Eagle Stock Buy Hold or Sell Recommendation

ECCB -  USA Stock  

USD 25.13  0.01  0.0398%

Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Eagle Point Credit is 'Hold'. Macroaxis provides Eagle Point buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding ECCB positions. The advice algorithm takes into account all of Eagle Point's available fundamental, technical, and predictive indicators you will find on this site.

Eagle Advice 

 
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The advice is provided from Eagle Point's buy-and-hold perspective. Continue to Eagle Point Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Eagle and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Eagle Point Credit.

Execute Eagle Point Buy or Sell Advice

The Eagle recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Eagle Point Credit. Macroaxis does not own or have any residual interests in Eagle Point Credit or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Eagle Point's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Eagle PointBuy Eagle Point
Hold

Volatility

Very steadyDetails

Hype Condition

StaleDetails

Current Valuation

Fairly ValuedDetails

Odds of Distress

Quite HighDetails

Economic Sensitivity

Barely shadows the marketDetails

Analyst Consensus

Not AvailableDetails

Reporting Quality (M-Score)

UnavailableDetails
For the selected time horizon Eagle Point Credit has a Risk Adjusted Performance of 0.0458, Jensen Alpha of 0.0187, Total Risk Alpha of 0.0357, Sortino Ratio of 0.2124 and Treynor Ratio of 0.1413
Our investment recommendation module complements current analysts and expert consensus on Eagle Point. It analyzes the firm potential to grow using all fundamental, technical, and market related data available at the time. To make sure Eagle Point is not overpriced, please confirm all Eagle Point Credit fundamentals, including its current valuation, price to earning, gross profit, as well as the relationship between the shares owned by institutions and price to sales . Given that Eagle Point Credit has a number of shares shorted of 1.34 K, we urge you to verify Eagle Point Credit market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Eagle Point Trading Alerts and Improvement Suggestions

Eagle Point Credit has high likelihood to experience some financial distress in the next 2 years
Eagle Point Credit currently holds about 7.26 M in cash with (100.62 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.21.
Latest headline from finance.yahoo.com: Eagle Point Credit Company Inc. Announces Full Redemption of the 7.75 percent Series B Term Preferred Stock Due 2026 and 6.75 percent Notes Due 2027 and Partial Redemption of the 6.6875 percent Notes Due 2028 - Yahoo Finance

Eagle Point Returns Distribution Density

The distribution of Eagle Point's historical returns is an attempt to chart the future uncertainty of Eagle Point's future price movements. The chart of the probability distribution of Eagle Point stock daily returns describes the distribution of returns around its average expected value. We use Eagle Point Credit price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Eagle Point returns is essential to provide solid investment advice for Eagle Point stock.
Mean Return0.0229Value At Risk-0.39
Potential Upside0.40Standard Deviation0.30
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Eagle Point historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Eagle Point Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Eagle Point or Financial Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Eagle Point stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Eagle stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.018692
β
Beta against DOW0.09
σ
Overall volatility
0.31
Ir
Information ratio 0.26

Eagle Point Volatility Alert

Eagle Point Credit exhibits very low volatility with skewness of -1.32 and kurtosis of 4.22. However, we advise investors to further study Eagle Point Credit technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Eagle Point's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Eagle Point's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Eagle Point Implied Volatility

Eagle Point's implied volatility exposes the market's sentiment of Eagle Point Credit stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Eagle Point's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Eagle Point stock will not fluctuate a lot when Eagle Point's options are near their expiration.

Eagle Point Fundamentals Vs Peers

Comparing Eagle Point's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Eagle Point's direct or indirect competition across all of the common fundamentals between Eagle Point and the related equities. This way, we can detect undervalued stocks with similar characteristics as Eagle Point or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Eagle Point's fundamental indicators could also be used in its relative valuation, which is a method of valuing Eagle Point by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Eagle Point to competition
FundamentalsEagle PointPeer Average
Return On Equity57.66 %(0.31) %
Return On Asset5.33 %(0.14) %
Profit Margin289.37 %(1.27) %
Operating Margin67.56 %(5.51) %
Current Valuation1.13 B16.62 B
Shares Outstanding23.12 M571.82 M
Shares Owned by Institutions16.75 %39.21 %
Number of Shares Shorted1.34 K4.71 M
Price to Earning4.04 X28.72 X
Price to Book1.80 X9.51 X
Price to Sales5.40 X11.42 X
Revenue75.9 M9.43 B
Gross Profit63.55 M27.38 B
Net Income219.62 M570.98 M
Cash and Equivalents7.26 M2.7 B
Cash per Share0.21 X5.01 X
Total Debt235.78 M5.32 B
Debt to Equity0.48 %48.70 %
Current Ratio1.65 X2.16 X
Book Value Per Share13.98 X1.93 K
Cash Flow from Operations(100.62 M)971.22 M
Short Ratio0.17 X4.00 X
Earnings Per Share6.22 X3.12 X
Number of Employees718.84 K
Beta1.11-0.15
Market Capitalization410.2 M19.03 B
Z Score0.68.72
Five Year Return7.17 %
Last Dividend Paid1.94

Eagle Point Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Eagle . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution3.66
Daily Balance Of Power(0.25)
Rate Of Daily Change1.0
Day Median Price25.14
Day Typical Price25.14
Market Facilitation Index0.0
Price Action Indicator(0.015)

About Eagle Point Buy or Sell Advice

When is the right time to buy or sell Eagle Point Credit? Buying financial instruments such as Eagle Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Eagle Point investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Eagle Point in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Aluminum Theme
Companies involved in production of aluminum. Aluminum theme has 18 constituents.
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Continue to Eagle Point Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Eagle Point Credit information on this page should be used as a complementary analysis to other Eagle Point's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.

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Is Eagle Point's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Eagle Point. If investors know Eagle will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Eagle Point listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Eagle Point Credit is measured differently than its book value, which is the value of Eagle that is recorded on the company's balance sheet. Investors also form their own opinion of Eagle Point's value that differs from its market value or its book value, called intrinsic value, which is Eagle Point's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Eagle Point's market value can be influenced by many factors that don't directly affect Eagle Point's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Eagle Point's value and its price as these two are different measures arrived at by different means. Investors typically determine Eagle Point value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Eagle Point's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.