Let's see how it does in our automated value investing analysis system.

AdvantagesDisadvantages
  • This company has a large dividend yield!
  • This stock is available at a great discount!
  • This company is less known than others.
  • This company is making money at a modest rate.
  • This company has wild ups and downs.

Inside the EARN Numbers

EARN Price
(Ellington Residential Mortgage REIT stock price per share)
$6.17
[?] EARN Fair Price
(based on intrinsic value)
$13.04
[?] EARN Safety Price (based on a variable margin of safety) $7.82
[?] PE Ratio versus Sector 8% lower than other Real Estate stocks
[?] PE Ratio versus Industry 89% lower than other Unknown stocks
[?] Free Cash Flow Jitter 145%
[?] Dividend Yield 11%
Shares Shorted 407,967

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 407,967 shares shorted. With 12,769,592 shares available for purchase and an average trading volume over the past 10 trading days of 105,740, it would take at least 3.858 days for all of the short holders to cover their shorts.

Is Ellington Residential Mortgage REIT Stock on Sale?

We believe that Ellington Residential Mortgage REIT may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

Even better, Ellington Residential Mortgage REIT looks like a stock on sale. Based on our analysis—if the company keeps making money the way it has been—you may be looking at a bargain. Keep this stock in mind as you put together your portfolio! See Before You Buy for your next steps (and read our disclaimer about investing risk).

Should You Buy EARN Stock?

Does Ellington Residential Mortgage REIT have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.