Financial HealthCore earnings strongly over-cover the dividend, which is currently yielding 11.3%, indicating strong financial health.
Growth PotentialThe improvement in monthly affordability from the 50-year mortgage product could unlock an expansion of the total addressable mortgage and servicing market, benefiting stocks like Ellington which combine scale, access to capital, and analytical expertise.
Stock ValuationEFC shares currently trade at a significant discount to the valuation of AGNC Investment, suggesting potential for price appreciation.