Cherry Hill Mortgage Investment (NYSE:CHMI) Issues Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Key Points

• Cherry Hill Mortgage Investment beat quarterly earnings expectations, reporting $0.15 per share versus the consensus estimate of $0.13. The company posted a 17.95% return on equity and an 18.88% net margin.
• The REIT declared a quarterly dividend of $0.10 per share, equivalent to $0.40 annually and a 15.1% yield; its dividend payout ratio stands at 363.64%.
• CHMI shares rose 10% to open at $2.65, while analysts maintained a consensus “Hold” rating with an average price target of $3.00. Institutional investors own 18.49% of the company.

Cherry Hill Mortgage Investment (NYSE:CHMI - Get Free Report) posted its quarterly earnings data on Monday. The real estate investment trust reported $0.15 earnings per share for the quarter, topping the consensus estimate of $0.13 by $0.02, Zacks reports. Cherry Hill Mortgage Investment had a return on equity of 17.95% and a net margin of 18.88%.

Cherry Hill Mortgage Investment Stock Up 10.0%

NYSE:CHMI opened at $2.65 on Monday. Cherry Hill Mortgage Investment has a twelve month low of $2.17 and a twelve month high of $3.04. The business's 50-day moving average price is $2.34 and its two-hundred day moving average price is $2.51. The stock has a market cap of $97.40 million, a P/E ratio of 23.88 and a beta of 0.93.

Cherry Hill Mortgage Investment Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, July 31st. Investors of record on Tuesday, June 30th were paid a dividend of $0.10 per share. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $0.40 annualized dividend and a yield of 15.1%. Cherry Hill Mortgage Investment's dividend payout ratio (DPR) is currently 363.64%.

Institutional Investors Weigh In On Cherry Hill Mortgage Investment

Several institutional investors have recently added to or reduced their stakes in the company. Summit Financial LLC raised its stake in Cherry Hill Mortgage Investment by 106.1% in the fourth quarter. Summit Financial LLC now owns 1,010,876 shares of the real estate investment trust's stock worth $2,679,000 after buying an additional 520,291 shares in the last quarter. Corient Private Wealth LLC bought a new position in shares of Cherry Hill Mortgage Investment in the second quarter worth approximately $908,000. Hudson Bay Capital Management LP bought a new position in Cherry Hill Mortgage Investment in the 2nd quarter worth $374,000. Two Sigma Investments LP raised its holdings in Cherry Hill Mortgage Investment by 92.8% during the third quarter. Two Sigma Investments LP now owns 260,759 shares of the real estate investment trust's stock valued at $623,000 after acquiring an additional 125,499 shares during the period. Finally, Jane Street Group LLC lifted its position in shares of Cherry Hill Mortgage Investment by 262.5% in the first quarter. Jane Street Group LLC now owns 93,672 shares of the real estate investment trust's stock valued at $309,000 after acquiring an additional 67,832 shares in the last quarter. Hedge funds and other institutional investors own 18.49% of the company's stock.

Analysts Set New Price Targets

Several brokerages recently issued reports on CHMI. Weiss Ratings reaffirmed a "sell (d)" rating on shares of Cherry Hill Mortgage Investment in a report on Wednesday, June 24th. Wall Street Zen downgraded Cherry Hill Mortgage Investment from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 1st. Two investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and an average price target of $3.00.

About Cherry Hill Mortgage Investment

Cherry Hill Mortgage Investment Corporation is a real estate investment trust that focuses on acquiring, financing and managing residential mortgage loans and mortgage-related securities. The company's portfolio consists primarily of agency and non-agency residential mortgage loans secured by single-family residences, together with mortgage-backed securities issued or guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae.

CHMI employs active portfolio management strategies intended to generate current income and total return for its shareholders.

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