Eagle Point Credit (NYSE:ECC) Stock Price Crosses Below Fifty Day Moving Average – Should You Sell?

by · The Markets Daily

Eagle Point Credit Company Inc. (NYSE:ECC – Get Free Report)’s share price crossed below its 50 day moving average during trading on Monday . The stock has a 50 day moving average of $3.89 and traded as low as $3.64. Eagle Point Credit shares last traded at $3.6750, with a volume of 1,661,276 shares traded.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on ECC shares. Zacks Research raised shares of Eagle Point Credit from a “strong sell” rating to a “hold” rating in a research note on Friday, May 1st. Alliance Global Partners reaffirmed a “buy” rating on shares of Eagle Point Credit in a report on Wednesday, April 15th. Three analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, Eagle Point Credit presently has a consensus rating of “Moderate Buy” and an average price target of $6.50.

Read Our Latest Research Report on ECC

Eagle Point Credit Stock Down 0.1%

The firm’s fifty day moving average price is $3.87 and its 200-day moving average price is $4.26. The company has a market capitalization of $489.84 million, a price-to-earnings ratio of 5.53 and a beta of 0.36. The company has a debt-to-equity ratio of 0.02, a current ratio of 0.23 and a quick ratio of 0.23.

Eagle Point Credit (NYSE:ECC – Get Free Report) last announced its quarterly earnings results on Tuesday, May 19th. The investment management company reported $0.20 EPS for the quarter, missing analysts’ consensus estimates of $0.23 by ($0.03). The firm had revenue of $42.40 million during the quarter, compared to the consensus estimate of $48.79 million. Eagle Point Credit had a negative net margin of 87.16% and a negative return on equity of 1.09%. Sell-side analysts expect that Eagle Point Credit Company Inc. will post 0.71 earnings per share for the current fiscal year.

Eagle Point Credit Dividend Announcement

The company also recently declared a monthly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Thursday, September 10th will be paid a dividend of $0.06 per share. This represents a c) dividend on an annualized basis and a dividend yield of 19.4%. The ex-dividend date of this dividend is Thursday, September 10th. Eagle Point Credit’s dividend payout ratio (DPR) is presently 202.99%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in ECC. International Assets Investment Management LLC boosted its position in Eagle Point Credit by 201.8% during the 4th quarter. International Assets Investment Management LLC now owns 1,278,195 shares of the investment management company’s stock worth $7,362,000 after buying an additional 854,625 shares during the period. PFG Investments LLC increased its position in Eagle Point Credit by 2.8% in the 4th quarter. PFG Investments LLC now owns 839,463 shares of the investment management company’s stock valued at $4,835,000 after acquiring an additional 22,499 shares during the period. Legacy Wealth Managment LLC ID raised its stake in shares of Eagle Point Credit by 2.2% during the first quarter. Legacy Wealth Managment LLC ID now owns 575,559 shares of the investment management company’s stock valued at $2,164,000 after acquiring an additional 12,253 shares during the last quarter. Freestone Capital Holdings LLC raised its stake in shares of Eagle Point Credit by 58.7% during the fourth quarter. Freestone Capital Holdings LLC now owns 528,356 shares of the investment management company’s stock valued at $3,043,000 after acquiring an additional 195,503 shares during the last quarter. Finally, Jane Street Group LLC lifted its holdings in shares of Eagle Point Credit by 167.6% during the fourth quarter. Jane Street Group LLC now owns 460,318 shares of the investment management company’s stock worth $2,651,000 after purchasing an additional 288,314 shares during the period. Institutional investors and hedge funds own 19.50% of the company’s stock.

About Eagle Point Credit

(Get Free Report)

Eagle Point Credit Company is a closed-end, non-diversified management investment company that seeks to generate attractive risk-adjusted returns primarily through investments in collateralized loan obligations (CLOs) and related structured credit instruments. The firm is externally managed by Eagle Point Credit Management, LLC, a specialized credit asset manager focused on the structured credit markets. Eagle Point Credit Company’s shares trade on the New York Stock Exchange under the ticker symbol ECC.

The company’s investment strategy centers on acquiring both equity and debt tranches of actively managed CLOs alongside opportunistic positions in senior secured loans, high-yield bonds and credit derivatives.

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