Ellington Credit Company (EARN) P/E Ratio History
UndervaluedTrading at 18.3x vs 5Y avg 25.7x · 50th percentile · Below historical baseline · Data 2014–2024
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P/E Ratio Analysis
As of June 21, 2026, Ellington Credit Company (EARN) trades at a price-to-earnings ratio of 18.3x, with a stock price of $4.39 and trailing twelve-month earnings per share of $-0.15.
The current P/E is 29% below its 5-year average of 25.7x. Over the past five years, EARN's P/E has ranged from a low of 4.1x to a high of 91.5x, placing the current valuation at the 50th percentile of its historical range.
Compared to the Financial Services sector median P/E of 13.6x, EARN trades at a 35% premium to its sector peers. The sector includes 783 companies with P/E ratios ranging from 0.0x to 196.5x.
Relative to the broader market, EARN trades at a notable discount to the S&P 500 median P/E of 24.4x. Investors should consider the company's growth prospects, competitive position, and earnings quality when evaluating whether the current valuation is justified.
For a comprehensive intrinsic value estimate using discounted cash flow analysis, see our EARN DCF Valuation Calculator →
Note: P/E ratio is just one valuation metric. It does not account for balance sheet strength, cash flow quality, or growth sustainability. Always conduct comprehensive due diligence before making investment decisions.
EARN Cross-Benchmark Valuation
How does the current P/E compare to sector peers and the broader market?
EARN P/E vs Peers
Closed-end funds and investment trusts peers sorted by market cap
| Company | Market Cap | P/E Ratio | PEG Ratio | EPS Growth (1Y) |
|---|---|---|---|---|
| $1B | 11.3 | 0.45 | -13% | |
| $12B | 7.1 | - | +58% | |
| $16B | 7.6 | - | +80% | |
| $973M | 5.7 | - | +105% | |
| $252M | 8.8 | - | -27% | |
| $575M | 5.2Lowest | - | +135%Best | |
| $2B | 5.3 | - | +66% | |
| $1B | 5.4 | 0.11Best | +114% |
Lower P/E can signal a discount or weaker growth expectations; PEG adds growth context.
EARN Historical P/E Data (2014–2024)
Quarterly P/E ratios calculated from closing price and TTM EPS
| Quarter | Period End | Price | TTM EPS | P/E Ratio | vs Avg |
|---|---|---|---|---|---|
| FY2024 Q4 | - | $6.62 | $0.30 | 22.1x | +5% |
| FY2024 Q3 | Sep 30 2024 | $6.98 | $1.12 | 6.2x | -70% |
| FY2024 Q2 | Jun 30 2024 | $6.95 | $0.16 | 43.4x | +106% |
| FY2024 Q1 | Mar 31 2024 | $6.91 | $0.29 | 24.1x | +14% |
| FY2023 Q4 | Dec 31 2023 | $6.13 | $0.26 | 23.9x | +13% |
| FY2023 Q3 | Sep 30 2023 | $6.21 | $0.39 | 16.1x | -24% |
| FY2023 Q2 | Jun 30 2023 | $7.21 | $0.10 | 74.9x | +255% |
| FY2021 Q3 | - | $11.16 | $0.32 | 34.9x | +65% |
| FY2021 Q2 | Jun 30 2021 | $11.77 | $0.91 | 12.9x | -39% |
| FY2021 Q1 | Mar 31 2021 | $12.31 | $3.00 | 4.1x | -81% |
| FY2020 Q4 | - | $13.04 | $1.64 | 8.0x | -62% |
| FY2020 Q3 | Sep 30 2020 | $11.10 | $1.82 | 6.1x | -71% |
| FY2020 Q2 | - | $10.30 | $1.46 | 7.1x | -67% |
| FY2019 Q4 | - | $10.85 | $1.79 | 6.1x | -71% |
| FY2019 Q3 | Sep 30 2019 | $10.54 | $0.21 | 49.9x | +137% |
| FY2019 Q1 | Mar 31 2019 | $11.90 | $0.13 | 91.5x | +334% |
| FY2018 Q2 | Jun 30 2018 | $10.90 | $0.38 | 28.7x | +36% |
| FY2018 Q1 | Mar 31 2018 | $10.96 | $0.39 | 28.1x | +33% |
| FY2017 Q4 | Dec 31 2017 | $12.04 | $0.91 | 13.2x | -37% |
| FY2017 Q3 | Sep 30 2017 | $14.52 | $1.07 | 13.6x | -36% |
| FY2017 Q2 | Jun 30 2017 | $14.66 | $1.32 | 11.1x | -47% |
| FY2017 Q1 | Mar 31 2017 | $14.66 | $1.55 | 9.5x | -55% |
| FY2016 Q4 | Dec 31 2016 | $13.01 | $1.30 | 10.0x | -53% |
| FY2016 Q3 | Sep 30 2016 | $12.98 | $1.19 | 10.9x | -48% |
| FY2015 Q2 | - | $14.28 | $0.68 | 21.0x | -0% |
| FY2015 Q1 | - | $16.38 | $1.87 | 8.8x | -58% |
| FY2014 Q4 | Dec 31 2014 | $16.27 | $1.77 | 9.2x | -56% |
| FY2014 Q3 | - | $16.19 | $1.89 | 8.6x | -59% |
| FY2014 Q2 | Jun 30 2014 | $17.03 | $2.24 | 7.6x | -64% |
Average P/E for displayed period: 21.1x
Intrinsic Valuation
DCF models, multiple analysis, and analyst estimates.
Historical Returns
12+ years return with dividends reinvested.
DCA Calculator
See how regular investing compounds over time.
Peer Comparison
Compare growth, multiples, and margins vs sector.
EARN — Frequently Asked Questions
Quick answers to the most common questions about buying EARN stock.
What is EARN's P/E ratio?
Ellington Credit Company (EARN) trailing twelve-month P/E ratio is 18.3x, based on TTM diluted EPS of $-0.15. The 5-year average P/E is 25.7x and the historical range spans 4.1x to 91.5x.
Is EARN stock overvalued or undervalued?
EARN trades at 18.3x P/E, below its 5-year average of 25.7x. At the 50th percentile of its historical range (4.1x–91.5x), the stock is priced at a discount to its own history.
Is EARN stock expensive?
No, EARN is not expensive on a historical basis. The current P/E of 18.3x is below the 5-year average of 25.7x and sits at the 50th percentile of its valuation range.
What is EARN's historical P/E range?
Over the past 5 years, EARN's P/E ratio has ranged from 4.1x to 91.5x, with a median of 22.1x and an average of 25.7x. The current P/E of 18.3x places the stock at the 50th percentile of this range. Full historical data spans 2014–2024.
How does EARN's P/E compare to the S&P 500?
EARN trades at 18.3x P/E versus the S&P 500 median of 24.4x. The 25% discount to the market suggests lower growth expectations or perceived higher risk.
How does EARN's valuation compare to Financial Services peers?
Ellington Credit Company P/E of 18.3x compares to the Financial Services sector median of 13.6x. The premium reflects expected growth above peers or stronger fundamentals. See the peer comparison table on this page for ticker-by-ticker P/E and PEG.
What is EARN's PEG ratio?
EARN PEG ratio is N/A, based on a P/E of 18.3x and EPS growth of -22.6%. PEG normalises P/E by growth and helps compare stocks with different earnings trajectories.
What is EARN's earnings yield?
EARN earnings yield is 5.47%, the inverse of its 18.3x P/E ratio. Earnings yield represents the percentage of each dollar invested that the company earns. It can be compared directly to bond yields to assess relative attractiveness of stocks versus fixed income.