Chimera Investment (NYSE:CIM) Releases Quarterly Earnings Results, Beats Estimates By $0.03 EPS

Chimera Investment (NYSE:CIM) posted its quarterly earnings results on Wednesday. The real estate investment trust reported $0.53 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.50 by $0.03, FiscalAI reports. Chimera Investment had a net margin of 4.27% and a return on equity of 7.36%. The business had revenue of $72.01 million during the quarter, compared to analysts’ expectations of $80.77 million.

Here are the key takeaways from Chimera Investment’s conference call:

• Chimera raised its quarterly dividend by 22% to $0.45, and the board expects to maintain that level for the remainder of 2026, signaling management confidence in distributable earnings.
• The company completed the acquisition of Home Express, which originated $1.04 billion in Q4 with $11 million of EBITDA, and management expects synergies plus securitization/retention strategies to boost fee and gain-on-sale income.
• Management generated over $600 million of redeployable capital through asset sales and securitization actions and materially increased Agency RMBS exposure (now ~16%) to improve liquidity and earnings power.
• GAAP book value ended Q4 at $19.70 (down ~2.7% in the quarter), Q4 GAAP net income was only $7 million, total leverage is elevated at 5.1x, and cash/unencumbered assets fell to $528 million after the Home Express purchase—risks that could pressure the stock if earnings or capital metrics deteriorate.
• For 2026 the company will continue to prioritize Agency MBS, MSRs, and fee-based businesses and cites robust non?QM demand, but the ultimate impact on sustained fee growth and book value depends on execution and market conditions.

Chimera Investment Stock Performance

Shares of NYSE:CIM traded up $1.19 during trading on Wednesday, hitting $13.49. 503,123 shares of the company traded hands, compared to its average volume of 805,997. Chimera Investment has a one year low of $9.85 and a one year high of $14.88. The stock has a market capitalization of $1.12 billion, a price-to-earnings ratio of -33.95 and a beta of 1.84. The company has a quick ratio of 8.22, a current ratio of 8.22 and a debt-to-equity ratio of 4.75. The business’s fifty day moving average is $12.78 and its 200-day moving average is $13.10.

Chimera Investment Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, January 30th. Shareholders of record on Wednesday, December 31st were paid a dividend of $0.37 per share. The ex-dividend date was Wednesday, December 31st. This represents a $1.48 annualized dividend and a yield of 11.0%. Chimera Investment’s payout ratio is presently -370.00%.

Institutional Investors Weigh In On Chimera Investment

Hedge funds and other institutional investors have recently bought and sold shares of the business. Geode Capital Management LLC boosted its holdings in shares of Chimera Investment by 2.2% in the fourth quarter. Geode Capital Management LLC now owns 1,975,021 shares of the real estate investment trust’s stock worth $24,554,000 after buying an additional 43,419 shares during the period. Balyasny Asset Management L.P. lifted its holdings in Chimera Investment by 2.3% in the 2nd quarter. Balyasny Asset Management L.P. now owns 1,547,432 shares of the real estate investment trust’s stock worth $21,463,000 after purchasing an additional 35,425 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of Chimera Investment by 7.2% in the third quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 982,889 shares of the real estate investment trust’s stock valued at $12,994,000 after purchasing an additional 66,031 shares during the last quarter. Van ECK Associates Corp grew its position in Chimera Investment by 3.4% in the 3rd quarter. Van ECK Associates Corp now owns 680,325 shares of the real estate investment trust’s stock worth $8,994,000 after purchasing an additional 22,521 shares during the last quarter. Finally, Two Sigma Investments LP raised its stake in shares of Chimera Investment by 88.7% in the third quarter. Two Sigma Investments LP now owns 574,456 shares of the real estate investment trust’s stock valued at $7,594,000 after purchasing an additional 270,034 shares in the last quarter. 48.44% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of equities research analysts have weighed in on CIM shares. Weiss Ratings reiterated a “sell (d)” rating on shares of Chimera Investment in a research report on Monday, December 29th. Royal Bank Of Canada cut Chimera Investment from an “outperform” rating to a “sector perform” rating and set a $13.00 target price for the company. in a research note on Tuesday, December 9th. Wall Street Zen raised Chimera Investment from a “sell” rating to a “hold” rating in a research report on Saturday, November 8th. Finally, UBS Group dropped their price target on Chimera Investment from $16.00 to $15.50 and set a “buy” rating on the stock in a research report on Tuesday, November 18th. One investment analyst has rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, Chimera Investment currently has an average rating of “Hold” and an average price target of $14.50.

About Chimera Investment

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.