Register for Free to get streaming real-time quotes, interactive charts, live options flow, and more.
| Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
|---|---|---|---|---|---|
| Ejf Investments Ltd | LSE:EJFI | London | Ordinary Share | JE00BF0D1M25 | ORD NPV |
| Price Change | % Change | Share Price | Shares Traded | Last Trade
|
|
|---|---|---|---|---|---|
| 0.50 | 0.45% | 112.50 | 0.00 | 08:00:28 |
| Bid Price | Offer Price | High Price | Low Price | Open Price | |
|---|---|---|---|---|---|
| 110.00 | 115.00 | 112.50 | 112.50 | 112.50 | |
| Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
|---|---|---|---|---|---|
| Trust,ex Ed,religious,charty | -4.34M | -7.98M | -0.1306 | -8.61 | 68.48M |
| Last Trade Time | Trade Type | Trade Size | Trade Price | Currency |
|---|---|---|---|---|
| - | O | 0 | 112.50 | GBX |
| Date | Time | Source | Headline |
|---|---|---|---|
| 20/11/2024 | 07:00 | UK RNS | EJF Investments Ltd Net Asset Value and Portfolio Update |
| 04/11/2024 | 15:43 | ALNC |  EXECUTIVE CHANGES: Sanderson hires in UK and US; Oberon gets Penny |
| 04/11/2024 | 07:00 | UK RNS | EJF Investments Ltd Chair Appointment |
| 29/10/2024 | 17:58 | UK RNS | EJF Investments Ltd Dividend Declaration |
| 21/10/2024 | 06:00 | UK RNS | EJF Investments Ltd Net Asset Value and Portfolio Update |
| 17/9/2024 | 14:00 | UK RNS | EJF Investments Ltd Announcement of Interim Results to 30 June 2024 |
| 17/9/2024 | 06:00 | UK RNS | EJF Investments Ltd Net Asset Value and Portfolio Update |
| 06/9/2024 | 15:36 | UK RNS | EJF Investments Ltd Board Appointment |
| 21/8/2024 | 06:00 | UK RNS | EJF Investments Ltd Notice of Interim Results and Results Presentation |
| 21/8/2024 | 06:00 | UK RNS | EJF Investments Ltd Net Asset Value and Portfolio Update |
Ejf Investments (EJFI) Share Charts1 Year Ejf Investments Chart |
|
1 Month Ejf Investments Chart |
Intraday Ejf Investments Chart |
| Date | Time | Title | Posts |
|---|---|---|---|
| 14/9/2024 | 09:20 | EJF Investments | 38 |
| 21/2/2018 | 10:44 | EJF Investments | 2 |
| Trade Time | Trade Price | Trade Size | Trade Value | Trade Type |
|---|---|---|---|---|
| 2024-11-20 16:35:18 | 112.00 | 25,000 | 28,000.00 | UT |
| 2024-11-20 12:52:15 | 110.00 | 8,000 | 8,800.00 | O |
| Top Posts |
|---|
Posted at 21/11/2024 08:20 by Ejf Investments Daily Update Ejf Investments Ltd is listed in the Trust,ex Ed,religious,charty sector of the London Stock Exchange with ticker EJFI. The last closing price for Ejf Investments was 112p.Ejf Investments currently has 61,145,198 shares in issue. The market capitalisation of Ejf Investments is £68,788,348. Ejf Investments has a price to earnings ratio (PE ratio) of -8.61. This morning EJFI shares opened at 112.50p |
Posted at 14/9/2024 09:20 by cousinit That they have probably received a decent chunk of the EJFI marketing budget...? |
Posted at 09/9/2024 12:59 by njb67 I watched the presentation, a few observations.Positives Stable/increasing dividend over the last seven years Yield 10% (after recent share price rise) Management expertise Niche investment that may complement other holdings Low default rate over seven years (<1%) Questions - If this is such a good investment (high yield, low(er) risk), then why has interest in the trust been relatively low (£65m MCAP)? - To what extent will the stated investment case translate into shareholder value? a) The share price has risen by 10% (the yield has reduced from 11.1% to 10%) from the data that was in the presentation, suggesting that the 10% reduction in share price resulting from the fall out of regional bank failures has already reversed. b) The majority of the company's investments are rated by Moodys between Baa3 and Ba3 (slide 14). While Baa3 is at the lower end of what is classified as investment grade by Moodys, Ba3 is classified as non-investment grade/speculative. We do not know the break down between investment and non-investment grade holdings. c) The presenter argued that the underlying value of their holdings can increase when two separate issuers of debt merge. EJFI have only worked with 166 banks out of 4300 in the US, so how likely will consolidation impact the value of their holdings? It is an interesting fund, quite niche and could be a good long term holding. It will likely be tainted, rightly or wrongly, with the fall out from the US banking sector crisis 10 or so years ago. I have added a small position to my portfolio. |
