Comparing Ellington Credit (NYSE:EARN) & Brixmor Property Group (NYSE:BRX)

Ellington Credit (NYSE:EARN) and Brixmor Property Group (NYSE:BRX) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their earnings, profitability, analyst recommendations, valuation, dividends, risk and institutional ownership.

Analyst Recommendations

This is a summary of current ratings for Ellington Credit and Brixmor Property Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ellington Credit	0	2	0	0	2.00
Brixmor Property Group	0	4	8	0	2.67

Ellington Credit presently has a consensus target price of $6.00, suggesting a potential downside of 14.16%. Brixmor Property Group has a consensus target price of $28.13, suggesting a potential upside of 3.76%. Given Brixmor Property Group’s stronger consensus rating and higher probable upside, analysts clearly believe Brixmor Property Group is more favorable than Ellington Credit.

Valuation & Earnings

This table compares Ellington Credit and Brixmor Property Group’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ellington Credit	$10.93 million	13.09	$4.56 million	$0.29	24.10
Brixmor Property Group	$1.26 billion	6.48	$305.09 million	$0.93	29.15

Brixmor Property Group has higher revenue and earnings than Ellington Credit. Ellington Credit is trading at a lower price-to-earnings ratio than Brixmor Property Group, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Ellington Credit has a beta of 1.89, indicating that its stock price is 89% more volatile than the S&P 500. Comparatively, Brixmor Property Group has a beta of 1.57, indicating that its stock price is 57% more volatile than the S&P 500.

Dividends

Ellington Credit pays an annual dividend of $0.96 per share and has a dividend yield of 13.7%. Brixmor Property Group pays an annual dividend of $1.09 per share and has a dividend yield of 4.0%. Ellington Credit pays out 331.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Brixmor Property Group pays out 117.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Insider & Institutional Ownership

20.4% of Ellington Credit shares are held by institutional investors. Comparatively, 98.4% of Brixmor Property Group shares are held by institutional investors. 2.5% of Ellington Credit shares are held by insiders. Comparatively, 0.8% of Brixmor Property Group shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Ellington Credit and Brixmor Property Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ellington Credit	N/A	12.21%	1.53%
Brixmor Property Group	23.45%	10.34%	3.47%

Summary

Brixmor Property Group beats Ellington Credit on 11 of the 16 factors compared between the two stocks.

About Ellington Credit

Ellington Credit Company, a real estate investment trust, acquires, invests in, and manages residential mortgage-and real estate-related assets. It acquires and manages residential mortgage-backed securities (RMBS), including agency pools and agency collateralized mortgage obligations (CMOs); and non-agency RMBS, such as non-agency CMOs, such as investment grade and non-investment grade. The company has elected to be taxed as a real estate investment trust. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to shareholders. The company was formerly known as Ellington Residential Mortgage REIT and changed its name to Ellington Credit Company in April 2024. Ellington Credit Company was incorporated in 2012 and is based in Old Greenwich, Connecticut.

About Brixmor Property Group

Brixmor (NYSE: BRX) is a real estate investment trust (REIT) that owns and operates a high-quality, national portfolio of open-air shopping centers. Its 362 retail centers comprise approximately 64 million square feet of prime retail space in established trade areas. The Company strives to own and operate shopping centers that reflect Brixmor's vision to be the center of the communities we serve and are home to a diverse mix of thriving national, regional and local retailers. Brixmor is a proud real estate partner to over 5,000 retailers including The TJX Companies, The Kroger Co., Publix Super Markets and Ross Stores.