| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 3/6 |
| Past Performance | 1/6 |
| Financial Health | 3/6 |
| Dividends | 3/6 |
CIM Stock Overview
Chimera Investment Corporation operates as a real estate investment trust (REIT) in the United States.
Chimera Investment Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$9.04 |
| 52 Week High | US$16.85 |
| 52 Week Low | US$7.72 |
| Beta | 1.04 |
| 1 Month Change | -9.42% |
| 3 Month Change | -25.35% |
| 1 Year Change | -39.89% |
| 3 Year Change | -52.65% |
| 5 Year Change | -51.06% |
| Change since IPO | -87.87% |
Recent News & Updates
Chimera Investment Preferred Stock Appears Far Oversold
Chimera Investment Corp. is a REIT that invests primarily in residential mortgage assets. The company has several classes of preferred stock which appear oversold and now yield about 10% with floating rate features. Credit quality is solid, with residential mortgage assets & majority fixed rate borrowings on the liability side, with sufficient equity cushion. Indiscriminate panic selling has created a window of opportunity to lock in high yields for the long term.
2 Reasons To Buy Chimera Investment: 13.4% Yield And 30% Discount To BV
Chimera stock trades at an attractive valuation. The trust’s dividend is well-covered by distributable earnings. Risks are adequately priced into Chimera’s stock.
Shareholder Returns
| CIM | US Mortgage REITs | US Market | |
|---|---|---|---|
| 7D | -1.7% | -2.3% | -2.5% |
| 1Y | -39.9% | -27.3% | -21.2% |
Return vs Industry: CIM underperformed the US Mortgage REITs industry which returned -27.3% over the past year.
Return vs Market: CIM underperformed the US Market which returned -21.2% over the past year.
Price Volatility
| CIM volatility | |
|---|---|
| CIM Average Weekly Movement | 6.0% |
| Mortgage REITs Industry Average Movement | 5.7% |
| Market Average Movement | 8.1% |
| 10% most volatile stocks in US Market | 16.8% |
| 10% least volatile stocks in US Market | 3.3% |
Stable Share Price: CIM is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: CIM's weekly volatility (6%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2007 | 38 | Mohit Marria | https://www.chimerareit.com |
Chimera Investment Corporation operates as a real estate investment trust (REIT) in the United States. The company, through its subsidiaries, invests in a portfolio of mortgage assets, including residential mortgage loans, agency and non-agency residential mortgage-backed securities, agency mortgage-backed securities secured by pools of residential, commercial mortgage loans, and other real estate related securities. It has elected to be taxed as a REIT.
Chimera Investment Fundamentals Summary
| CIM fundamental statistics | |
|---|---|
| Market Cap | US$2.47b |
| Earnings (TTM) | US$176.00m |
| Revenue (TTM) | US$417.86m |
14.1x
P/E Ratio5.9x
P/S RatioIs CIM overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| CIM income statement (TTM) | |
|---|---|
| Revenue | US$417.86m |
| Cost of Revenue | US$36.57m |
| Gross Profit | US$381.29m |
| Other Expenses | US$205.30m |
| Earnings | US$176.00m |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.64 |
| Gross Margin | 91.25% |
| Net Profit Margin | 42.12% |
| Debt/Equity Ratio | 345.2% |
How did CIM perform over the long term?
See historical performance and comparisonDividends
14.6%
Current Dividend Yield177%
Payout RatioValuation
Is CIM undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for CIM?
Other financial metrics that can be useful for relative valuation.
| What is CIM's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$2.47b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | n/a |
| Enterprise Value/EBITDA | n/a |
| PEG Ratio | 0.3x |
Price to Earnings Ratio vs Peers
How does CIM's PE Ratio compare to its peers?
| CIM PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 15.2x | ||
ABR Arbor Realty Trust | 6.9x | 4.7% | US$2.4b |
CMTG Claros Mortgage Trust | 16.7x | 27.0% | US$2.4b |
HASI Hannon Armstrong Sustainable Infrastructure Capital | 27.7x | 16.8% | US$3.3b |
TWO Two Harbors Investment | 9.6x | 8.2% | US$1.7b |
CIM Chimera Investment | 14.1x | 52.0% | US$2.5b |
Price-To-Earnings vs Peers: CIM is good value based on its Price-To-Earnings Ratio (14.1x) compared to the peer average (15.2x).
Price to Earnings Ratio vs Industry
How does CIM's PE Ratio compare vs other companies in the US Mortgage REITs Industry?