Posted at 09/9/2024 10:25 by cc2014 I find it interesting that having cleared whoever was selling at around 96/97p, the rise in share price has not enticed any other sellers out. No-one is flipping for 10% and it appears at least for the moment remaining holders think it's worth holding on. |
Posted at 07/9/2024 09:24 by fordtin Many thanks for the link.Anyone with an investment, or considering an investment in EJFI, really should take the time to watch the video and/or read the transcript. For people without an hour to spare, this bit of the Q&A might be of interest; “Are dividends covered? GL: In terms of this high yield you’re offering and your dividends, you’ve got a target of paying 10.7 pence per share in dividends. Is that a flat or rising dividend? NW: It’s been flat the last few years. We’ve raised it twice since we started. We think the CRT transactions, where you get this higher 12% to 20% yield on those opportunities-, again, I can’t promise or guarantee of course, but we would expect the dividend to go up. Again, we’re motivated to do so. We own 26% of the shares as well. So, this is really supposed to generate nice steady income. So, if the underlying assets-, I think it’s on page 14, that most important slide, on a net basis we’re producing 10%-11% yield. So that covers a nice dividend, even if that discount compresses. GL: These dividends are covered by earnings? By the income you’re receiving? NW: Yes. GL: If you succeed in rerating the shares, eliminating this wide discount, would the current yield fall to around 8%? NW: It would be that 10% net yield, yes. GL: 10%, so still a very attractive yield and then you’ve got the potential rerating in the share price. NW: Yes.” |
Posted at 25/8/2024 07:39 by boystown From the article above referenced by davebowler, Citywire:"DON’T MISS! EJF – High yields, lower risk: Why US small bank lending makes sense" (Tues 3 Sept) I have a few of these but don't have a real feel for how safe it is - and my P/F is way overloaded with financials already. ----- Here's the gist: "EJF Investments (EJFI), a high-yielding lender to small US banks and insurers, is coming to Citywire at 11am on Tuesday 3 September to explain why its specialist strategy deserves a closer look from income investors. In a presentation entitled, ‘High yields, lower risk: Why lending to US small banks makes sense’, Neal Wilson, chief executive and chief investment officer of fund manager EJF Capital will set out why he believes the fund’s low share price rating exaggerates the risks after last year’s crisis in US regional banks. Shares in the £58m investment company currently stand at a significant 42% discount to the £100m net asset value (NAV) of its loan portfolio and offer an attractive 11% yield. While the collapse of Silicon Valley and Signature banks rattled the market, Wilson (pictured below) will explain that EJF was largely immune with its highly diversified exposure to small, but not regional, US institutions. UK investors can take comfort from the presence of fund managers Premier Miton and Newton and an insurance company among its top shareholders." |
Posted at 17/8/2024 11:12 by kernelthread I am a little tempted by the high yield. On the other hand it would have to be a small position only, so the extra yield over something like NCYF would only amount to a small additional return. Also the fact the share price keeps dropping is worrying. After all, if you get 11% yield but the share price also drops 11% you haven't really made anything. It's the equivalent of putting your money in a shoebox under the bed and taking out 11% every year. After 9 years the box is empty and you haven't achieved anything. |
Posted at 22/7/2024 08:48 by davebowler Panmure Liberum viewSome lingering concerns over the US banking sector have impacted EJFI's share price rating YTD. We think the shares provide very strong value at these levels, yielding 11.1%. Credit remains the primary risk to EJFI's strategy as a higher for longer interest rate environment would likely create more credit quality concerns. It is worth reflecting on the recent strength of the KWB regional banking index, which tracks the performance of publicly traded regional banks in the US. It is now close to the level before the collapse of SVB. Sentiment has in part reflected a belief that a potential victory for Donald Trump would create a favourable regulatory environment for bank M&A. All else equal, the more consolidation there is within US regional banks, the better it is for EJFI's return outlook. In our view, the share price discount more than covers specific risks that can emerge within the securitised investments, given the diversified pool of underlying collateral.On the recent capital relief deals, the manager has a strong track record in identifying opportunities with potential for high risk adjusted returns. This has most recently been illustrated by the mortgage servicing rights investments since the first investments were made in late 2020. |
