Is efr better than etn to invest right now
7/28/2025 10:58am
**Eaton Vance Senior Floating-Rate Trust (EFR)** is not a better investment option than **Eaton Corporation (ETN)** at the moment. Here's why:
1. **Financial Performance**: EFR reported **$14.59 million in net income** and **$27.28 million in total revenue** for Q2 2025. ETN, on the other hand, reported **$965 million in net income** and **$6.38 billion in total revenue** for Q1 2025. ETN's revenue and net income figures are significantly higher than EFR's, indicating a more robust financial position.
|code|Ticker|Name|Date|Net Income|market_code|
|---|---|---|---|---|---|
|ETN|ETN.N|Eaton|20240630|9.94E8|169|
|ETN|ETN.N|Eaton|20240930|1.011E9|169|
|ETN|ETN.N|Eaton|20241231|9.72E8|169|
|ETN|ETN.N|Eaton|20250331|9.65E8|169|
|EFR|EFR.N|EATON VANCE SENIOR FLOATING-RATE TRUST|||169|
|code|Ticker|Name|Date|Total Revenue|market_code|
|---|---|---|---|---|---|
|ETN|ETN.N|Eaton|20240630|6.35E9|169|
|ETN|ETN.N|Eaton|20240930|6.345E9|169|
|ETN|ETN.N|Eaton|20241231|6.24E9|169|
|ETN|ETN.N|Eaton|20250331|6.377E9|169|
|EFR|EFR.N|EATON VANCE SENIOR FLOATING-RATE TRUST|||169|
|code|Ticker|Name|Date|Diluted EPS|market_code|
|---|---|---|---|---|---|
|ETN|ETN.N|Eaton|20240630|2.48|169|
|ETN|ETN.N|Eaton|20240930|2.53|169|
|ETN|ETN.N|Eaton|20241231|2.45|169|
|ETN|ETN.N|Eaton|20250331|2.45|169|
|EFR|EFR.N|EATON VANCE SENIOR FLOATING-RATE TRUST|||169|
2. **Valuation Metrics**: ETN's P/E ratio is **38.98**, P/S ratio is **6.06**, and P/B ratio is **8.29**. EFR's P/E ratio, P/S ratio, and P/B ratio are not publicly available. However, considering the available metrics for ETN, it appears to be less expensive relative to its earnings and book value compared to EFR.
|code|Ticker|Name|Date|P/E(TTM)|P/S|Price to Book Ratio|market_code|
|---|---|---|---|---|---|---|---|
|AMD|AMD.O|Advanced Micro Devices|20240729|202.672793|10.001009808929519|4.019357690171359|185|
|ETN|ETN.N|Eaton|20240729|34.719329|4.802751199869845|6.1468317437279705|169|
|AMD|AMD.O|Advanced Micro Devices|20240730|200.772962|9.907261523779624|3.9816807057411294|185|
|ETN|ETN.N|Eaton|20240730|33.622535|4.651030830553974|5.952651461745801|169|
|AMD|AMD.O|Advanced Micro Devices|20240731|172.701814|10.339505525539442|4.135948511896423|185|
|ETN|ETN.N|Eaton|20240731|35.67683|4.935202920361181|6.316350922662244|169|
|AMD|AMD.O|Advanced Micro Devices|20240801|158.42953|9.485036422722851|3.79414878022392|185|
|ETN|ETN.N|Eaton|20240801|32.489322|4.823315220043927|6.170249648785057|169|
|AMD|AMD.O|Advanced Micro Devices|20240802|158.381716|9.482173879664838|3.793003722496374|185|
|ETN|ETN.N|Eaton|20240802|30.567535|4.538009680305865|5.805271137936417|169|
3. **Market Position and Growth Prospects**: ETN is a leading player in the Electrical Equipment industry and has a strong global presence. It is also focused on strategic partnerships and investments, such as its collaboration with NVIDIA to transition to HVDC power infrastructure in AI data centers. EFR, while a closed-ended fixed income mutual fund, primarily invests in senior, secured floating rate loans and may not offer the same growth potential as ETN.
4. **Dividend and Shareholder Returns**: ETN has a history of paying dividends, with a recent quarterly dividend of **$1.04 per share**. EFR has also announced monthly dividends, with the latest being **$0.121 per share**. However, ETN's dividend payments reflect a commitment to returning value to shareholders on a more consistent basis.
5. **Strategic Developments**: ETN's strategic focus on electrification and AI-driven technologies positions the company to capitalize on two of the most significant trends shaping the future of industry and infrastructure. EFR's investment strategy is focused on fixed income markets, primarily in senior, secured floating rate loans.
6. **Risk Factors**: ETN's main risks are related to market fluctuations and regulatory changes in the electrical equipment sector. EFR's risks are more focused on credit and interest rate fluctuations in the fixed income market.
In conclusion, while EFR may be a viable option for investors seeking income from fixed income investments, it is not a better investment option than ETN at this time. ETN's stronger financial position, higher net income, and strategic focus on growth areas like AI and electrification make it a more attractive investment opportunity.