Chimera Investment (NYSE:CIM) Reaches New 12-Month Low - Here's What Happened

Key Points

• Chimera Investment shares hit a new 52-week low, falling to $11.46 and below their prior close of $11.61. The stock trades below its 50-day and 200-day moving averages.
• Analyst sentiment remains cautious, with an average rating of “Hold” and a consensus price target of $14.50; Keefe, Bruyette & Woods recently cut its target to $14.00.
• The REIT reported quarterly EPS of $0.46, missing estimates by $0.08, while maintaining a $0.45 quarterly dividend—equivalent to a 15.7% annualized yield.

Shares of Chimera Investment Corporation (NYSE:CIM - Get Free Report) hit a new 52-week low on Wednesday . The company traded as low as $11.46 and last traded at $11.4550, with a volume of 217914 shares trading hands. The stock had previously closed at $11.61.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the company. Wall Street Zen raised Chimera Investment from a "sell" rating to a "hold" rating in a research report on Sunday, June 28th. Keefe, Bruyette & Woods lowered their target price on shares of Chimera Investment from $15.00 to $14.00 and set a "market perform" rating for the company in a research note on Thursday, August 6th. Royal Bank Of Canada restated a "sector perform" rating and set a $14.00 price target on shares of Chimera Investment in a research note on Wednesday, June 3rd. Finally, Weiss Ratings raised shares of Chimera Investment from a "sell (d)" rating to a "sell (d+)" rating in a report on Monday, August 17th. One equities research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $14.50.

Chimera Investment Price Performance

The firm has a market cap of $958.06 million, a PE ratio of -11.22 and a beta of 1.67. The stock has a 50 day simple moving average of $12.63 and a two-hundred day simple moving average of $13.06. The company has a debt-to-equity ratio of 2.34, a quick ratio of 0.07 and a current ratio of 0.07.

Chimera Investment (NYSE:CIM - Get Free Report) last issued its earnings results on Wednesday, August 5th. The real estate investment trust reported $0.46 EPS for the quarter, missing analysts' consensus estimates of $0.54 by ($0.08). The company had revenue of $94.77 million during the quarter, compared to analysts' expectations of $95.30 million. Chimera Investment had a return on equity of 9.82% and a net margin of 0.14%.

Chimera Investment Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, July 31st. Stockholders of record on Tuesday, June 30th were paid a dividend of $0.45 per share. The ex-dividend date of this dividend was Tuesday, June 30th. This represents a $1.80 dividend on an annualized basis and a dividend yield of 15.7%. Chimera Investment's dividend payout ratio (DPR) is presently -176.47%.

Institutional Trading of Chimera Investment

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Dynamic Technology Lab Private Ltd grew its position in shares of Chimera Investment by 36.1% during the 1st quarter. Dynamic Technology Lab Private Ltd now owns 16,568 shares of the real estate investment trust's stock valued at $213,000 after acquiring an additional 4,399 shares during the period. Empowered Funds LLC lifted its position in shares of Chimera Investment by 12.9% during the 1st quarter. Empowered Funds LLC now owns 21,322 shares of the real estate investment trust's stock valued at $274,000 after buying an additional 2,430 shares in the last quarter. Creative Planning lifted its position in shares of Chimera Investment by 82.3% during the 2nd quarter. Creative Planning now owns 21,766 shares of the real estate investment trust's stock valued at $302,000 after buying an additional 9,828 shares in the last quarter. Cetera Investment Advisers grew its stake in Chimera Investment by 6.1% in the 2nd quarter. Cetera Investment Advisers now owns 19,926 shares of the real estate investment trust's stock valued at $276,000 after acquiring an additional 1,143 shares during the period. Finally, JPMorgan Chase & Co. grew its stake in Chimera Investment by 42.6% in the 2nd quarter. JPMorgan Chase & Co. now owns 246,471 shares of the real estate investment trust's stock valued at $3,419,000 after acquiring an additional 73,634 shares during the period. Institutional investors and hedge funds own 48.44% of the company's stock.

Chimera Investment Company Profile

Chimera Investment Corporation NYSE: CIM is a publicly traded real estate investment trust that specializes in investing in residential mortgage assets. The company's portfolio primarily consists of agency and non-agency residential mortgage-backed securities, whole loan residential mortgages and other mortgage-related assets. As a REIT, Chimera Investment aims to generate attractive risk-adjusted returns through its focus on high-quality collateral and disciplined risk management.

The firm's core business activities include identifying and acquiring portfolios of residential mortgage loans and securities from financial institutions and in the secondary market.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source