Price-To-Earnings vs Industry: CIM is expensive based on its Price-To-Earnings Ratio (14.1x) compared to the US Mortgage REITs industry average (10.9x)
Price to Earnings Ratio vs Fair Ratio
What is CIM'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 14.1x |
| Fair PE Ratio | 26x |
Price-To-Earnings vs Fair Ratio: CIM is good value based on its Price-To-Earnings Ratio (14.1x) compared to the estimated Fair Price-To-Earnings Ratio (26x).
Share Price vs Fair Value
What is the Fair Price of CIM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: CIM ($9.04) is trading above our estimate of fair value ($6.86)
Significantly Below Fair Value: CIM is trading above our estimate of fair value.
Price to Earnings Growth Ratio
PEG Ratio: CIM is good value based on its PEG Ratio (0.3x)
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Future Growth
How is Chimera Investment forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Future Growth Score
3/6Future Growth Score 3/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
52.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CIM's forecast earnings growth (52% per year) is above the savings rate (1.9%).
Earnings vs Market: CIM's earnings (52% per year) are forecast to grow faster than the US market (13.6% per year).
High Growth Earnings: CIM's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: CIM's revenue (7.8% per year) is forecast to grow slower than the US market (8.2% per year).
High Growth Revenue: CIM's revenue (7.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if CIM's Return on Equity is forecast to be high in 3 years time
Discover growth companies
Past Performance
How has Chimera Investment performed over the past 5 years?
Past Performance Score
1/6Past Performance Score 1/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-12.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CIM has high quality earnings.
Growing Profit Margin: CIM's current net profit margins (42.1%) are lower than last year (51.9%).
Past Earnings Growth Analysis
Earnings Trend: CIM's earnings have declined by 12.7% per year over the past 5 years.
Accelerating Growth: CIM's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: CIM had negative earnings growth (-67.6%) over the past year, making it difficult to compare to the Mortgage REITs industry average (5.4%).
Return on Equity
High ROE: CIM's Return on Equity (7.5%) is considered low.
Discover strong past performing companies
Financial Health
How is Chimera Investment's financial position?
Financial Health Score
3/6Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: CIM's short term assets ($13.1B) exceed its short term liabilities ($3.6B).
Long Term Liabilities: CIM's short term assets ($13.1B) exceed its long term liabilities ($8.3B).
Debt to Equity History and Analysis
Debt Level: CIM's net debt to equity ratio (340.2%) is considered high.
Reducing Debt: CIM's debt to equity ratio has reduced from 463% to 345.2% over the past 5 years.
Debt Coverage: CIM's debt is not well covered by operating cash flow (4.6%).
Interest Coverage: Insufficient data to determine if CIM's interest payments on its debt are well covered by EBIT.
Balance Sheet
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Dividend
What is Chimera Investment current dividend yield, its reliability and sustainability?
Dividend Score
2/6Dividend Score 2/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
14.60%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CIM's dividend (14.6%) is higher than the bottom 25% of dividend payers in the US market (1.6%).
High Dividend: CIM's dividend (14.6%) is in the top 25% of dividend payers in the US market (4.25%)
Stability and Growth of Payments
Stable Dividend: CIM's dividend payments have been volatile in the past 10 years.
Growing Dividend: CIM's dividend payments have fallen over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its high payout ratio (176.5%), CIM's dividend payments are not well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonable cash payout ratio (67.8%), CIM's dividend payments are covered by cash flows.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
6.9yrs
Average management tenure
CEO
Mohit Marria (44 yo)
8.58yrs
Tenure
US$11,976,596
Compensation
Mr. Mohit Marria is the Chief Executive Officer at Chimera Investment Corporation since January 1, 2021 and has been its Chief Investment Officer since December 2013 and Director since November 16, 2020 an...
CEO Compensation Analysis
Compensation vs Market: Mohit's total compensation ($USD11.98M) is above average for companies of similar size in the US market ($USD6.91M).
Compensation vs Earnings: Mohit's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
Experienced Management: CIM's management team is seasoned and experienced (6.9 years average tenure).
Board Members
Experienced Board: CIM's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 18.7%.
Top Shareholders
Company Information
Chimera Investment Corporation's employee growth, exchange listings and data sources
Key Information
- Name: Chimera Investment Corporation
- Ticker: CIM
- Exchange: NYSE
- Founded: 2007
- Industry: Mortgage REITs
- Sector: Diversified Financials
- Implied Market Cap: US$2.475b
- Shares outstanding: 273.75m
- Website: https://www.chimerareit.com
Number of Employees
Location
- Chimera Investment Corporation
- 630 Fifth Avenue
- Suite 2400
- New York
- New York
- 10111
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/07/03 00:00 |
| End of Day Share Price | 2022/07/01 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.