Eagle Point Credit Management LLC, along with Eagle Point DIF GP I LLC, recently reported significant sales of ACRES Commercial Realty Corp. (NYSE:ACR) preferred stock. The transactions, disclosed in a Form 4 filing with the Securities and Exchange Commission, involved the sale of 601 shares of 8.625% Series C Preferred Stock and 10,000 shares of 7.875% Series D Preferred Stock.
The sales, executed on October 18, 2024, amounted to a total value of $247,864. The Series C shares were sold at prices ranging from $24.88 to $24.91, while the Series D shares were sold at prices between $23.28 and $23.30. Following these transactions, Eagle Point Credit Management LLC and Eagle Point DIF GP I LLC continue to hold substantial positions in ACRES Commercial Realty, with 499,391 shares of Series C and 921,078 shares of Series D Preferred Stock remaining in their portfolios.
The securities are held by private investment funds and accounts managed by Eagle Point Credit Management LLC, with Eagle Point DIF GP I LLC serving as a general partner to certain accounts. Despite the sales, both entities disclaim beneficial ownership of the securities, citing indirect pecuniary interest.
In other recent news, Acres Commercial Realty Corp is under the spotlight following its Q2 2024 financial results, revealing a GAAP net income of $1.7 million and a book value per share of $27.20. The company highlighted a strategic focus on enhancing the credit quality of its investments, including the resolution of a defaulted loan and active management of real estate investments. Acres Commercial Realty also reported a net decrease in its loan portfolio, signaling potential future asset sales and the reinstatement of dividends.
Simultaneously, Jones Trading initiated coverage on Acres Commercial Realty, assigning a Hold rating to the stock. The firm acknowledged Acres Commercial Realty's ongoing efforts to improve its loan portfolio's quality and its strategy to monetize equity assets in future quarters.
InPoint Commercial Real Estate Income, Inc. successfully concluded its 2024 Annual Meeting of Stockholders. The meeting resulted in the election of five directors to its Board and the ratification of KPMG LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2024.
These are part of the recent developments within Acres Commercial Realty and InPoint Commercial Real Estate Income, Inc. Please note that these updates are based on the companies' own reports and independent analysis from firms such as Jones Trading.
InvestingPro Insights
While Eagle Point Credit Management LLC and Eagle Point DIF GP I LLC have reduced their holdings in ACRES Commercial Realty Corp.'s preferred stock, it's worth examining the company's overall financial health and market performance.
According to InvestingPro data, ACRES Commercial Realty Corp. (NYSE:ACR) has a market capitalization of $112.33 million USD. The company's stock has shown impressive performance, with a one-year price total return of 116.2% as of the latest data. This strong performance is reflected in the stock trading at 95.97% of its 52-week high, indicating investor confidence in the company's prospects.
From a valuation perspective, ACR is trading at a Price to Book ratio of 0.26, which suggests the stock may be undervalued relative to its book value. This aligns with an InvestingPro Tip that notes ACR is "Trading at a low Price / Book multiple."
Another InvestingPro Tip highlights that "Management has been aggressively buying back shares," which could be seen as a positive signal about the company's financial health and management's confidence in its future prospects.
For investors seeking more comprehensive analysis, InvestingPro offers additional insights, with 10 more tips available for ACRES Commercial Realty Corp. These tips could provide valuable context for understanding the recent preferred stock sales by Eagle Point entities and the company's overall investment potential.
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