Chimera Investment Corporation

LSE:0A7B Stock Report

Market Cap: US$1.2b

Chimera Investment Valuation

Is 0A7B undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0A7B when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0A7B ($15.07) is trading above our estimate of fair value ($14.09)

Significantly Below Fair Value: 0A7B is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0A7B?

Key metric: As 0A7B is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0A7B. This is calculated by dividing 0A7B's market cap by their current earnings.
What is 0A7B's PE Ratio?
PE Ratio4.5x
EarningsUS$270.71m
Market CapUS$1.21b

Price to Earnings Ratio vs Peers

How does 0A7B's PE Ratio compare to its peers?

The above table shows the PE ratio for 0A7B vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average11.7x
OCI Oakley Capital Investments
9.7xn/aUK£850.3m
BBGI BBGI Global Infrastructure
16.4xn/aUK£907.9m
ASHM Ashmore Group
12.5x-4.9%UK£1.2b
LWDB Law Debenture
8.4xn/aUK£1.2b
0A7B Chimera Investment
4.5x-27.1%US$1.2b

Price-To-Earnings vs Peers: 0A7B is good value based on its Price-To-Earnings Ratio (4.5x) compared to the peer average (11.6x).

Price to Earnings Ratio vs Industry

How does 0A7B's PE Ratio compare vs other companies in the Global Mortgage REITs Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
0A7B 4.5xIndustry Avg. 10.7xNo. of Companies5PE0612182430+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0A7B is good value based on its Price-To-Earnings Ratio (4.5x) compared to the Global Mortgage REITs industry average (10.7x).

Price to Earnings Ratio vs Fair Ratio

What is 0A7B's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0A7B PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.5x
Fair PE Ratio9.2x

Price-To-Earnings vs Fair Ratio: 0A7B is good value based on its Price-To-Earnings Ratio (4.5x) compared to the estimated Fair Price-To-Earnings Ratio (9.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0A7B forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$15.07
US$16.00
+6.2%
3.1%US$16.50US$15.50n/a2
Nov ’25US$14.94
US$16.25
+8.8%
4.6%US$17.00US$15.50n/a2
Oct ’25US$15.47
US$16.25
+5.0%
4.6%US$17.00US$15.50n/a2
Sep ’25US$15.41
US$15.75
+2.2%
1.6%US$16.00US$15.50n/a2
Aug ’25US$14.20
US$14.63
+3.0%
2.6%US$15.00US$14.25n/a2
Jul ’25US$12.42
US$14.63
+17.8%
2.6%US$15.00US$14.25n/a2
Jun ’25US$11.86
US$14.63
+23.3%
2.6%US$15.00US$14.25n/a2
May ’25US$12.60
US$14.63
+16.1%
2.6%US$15.00US$14.25n/a2
Mar ’25US$13.14
US$15.75
+19.9%
4.8%US$16.50US$15.00n/a2
Feb ’25US$14.55
US$15.75
+8.2%
4.8%US$16.50US$15.00n/a2
Jan ’25US$15.06
US$16.50
+9.6%
7.4%US$18.00US$15.00n/a3
Dec ’24US$16.14
US$16.50
+2.3%
9.1%US$18.00US$15.00n/a2
Nov ’24US$14.76
US$17.25
+16.9%
4.3%US$18.00US$16.50US$14.942
Oct ’24US$16.59
US$17.25
+4.0%
4.3%US$18.00US$16.50US$15.472
Sep ’24US$18.33
US$17.00
-7.2%
4.2%US$18.00US$16.50US$15.413
Aug ’24US$18.68
US$17.00
-9.0%
4.2%US$18.00US$16.50US$14.203
Jul ’24US$17.25
US$17.00
-1.4%
4.2%US$18.00US$16.50US$12.423
Jun ’24US$14.66
US$17.00
+16.0%
4.2%US$18.00US$16.50US$11.863
May ’24US$16.98
US$19.75
+16.3%
4.7%US$21.00US$18.75US$12.603
Apr ’24US$16.70
US$20.50
+22.7%
3.4%US$21.00US$19.50US$13.833
Mar ’24US$19.01
US$20.50
+7.9%
3.4%US$21.00US$19.50US$13.143
Feb ’24US$22.08
US$20.00
-9.4%
3.5%US$21.00US$19.50US$14.553
Jan ’24US$16.55
US$22.50
+35.9%
12.5%US$27.00US$19.50US$15.064
Dec ’23US$21.02
US$21.75
+3.5%
17.2%US$27.00US$16.50US$16.144
Nov ’23US$20.33
US$21.75
+7.0%
17.2%US$27.00US$16.50US$14.764

Analyst Forecast: Target price is less than 20% higher than the current share price.

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