Chimera Investment (NYSE:CIM) Shares Gap Down After Earnings Miss

Chimera Investment Co. (NYSE:CIM - Get Free Report)'s share price gapped down before the market opened on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $15.09, but opened at $14.14. Chimera Investment shares last traded at $13.75, with a volume of 406,800 shares traded.

The real estate investment trust reported $0.37 EPS for the quarter, missing the consensus estimate of $0.47 by ($0.10). Chimera Investment had a net margin of 46.48% and a return on equity of 7.69%.

Chimera Investment Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, January 31st. Stockholders of record on Tuesday, December 31st were given a $0.37 dividend. The ex-dividend date was Tuesday, December 31st. This represents a $1.48 annualized dividend and a dividend yield of 10.52%. Chimera Investment's dividend payout ratio (DPR) is presently 137.04%.

Analysts Set New Price Targets

A number of equities research analysts have weighed in on CIM shares. JMP Securities reaffirmed a "market perform" rating on shares of Chimera Investment in a report on Thursday, January 23rd. StockNews.com downgraded shares of Chimera Investment from a "buy" rating to a "hold" rating in a research note on Thursday.

Insider Activity at Chimera Investment

In other Chimera Investment news, CIO Jack Lee Macdowell, Jr. purchased 50,000 shares of the stock in a transaction that occurred on Monday, December 9th. The stock was bought at an average cost of $14.91 per share, with a total value of $745,500.00. Following the transaction, the executive now directly owns 100,000 shares in the company, valued at approximately $1,491,000. The trade was a 100.00 % increase in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 0.91% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Chimera Investment

Several large investors have recently added to or reduced their stakes in CIM. Quarry LP grew its holdings in shares of Chimera Investment by 1,691.7% in the fourth quarter. Quarry LP now owns 3,243 shares of the real estate investment trust's stock worth $45,000 after purchasing an additional 3,062 shares during the last quarter. New Age Alpha Advisors LLC purchased a new stake in Chimera Investment in the 4th quarter worth $56,000. Prospera Private Wealth LLC acquired a new stake in Chimera Investment during the 3rd quarter worth $65,000. Hillsdale Investment Management Inc. acquired a new position in Chimera Investment in the fourth quarter valued at about $65,000. Finally, Summit Securities Group LLC purchased a new stake in Chimera Investment during the fourth quarter worth about $111,000. Hedge funds and other institutional investors own 48.44% of the company's stock.

Chimera Investment Price Performance

The stock's 50 day moving average is $14.46 and its two-hundred day moving average is $14.95. The company has a debt-to-equity ratio of 3.93, a current ratio of 3.03 and a quick ratio of 3.03. The stock has a market capitalization of $1.14 billion, a PE ratio of 4.27 and a beta of 1.71.

About Chimera Investment

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.