Posted at 21/6/2024 08:10 by davebowler Liberum1.3% portfolio return in May Analyst: Shonil Chande Mkt Cap £62m | Share price 101.0p | Prem/(disc) -37.3% | Div yield 10.6% Event EJF Investments’ NAV per share of 161p, as at 31 May 2024, reflected a NAV total return of -0.2%. Valuation movements were minimal, with a portfolio return of 1.3% largely reflecting interest accruals from the CDO equity portfolio (+1.16% in the month). The impact of the dollar weakening was -1.2%. Investment activity In May, EJFI invested c.$1m through a cross trade with a fund managed by an affiliate in a capital relief transaction (CRT) bond. The bond bears an interest rate of SOFR plus 15.50%. It was issued by an SPV containing a pool of nursing home development loans originated by a small US bank with c.$16bn in assets. By issuing this bond, the bank significantly reduces its required regulatory capital on the pool of loans carried on its balance sheet. EJFI’s manager believes that future CRTs on strong loan pools from small US banks may present a growing and attractive opportunity. Market update Bank equities experienced a modest rally in May as interest rates declined following in-line inflation readings. M&A activity in the US banking sector also intensified. However, small and mid-sized banks with high commercial real estate (CRE) exposure remained out of favor. The manager’s view is that most traditional commercial real estate loans outside of CRE Office are likely to fare well this cycle as long as interest rates do not climb to much higher levels and stay at those higher levels for a long period of time. M&A in May On 20 May 2024, SouthState Corp announced the acquisition of Independent Bank Group in Texas in an all-stock transaction valued at approximately 1.48 times tangible book value. The combined entity will have nearly $65 billion in assets, with a significant presence in the southeast and southwest US. This was the second deal since the beginning of April where an acquirer has surpassed the $50bn asset threshold. EJFI’s manager believes the deal is likely to gain regulatory approval and was surprised at the low valuation IBTX accepted. There is a chance of a higher bid emerging, as similar franchises have sold for closer to twice tangible book value in the past. EJFI has exposure to IBTX through its CDO Equity investments and expects the acquisition to be value-accretive as the combined entity will be stronger. |
Posted at 23/5/2024 09:36 by davebowler Liberum-Banking sector M&A and Republic First and NYCB updates Analyst: Shonil Chande Mkt Cap £62m | Share price 101.0p | Prem/(disc) -38.4% | Div yield 10.6% Event EJF Investments’ NAV per share increased by 1.3% month-on-month in April 2024, to 126p. Valuation movements were minimal, with a portfolio return of 1.0% largely reflecting interest accruals from the CDO equity portfolio. The impact of the dollar strengthening was +0.5%. Republic First failure and EJFI exposure Republic First became the first US banking failure of 2024 in April. Its failure has been attributed largely to a mismanagement of interest rate risk. Higher interest rates increased unrealised losses in its available-for-sale securities portfolio, reducing buyer interest and tangible book value. Fulton Financial subsequently announced the acquisition of the majority of Republic First’s $6bn in assets, through the the FDIC resolution process. Fulton expects a 1.2-year earn-back on the deal. Assuming no recovery and considering the current over-collateralisati New York Community Bank (NYCB) out of crisis mode NYCB has been the key factor behind lower sentiment towards US regional banks over the past two months or so, reflected by the KBW bank index. In January 2024, NYCB reported unexpectedly low earnings, down by 50% and leading to a 70% dividend cut. NYCB’s earnings announcement also included an increase in credit provisions on account of commercial real estate office loans and rent-regulated multi-family exposures. EJFI’s