Chimera Investment (NYSE:CIM) Shares Gap Up on Earnings Beat

Shares of Chimera Investment Corporation (NYSE:CIM) gapped up prior to trading on Wednesday following a better than expected earnings announcement. The stock had previously closed at $12.30, but opened at $13.26. Chimera Investment shares last traded at $13.43, with a volume of 634,240 shares traded.

The real estate investment trust reported $0.53 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.50 by $0.03. The firm had revenue of $72.01 million for the quarter, compared to analyst estimates of $80.77 million. Chimera Investment had a return on equity of 7.36% and a net margin of 4.27%.

Chimera Investment Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, January 30th. Investors of record on Wednesday, December 31st were paid a dividend of $0.37 per share. The ex-dividend date of this dividend was Wednesday, December 31st. This represents a $1.48 annualized dividend and a yield of 11.1%. Chimera Investment’s dividend payout ratio is currently -370.00%.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the stock. Royal Bank Of Canada lowered shares of Chimera Investment from an “outperform” rating to a “sector perform” rating and set a $13.00 price objective on the stock. in a report on Tuesday, December 9th. UBS Group dropped their price target on Chimera Investment from $16.00 to $15.50 and set a “buy” rating on the stock in a research note on Tuesday, November 18th. Weiss Ratings reiterated a “sell (d)” rating on shares of Chimera Investment in a report on Monday, December 29th. Finally, Wall Street Zen upgraded Chimera Investment from a “sell” rating to a “hold” rating in a report on Saturday, November 8th. One investment analyst has rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $14.50.

Institutional Trading of Chimera Investment

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CIM. WINTON GROUP Ltd purchased a new stake in shares of Chimera Investment in the fourth quarter worth approximately $154,000. Geode Capital Management LLC grew its holdings in Chimera Investment by 2.2% during the fourth quarter. Geode Capital Management LLC now owns 1,975,021 shares of the real estate investment trust’s stock worth $24,554,000 after buying an additional 43,419 shares in the last quarter. Harbour Investments Inc. grew its holdings in Chimera Investment by 1.5% during the fourth quarter. Harbour Investments Inc. now owns 68,905 shares of the real estate investment trust’s stock worth $856,000 after buying an additional 994 shares in the last quarter. IFP Advisors Inc raised its position in Chimera Investment by 1,211.4% in the 4th quarter. IFP Advisors Inc now owns 6,216 shares of the real estate investment trust’s stock valued at $77,000 after buying an additional 5,742 shares during the last quarter. Finally, Creative Financial Designs Inc. ADV lifted its stake in Chimera Investment by 54.5% during the 4th quarter. Creative Financial Designs Inc. ADV now owns 14,166 shares of the real estate investment trust’s stock valued at $176,000 after acquiring an additional 5,000 shares in the last quarter. 48.44% of the stock is owned by institutional investors.

Chimera Investment Trading Up 8.2%

The company has a debt-to-equity ratio of 4.75, a quick ratio of 8.22 and a current ratio of 8.22. The firm has a market capitalization of $1.11 billion, a P/E ratio of -33.54 and a beta of 1.84. The firm has a 50 day simple moving average of $12.78 and a two-hundred day simple moving average of $13.10.

Chimera Investment Company Profile

Chimera Investment Corporation (NYSE: CIM) is a publicly traded real estate investment trust that specializes in investing in residential mortgage assets. The company’s portfolio primarily consists of agency and non-agency residential mortgage-backed securities, whole loan residential mortgages and other mortgage-related assets. As a REIT, Chimera Investment aims to generate attractive risk-adjusted returns through its focus on high-quality collateral and disciplined risk management.

The firm’s core business activities include identifying and acquiring portfolios of residential mortgage loans and securities from financial institutions and in the secondary market.