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

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

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 Price Performance

Shares of NYSE CIM traded up $0.76 during midday trading on Wednesday, reaching $13.06. 1,334,071 shares of the company were exchanged, compared to its average volume of 834,851. The stock has a market cap of $1.09 billion, a P/E ratio of -32.68 and a beta of 1.84. Chimera Investment has a one year low of $9.85 and a one year high of $14.88. 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 stock’s 50-day moving average price is $12.78 and its 200-day moving average price is $13.10.

Chimera Investment Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, January 30th. Shareholders of record on Wednesday, December 31st were given a $0.37 dividend. The ex-dividend date was Wednesday, December 31st. This represents a $1.48 dividend on an annualized basis and a yield of 11.3%. Chimera Investment’s dividend payout ratio (DPR) is currently -370.00%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of CIM. Two Sigma Investments LP boosted its stake in shares of Chimera Investment by 88.7% in the 3rd 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 during the last quarter. Millennium Management LLC boosted its holdings in shares of Chimera Investment by 141.4% during the 3rd quarter. Millennium Management LLC now owns 420,670 shares of the real estate investment trust’s stock worth $5,561,000 after buying an additional 246,424 shares in the last quarter. Qube Research & Technologies Ltd grew its position in shares of Chimera Investment by 214.9% during the 3rd quarter. Qube Research & Technologies Ltd now owns 206,430 shares of the real estate investment trust’s stock worth $2,729,000 after buying an additional 140,874 shares during the period. Mariner Investment Group LLC bought a new stake in shares of Chimera Investment in the 3rd quarter valued at $1,520,000. Finally, Norges Bank acquired a new position in shares of Chimera Investment during the 2nd quarter valued at $1,188,000. 48.44% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

CIM has been the topic of a number of recent analyst reports. Wall Street Zen raised Chimera Investment from a “sell” rating to a “hold” rating in a report on Saturday, November 8th. Royal Bank Of Canada downgraded shares of Chimera Investment from an “outperform” rating to a “sector perform” rating and set a $13.00 price objective on the stock. in a report on Tuesday, December 9th. UBS Group cut their target price on shares of Chimera Investment from $16.00 to $15.50 and set a “buy” rating for the company in a research note on Tuesday, November 18th. Finally, Weiss Ratings reiterated a “sell (d)” rating on shares of Chimera Investment in a research note on Monday, December 29th. One research analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently 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.