Stock · Real Estate
EFC ELLINGTON FINANCIAL INC 1EL REIT
ELLINGTON FINANCIAL INC 1EL REIT shows several signals that historically correlate with elevated dividend risk.
Why we rate it 3.5
- Very high yield of 11.58% — often signals stress or a structural pay-out (covered call ETFs, mREITs, etc.)
- Payout ratio of 96% is stretched — much above 100% means the dividend exceeds earnings
- Current yield is in line with the 5-year average of 12.13%
- Small-cap scale — dividend stability less assured during downturns
Where EFC ranks
We compute the same 0–10 safety score across 53 dividend-paying stocks and ETFs. Here's where EFC lands inside that universe.
The universe is curated to the most-searched US dividend payers. We'll expand it as the data layer grows; sector percentiles only appear when we have at least 5 comparable peers.
The two questions a safety score doesn't answer
A safety score tells you how durable EFC's payout looks. It does not tell you what you keep after tax, or whether something else does the same job better.
On tax: what you actually pocket depends on whether EFC dividends are qualified — qualified distributions are taxed at 0%, 15%, or 20%, while ordinary ones are taxed at your full marginal rate, a gap that can reach 22 percentage points of the income on the same headline yield.
On substitutes: if EFC's 3.5/10 score is lower than you want, see EFC alternatives — same-sector stocks ranked by how closely they match EFC on both yield and safety, so you can see what a swap actually costs you.
About ELLINGTON FINANCIAL INC 1EL REIT
Ellington Financial Inc., through its subsidiary, Ellington Financial Operating Partnership LLC, acquires and manages mortgage-related, consumer-related, corporate-related, and other financial assets in the United States. It operates in two segments, Investment Portfolio and Longbridge. The company acquires and manages residential mortgage-backed securities (RMBS) backed by prime jumbo, Alt-A, non-QM, manufactured housing, subprime residential, and single-family-rental mortgage loans; RMBS for which the principal and interest payments are guaranteed by the U.S. government agency or the U.S. government-sponsored entity; residential and commercial mortgage loans; residential mortgage-backed securities; commercial mortgage-backed securities; consumer loans and asset-backed securities backed by consumer loans; investments referencing mortgage servicing rights on traditional forward mortgage loans; collateralized loan obligations; non-mortgage- and mortgage-related derivatives; debt and equity investments in loan origination companies; and other strategic investments. It also offers reverse mortgage loans, including associated financial assets, financing, hedging, and allocated expenses. The company qualifies as a real estate investment trust (REIT) for federal income tax purposes that intends to distribute at least 90% of its taxable income as dividends to shareholders. Ellington Financial Inc. was incorporated in 2007 and is headquartered in Old Greenwich, Connecticut.
How we score dividend safety
The Infnits dividend safety score is a 0–10 rating derived from yield zone, payout ratio (when applicable), yield trend versus 5-year average, instrument type, and company size. Each factor is independently transparent — see the reasons above for exactly which factors contributed to EFC's score.
For the full methodology including the in-app version that uses ETF look-through and historical cut data, see our methodology page.
This is educational, not investment advice. Dividend safety scores reflect a snapshot of public data on the "as of" date shown. Verify current data on the issuer's investor relations page or your brokerage before making decisions.
Frequently asked questions
Is EFC safe?
On dividend safety specifically, Infnits scores EFC 3.5/10 — weak. ELLINGTON FINANCIAL INC 1EL REIT shows several signals that historically correlate with elevated dividend risk. That score measures how durable the payout looks based on yield zone, payout ratio, yield trend, and instrument type; it does not measure price risk, valuation, or whether EFC suits your portfolio.
Is EFC's dividend safe?
Based on snapshot data — yield 11.58%, payout ratio 96%, instrument type stock — Infnits rates EFC's dividend safety profile as weak (3.5/10). This is one signal, not a recommendation.
What is EFC's current dividend yield?
EFC has a current dividend yield of 11.58% as of July 5, 2026. Its 5-year average yield is 12.13%.
How is EFC's safety score calculated?
The score combines yield zone (yields above 7% historically carry elevated cut risk), payout ratio (lower is safer), trend vs. 5-year average yield, instrument type (ETFs are inherently more diversified), and size (larger companies have more stable cash flows). Each factor is scored 0-2.5 and summed to a 0-10 result.
Where does this data come from?
Fundamentals are sourced from public market data and refreshed regularly. The "as of" date on each page reflects the snapshot used for the score. For real-time data, check the issuer's investor relations page or your brokerage.
Should I buy EFC based on this score?
No — this is an educational score based on a handful of public signals, not investment advice. Use it as one input among many. For a portfolio-aware analysis with ETF look-through and personalized insights, install the Infnits app.
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