factsheet notes that NYCB is out of crisis mode, following its Q1 results and a stabilisation in deposit levels. As at 31 January 2024, EJFI’s underlying exposure to NYCB was less than 2.5%. US banking sector M&A Three meaningful deals took place in April, summarised below: Liberum view Some lingering concerns over the US banking sector have impacted EJFI’s share price rating YTD, with first NYCB and more recently Republic First. In the manager’s view, there are unlikely to be many FDIC deals (like Republic First) this cycle as most banks with upside-down balance sheets should be able to be sold at a price with time. As long as banking issues remain idiosyncratic, we think a bigger takeaway is the recent vibrancy in M&A. If the manager’s assertion (in the factsheet) that the deals are the tip of the iceberg plays out, this will materially increase the return potential of the equity securitisation portfolio (69% of total investments). One of the acquired banks, Heartland Financial, was the 8th largest look-through portfolio exposure, as at 31 March 2024. From EJFI’s perspective, the regulatory aspect of the strategy centres on the consolidation of US banks. The number of banks consolidated from c. 16k in the 1980s to c. 8k following the GFC. Today, there are still over 4k banks. A unique characteristic is the ubiquity of community banks and it is these institutions that issue the bulk of the TruPS collateral pool. As the majority of the TruPS trade at a discount to par, prepayment speeds have a material impact on the returns to equity holders of the securitisations. When a larger bank acquires a smaller one, it can result in the acquired bank's TruPS being redeemed or called at par. This pull-to-par effect has historically allowed EJFI to realise gains on TruPS purchased at a discount within legacy CDO deals. Maintaining the c. 5% post-GFC consolidation rate over the next 10 years would result in c. 2.5k banks by 2033. A rate of between 2.5% and 5% is probably a fair working assumption, in our view. We are BUYers with a 137p TP. |
Posted at 08/9/2023 13:29 by davebowler LiberumStructured CreditEJF Investments Solid performance in the toughest market since the financial crisisAnalyst: Joachim KlementMkt Cap £65m | Share price 107.0p | Prem/(disc) -34.4% | Div yield 10.0%EventThe company published its interim report for the six months ending 30 June 2023. The NAV as per 30 June (162p) and per 31 July (163p) were previously announced.The total return for the period was -9.57% compared to an annualised total return since inception of 9.1%. The first half of 2023 saw significant events in the US banking sector. This included the failure of Silicon Valley Bank and Signature Bank, the US government engineered and back-stopped sale of First Republic Bank to JP Morgan and the voluntary liquidation of Silvergate Capital Corporation ("Silvergate"). Of the four banks, EJFI's only exposure was to Silvergate, which was equivalent to less than 2.5% of the then NAV on a look through basis and prior to any recoveries.Due to the impact of these events on broader market sentiment and the recommencement of limited trading activity in the second quarter of the year, the CDO Equity Tranches recorded significant unrealised mark-to-market losses creating the drawdown in the NAV. The company believes that these mark-to-market losses are temporary and will be reversed.?Liberum viewWhile H1 2023 has been the toughest environment for structured finance since the financial crisis 2008, the track record of EJFI speaks for itself. The annualised total return since inception of 9.14% is well within the target range of 8-10% p.a. despite the drawdown in the period. The company trades on a 34.4% discount to NAV, compared to a long-run average discount of 15%. The average discount for the wider structured credit peer group is 13%.We acknowledge there is an element of an illiquidity premium, but we believe the current share price offers an attractive entry point into a high-performing portfolio. After all, we know that US regional banks are not failing but are able to withstand current high interest rates. This speaks for a significant recovery in depressed mark-to-market valuations in the second half of this year. Even if we assume the discount to NAV simply closes to its long-run average, the upside to the share price is more than 20%. We are BUYers of the fund. |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
Hot Features
Premium
