Lumida
/CIM
⌘K
Chimera Investment Corp

Chimera Investment Corp

CIM
$12.90USD↓-1.83%-0.24 today

MARKET CAP

1.1B

P/E (TTM)

7.0x

FWD P/E

5.7x

DAY RANGE

$13 – $13

52W RANGE

$12
$15

AI Summary

Stalk
TrimMedium

CIM remains in a Stage 4 decline within a clear downtrend, confirmed by active support failure and a lower-highs, lower-lows pattern. Price is extended below falling EMAs and key moving averages, while RSI and Options Score sit in extreme oversold, elevating bounce risk. Given the bearish medium-term structure but unfavorable timing for fresh shorts, the preferred approach is to trim into rallies up to the 9/21 EMA band and 50 DMA. We will reassess if price sustains a meaningful reclaim of the short-term EMAs with follow-through.

  • ↑EAD $0.54/share covers $0.45 dividend by 1.2×, supporting a 3.89% yield.
  • ↑Home Express origination up 39% YoY to $884M, fueling accretive growth.
  • ↓Leverage ratio at 5.2× heightens refinancing and liquidity management risks.
Full analysis →

The case for & against

Bull & Bear analysis

Bearish

Chimera Investment Corporation (NYSE: CIM) is a flexible mortgage real estate investment trust (REIT) that specializes in acquiring, investing, and managing a diversified portfolio of residential mortgage assets, including mortgage loans, mortgage-backed securities (MBS), and re-performing loans. Recently, Chimera has bolstered its offerings through the acquisition of Home Express Mortgage, expanding its reach into the non-qualified mortgage (non-QM) sector—a segment that has been gaining traction due to its higher return potential amidst rising interest rates and economic uncertainties.

Bull says

  • ↑EAD $0.54/share covers $0.45 dividend by 1.2×, supporting a 3.89% yield.
  • ↑Home Express origination up 39% YoY to $884M, fueling accretive growth.
  • ↑Home Express delivers 16.8% annualized ROE, underscoring strategic acquisition value.
  • ↑Portfolio rebalanced: loan exposure cut to 55% while agency RMBS rose to 21%.
  • ↑Q1 ended with $476M cash, ensuring liquidity for capital deployments.
  • ↑High book-to-price ratio and solid profitability with low price volatility signal undervaluation.

Bear says

  • ↓Leverage ratio at 5.2× heightens refinancing and liquidity management risks.
  • ↓Book value fell 6.9% to $18.34; GAAP returns negative 4.6%.
  • ↓Negative earnings yield and weak growth factors challenge profitability expansion.
  • ↓High interest-rate sensitivity could amplify funding costs in rising-rate environments.
  • ↓Pessimistic analyst revisions imply dampened future earnings expectations.
  • ↓Regulatory uncertainty in the non-QM mortgage sector may increase compliance costs.

Investment themes with CIM

Mortgage REITs↑ +0.54%

NLY · AGNC · STWD

Earnings Call · Q1 2026 · Mgmt. Guidance

Updated 05-11-2026neutral

Transcript signals

Bull points

  • HomeExpress delivered strong results in the first quarter, building on the momentum from the prior quarter. We originated $884 million in total loan volume, representing a 39% increase as compared to the first quarter of last year.
  • despite elevated and ongoing interest rate volatility, the underlying demand for Home Express loan origination remains firm.
  • Home Express delivered strong profitability in the quarter, generating an EBITDA of $11.4 million. Our net origination margin, which reflects both gain on sale as well as operating costs to produce our loans, was 114 basis points.

Bear points

  • By quarter end, those expectations had largely dissipated. And in fact, there's now some discussion of the possibility of rate hikes.
  • we are starting to see delinquencies rise, reflecting softer labor market conditions. While losses remain very muted due to equity in the loans, this does indicate potential challenges ahead.
  • Delinquencies in the legacy re-performing book ticked up, though this was largely due to the composition of loans we sold versus retained.
Read full transcript analysis ›