Chimera Investment (NYSE:CIM) Hits New 1-Year Low on Disappointing Earnings

Chimera Investment Corporation (NYSE:CIM) shares reached a new 52-week low during mid-day trading on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $7.90 and last traded at $8.2070, with a volume of 78,925 shares traded. The stock had previously closed at $8.68.

The real estate investment trust reported $0.38 earnings per share for the quarter, missing the consensus estimate of $0.45 by ($0.07). Chimera Investment had a net margin of 0.14% and a return on equity of 9.82%.

Chimera Investment Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, October 30th. Stockholders of record on Wednesday, September 30th were issued a dividend of $0.45 per share. This represents a $1.80 annualized dividend and a dividend yield of 21.8%. The ex-dividend date of this dividend was Wednesday, September 30th. Chimera Investment’s payout ratio is -176.47%.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on CIM. Weiss Ratings cut shares of Chimera Investment from a “sell (d+)” rating to a “sell (d)” rating in a report on Friday, September 18th. Keefe, Bruyette & Woods reduced their price objective on shares of Chimera Investment from $15.00 to $14.00 and set a “market perform” rating for the company in a research report on Thursday, August 6th. One equities research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Chimera Investment has an average rating of “Hold” and an average price target of $14.50.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of CIM. BlackRock Inc. grew its position in shares of Chimera Investment by 9.5% during the 2nd quarter. BlackRock Inc. now owns 7,855,125 shares of the real estate investment trust’s stock valued at $104,787,000 after buying an additional 681,996 shares during the last quarter. Thornburg Investment Management Inc. boosted its stake in Chimera Investment by 0.7% in the second quarter. Thornburg Investment Management Inc. now owns 5,511,923 shares of the real estate investment trust’s stock valued at $73,529,000 after acquiring an additional 35,621 shares during the period. Allianz Asset Management GmbH boosted its stake in Chimera Investment by 6.9% in the second quarter. Allianz Asset Management GmbH now owns 2,274,507 shares of the real estate investment trust’s stock valued at $30,342,000 after acquiring an additional 147,119 shares during the period. State Street Corp boosted its stake in Chimera Investment by 7.8% in the second quarter. State Street Corp now owns 2,029,275 shares of the real estate investment trust’s stock valued at $27,957,000 after acquiring an additional 147,629 shares during the period. Finally, First Trust Advisors LP grew its holdings in shares of Chimera Investment by 82.0% during the first quarter. First Trust Advisors LP now owns 543,101 shares of the real estate investment trust’s stock valued at $6,816,000 after purchasing an additional 244,763 shares during the last quarter. 48.44% of the stock is currently owned by institutional investors.

Chimera Investment Price Performance

The company has a market capitalization of $690.61 million, a P/E ratio of -8.22 and a beta of 1.75. The company has a fifty day moving average price of $9.84 and a 200 day moving average price of $12.23. The company has a debt-to-equity ratio of 2.34, a current ratio of 0.07 and a quick ratio of 0.07.

Chimera Investment Company Profile

Chimera Investment Corporation (NYSE:CIM) is a real estate investment trust that invests primarily in residential mortgage assets and other real estate-related investments. The company seeks to generate income from a portfolio that may include residential mortgage loans, agency and non-agency residential mortgage-backed securities, and other mortgage-related assets.

Chimera’s investments can include whole residential mortgage loans and securitized interests backed by mortgages. Its portfolio has historically included both agency assets, which carry guarantees from government-sponsored entities or government agencies, and non-agency assets, which generally involve greater credit exposure.