Ellington Financial Announces Estimated Book Value Per Common Share as of April 30, 2024

Rhea-AI Summary

Ellington Financial (NYSE: EFC) reported an estimated book value per common share of $13.86 as of April 30, 2024.

This estimate includes the impact of a previously announced monthly dividend of $0.13 per share, which is payable on May 28, 2024, to shareholders of record on April 30, 2024.

The ex-dividend date was April 29, 2024.

Positive

• Estimated book value per share is $13.86 as of April 30, 2024.
• Announcement includes the effect of a monthly dividend of $0.13 per share.
• Dividend payable on May 28, 2024, to holders of record on April 30, 2024.

Negative

• The announcement is an estimate, not a final figure.
• The book value includes the impact of dividends, which may skew the book value perception.

Insights

Financial Analyst

Ellington Financial Inc.'s estimated book value per share (BVPS) as of April 30, 2024, stands at $13.86. This metric plays a important role in assessing the worth of the company's assets relative to its outstanding shares. A stable or increasing BVPS often signals good financial health, provided no significant dilution or over-leverage occurs.

The announcement of a $0.13 monthly dividend per share, payable on May 28, 2024, with an ex-dividend date of April 29, 2024, should be noted by investors. While consistent dividends might appeal to income-seeking investors, they also suggest that the company has sufficient cash flow or reserves to distribute profits.

It is important for shareholders to compare the BVPS against the company’s stock price to gauge current valuation. A stock trading below its BVPS might indicate a potential undervaluation, whereas trading above could suggest overvaluation or expectations of future growth.

Investors should also consider the sustainability of dividends in the current economic environment. Maintaining dividends during difficult periods can strain finances, whereas reducing them might impact stock price negatively.

In the context of Ellington Financial's sector, it's important to compare these metrics with industry peers to get a fuller picture of relative performance.

Market Research Analyst

From a market perspective, Ellington Financial's announcement of an estimated BVPS of $13.86 offers a snapshot into the company's valuation relative to its stock price. This estimate helps investors understand the intrinsic value of their shares, especially when considering market fluctuations.

It's essential to observe industry trends and how Ellington Financial's metrics align with those of comparable firms. A strong BVPS in relation to competitors can indicate solid asset management and financial stability. Conversely, any disparity might warrant a closer look at underlying factors such as asset quality or leverage.

Furthermore, the company’s commitment to a regular $0.13 monthly dividend may attract income-focused investors, reinforcing confidence in the company's cash flow stability. However, given the current economic landscape, investors should be cautious about the long-term viability of such payouts without compromising capital growth.

Overall, this data should be analyzed within the broader context of market conditions, competition and the company’s historical performance to make informed investment decisions.

OLD GREENWICH, Conn.--(BUSINESS WIRE)-- Ellington Financial Inc. (NYSE: EFC) (the "Company") today announced its estimated book value per share of common stock of $13.86 as of April 30, 2024. This estimate includes the effect of the previously announced monthly dividend of $0.13 per share of common stock, payable on May 28, 2024 to holders of record on April 30, 2024, with an ex-dividend date of April 29, 2024.

Cautionary Statement Regarding Forward-Looking Statements

Estimated book value per common share is subject to change upon completion of the Company's month-end and quarter-end valuation procedures relating to its investment positions, and any such change could be material. There can be no assurance that the Company's estimated book value per common share as of April 30, 2024 is indicative of what the Company's results are likely to be for the three- or six- month periods ending June 30, 2024 or in future periods, and the Company undertakes no obligation to update or revise its estimated book value per common share prior to issuance of financial statements for such periods.

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve numerous risks and uncertainties. The Company's actual results may differ from its beliefs, expectations, estimates, and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Forward-looking statements are not historical in nature and can be identified by words such as "believe," "expect," "anticipate," "estimate," "project," "plan," "continue," "intend," "should," "would," "could," "goal," "objective," "will," "may," "seek" or similar expressions or their negative forms, or by references to strategy, plans, or intentions. Examples of forward-looking statements in this press release include statements regarding the Company's payment of dividends. Forward-looking statements are based on our beliefs, assumptions and expectations of our future operations, business strategies, performance, financial condition, liquidity and prospects, taking into account information currently available to us. These beliefs, assumptions, and expectations are subject to risks and uncertainties and can change as a result of many possible events or factors, not all of which are known to us. If a change occurs, our business, financial condition, liquidity, results of operations and strategies may vary materially from those expressed or implied in our forward-looking statements. The following factors are examples of those that could cause actual results to vary from our forward-looking statements: changes in interest rates and the market value of the Company's investments, market volatility, changes in mortgage default rates and prepayment rates, the Company's ability to borrow to finance its assets, changes in government regulations affecting the Company's business, the Company's ability to maintain its exclusion from registration under the Investment Company Act of 1940, the Company's ability to achieve cost savings and efficiencies, operating efficiencies, synergies and other benefits, including the increased scale, and avoid potential business disruption from its completed merger with Arlington Asset Investment Corp.; the Company's ability to maintain its qualification as a real estate investment trust, or "REIT," and other changes in market conditions and economic trends, such as changes to fiscal or monetary policy, heightened inflation, slower growth or recession, and currency fluctuations. Furthermore, forward-looking statements are subject to risks and uncertainties, including, among other things, those described under Item 1A of the Company's Annual Report on Form 10-K, which can be accessed through the Company's website at www.ellingtonfinancial.com or at the SEC's website (www.sec.gov). Other risks, uncertainties, and factors that could cause actual results to differ materially from those projected or implied may be described from time to time in reports the Company files with the SEC, including reports on Forms 10-Q, 10-K and 8-K. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

This release and the information contained herein do not constitute an offer of any securities or solicitation of an offer to purchase securities.

About Ellington Financial

Ellington Financial invests in a diverse array of financial assets, including residential and commercial mortgage loans and mortgage-backed securities, reverse mortgage loans, mortgage servicing rights and related investments, consumer loans, asset-backed securities, collateralized loan obligations, non-mortgage and mortgage-related derivatives, debt and equity investments in loan origination companies, and other strategic investments. Ellington Financial is externally managed and advised by Ellington Financial Management LLC, an affiliate of Ellington Management Group, L.L.C.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240529990030/en/

Investors:

Ellington Financial Inc.

Investor Relations

(203) 409-3575

info@ellingtonfinancial.com



or



Media:

Amanda Shpiner/Sara Widmann

Gasthalter & Co.

for Ellington Financial

(212) 257-4170

Ellington@gasthalter.com

Source: Ellington Financial

FAQ

What is the estimated book value per share of Ellington Financial as of April 30, 2024?

The estimated book value per share of Ellington Financial as of April 30, 2024, is $13.86.

When is the dividend payment date for Ellington Financial's monthly dividend?

The dividend payment date for Ellington Financial's monthly dividend is May 28, 2024.

What is the ex-dividend date for Ellington Financial's monthly dividend?

The ex-dividend date for Ellington Financial's monthly dividend is April 29, 2024.

How much is Ellington Financial's monthly dividend per share?

Ellington Financial's monthly dividend per share is $0.13.

Why is the book value per share of Ellington Financial important?

The book value per share provides an estimate of the company's value on a per-share basis, which can be useful for assessing the company's financial health and investment potential.