Ellington Financial's Q4 adjusted profit beats estimates on high origination volumes

Ellington Financial

26/02/2026 24:18

Overview

Financial services firm Q4 adjusted EPS beat analyst expectations

Q4 adjusted net income also came above estimates

Company's balance sheet strengthened by securitization and financing activities

Outlook

Ellington Financial aims to increase market share in loan originations in 2026

Company is optimizing capital structure by retiring high-cost preferred equity

Ellington Financial expects to increase share of unsecured, long-term financings

Result Drivers

LONGBRIDGE SEGMENT - Strong contributions from Longbridge segment due to high origination volumes and gains from proprietary reverse mortgage loan securitizations

CREDIT PORTFOLIO - Increased net interest income and gains from non-QM retained tranches boosted credit portfolio performance

SECURITIZATION AND FINANCING - Securitization activities and unsecured notes offering strengthened balance sheet and supported portfolio expansion

Company press release: ID:nBw6sK2mda

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Adjusted EPS
Beat
$0.47
$0.45 (7 Analysts)
Q4 EPS
$0.14
Q4 Adjusted Net Income
Beat
$51.40 mln
$41.09 mln (6 Analysts)
Q4 Net Income
$14.70 mln
Q4 Net Interest Margin
3.37%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the specialized reits peer group is "buy"

Wall Street's median 12-month price target for Ellington Financial Inc is $14.50, about 15.8% above its February 25 closing price of $12.52

The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 7 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)