Chimera Investment (NYSE:CIM) Share Price Passes Above Two Hundred Day Moving Average - What's Next?

Key Points

• Chimera Investment shares recently crossed above their 200-day moving average of $13.35, with the stock trading at $13.79 on high trading volume.
• Analysts have mixed opinions on the stock, with one firm downgrading it to a "sell" rating and another raising the price target from $15.00 to $16.00 and assigning a "buy" rating".
• The company announced a quarterly dividend of $0.37 per share, resulting in an annualized yield of 10.7%, although its dividend payout ratio stands at 117.46%.

Chimera Investment Corporation (NYSE:CIM - Get Free Report)'s share price crossed above its 200-day moving average during trading on Tuesday . The stock has a 200-day moving average of $13.35 and traded as high as $13.86. Chimera Investment shares last traded at $13.79, with a volume of 505,769 shares.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on CIM. UBS Group upped their price objective on Chimera Investment from $15.00 to $16.00 and gave the stock a "buy" rating in a research note on Thursday, July 10th. Wall Street Zen cut Chimera Investment from a "hold" rating to a "sell" rating in a research note on Saturday, August 9th. Finally, Keefe, Bruyette & Woods dropped their price objective on Chimera Investment from $16.50 to $15.00 and set a "market perform" rating on the stock in a research note on Thursday, July 10th. One equities research analyst has rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, Chimera Investment presently has an average rating of "Hold" and a consensus price target of $15.50.

Chimera Investment Price Performance

The company has a debt-to-equity ratio of 4.47, a quick ratio of 4.14 and a current ratio of 4.14. The firm has a market capitalization of $1.13 billion, a price-to-earnings ratio of 11.09 and a beta of 1.79. The business has a fifty day moving average of $13.83 and a two-hundred day moving average of $13.30.

Chimera Investment (NYSE:CIM - Get Free Report) last posted its earnings results on Wednesday, August 6th. The real estate investment trust reported $0.39 earnings per share for the quarter, missing analysts' consensus estimates of $0.46 by ($0.07). The business had revenue of $66.01 million for the quarter, compared to analyst estimates of $83.89 million. Chimera Investment had a return on equity of 7.28% and a net margin of 21.93%. As a group, research analysts predict that Chimera Investment Corporation will post 1.57 EPS for the current fiscal year.

Chimera Investment Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, July 31st. Investors of record on Monday, June 30th were issued a dividend of $0.37 per share. The ex-dividend date of this dividend was Monday, June 30th. This represents a $1.48 dividend on an annualized basis and a dividend yield of 10.6%. Chimera Investment's payout ratio is presently 117.46%.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Quarry LP grew its holdings in Chimera Investment by 1,691.7% in the 4th quarter. Quarry LP now owns 3,243 shares of the real estate investment trust's stock valued at $45,000 after buying an additional 3,062 shares in the last quarter. GAMMA Investing LLC grew its holdings in Chimera Investment by 8,728.6% in the 1st quarter. GAMMA Investing LLC now owns 3,708 shares of the real estate investment trust's stock valued at $48,000 after buying an additional 3,666 shares in the last quarter. CWM LLC grew its holdings in Chimera Investment by 508.4% in the 2nd quarter. CWM LLC now owns 5,196 shares of the real estate investment trust's stock valued at $72,000 after buying an additional 4,342 shares in the last quarter. Tower Research Capital LLC TRC grew its holdings in Chimera Investment by 92.1% in the 2nd quarter. Tower Research Capital LLC TRC now owns 7,140 shares of the real estate investment trust's stock valued at $99,000 after buying an additional 3,423 shares in the last quarter. Finally, BNP Paribas Financial Markets grew its holdings in Chimera Investment by 59.2% in the 2nd quarter. BNP Paribas Financial Markets now owns 7,686 shares of the real estate investment trust's stock valued at $107,000 after buying an additional 2,857 shares in the last quarter. 48.44% of the stock is owned by institutional investors and hedge funds.

Chimera Investment Company Profile

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 residential mortgage-backed securities, non-agency residential mortgage-backed securities, agency mortgage-backed securities secured by pools of commercial mortgage loans, business purpose and investor loans, and other real estate related securities.