CHERRY HILL MORTGAGE INVESTM (CHMI) Stock Fundamental Analysis
NYSE:CHMI - New York Stock Exchange, Inc. - US1646511014 - REIT - Currency: USD
Taking everything into account, CHMI scores 4 out of 10 in our fundamental rating. CHMI was compared to 65 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. Both the profitability and financial health of CHMI have multiple concerns. CHMI is evaluated to be cheap and growing strongly. This does not happen too often!
1. Profitability
1.1 Basic Checks
In the past year CHMI was profitable.
In the past year CHMI had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: CHMI reported negative net income in multiple years.
CHMI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CHMI's Return On Assets of -1.17% is on the low side compared to the rest of the industry. CHMI is outperformed by 78.46% of its industry peers.
CHMI has a worse Return On Equity (-7.46%) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.17% | ||
| ROE | -7.46% | ||
| ROIC | N/A |
ROA(3y)-0.74%
ROA(5y)-1.19%
ROE(3y)-4.01%
ROE(5y)-6.23%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
In the last couple of years the Profit Margin of CHMI has declined.
CHMI's Operating Margin has declined in the last couple of years.
CHMI has a Gross Margin of 13.23%. This is in the lower half of the industry: CHMI underperforms 67.69% of its industry peers.
CHMI's Gross Margin has declined in the last couple of years.
CHMI does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 13.23% |
OM growth 3Y-17.23%
OM growth 5YN/A
PM growth 3Y-26.59%
PM growth 5YN/A
GM growth 3Y-13.35%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The number of shares outstanding for CHMI has been increased compared to 1 year ago.
CHMI has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, CHMI has a worse debt to assets ratio.
2.2 Solvency
CHMI has an Altman-Z score of -1.05. This is a bad value and indicates that CHMI is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of CHMI (-1.05) is worse than 93.85% of its industry peers.
CHMI has a debt to FCF ratio of 79.72. This is a negative value and a sign of low solvency as CHMI would need 79.72 years to pay back of all of its debts.
CHMI's Debt to FCF ratio of 79.72 is in line compared to the rest of the industry. CHMI outperforms 50.77% of its industry peers.
CHMI has a Debt/Equity ratio of 5.04. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 5.04, CHMI is in line with its industry, outperforming 50.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.04 | ||
| Debt/FCF | 79.72 | ||
| Altman-Z | -1.05 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.05 indicates that CHMI may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.05, CHMI is doing worse than 83.08% of the companies in the same industry.
CHMI has a Quick Ratio of 0.05. This is a bad value and indicates that CHMI is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of CHMI (0.05) is worse than 83.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 |
3. Growth
3.1 Past
The earnings per share for CHMI have decreased strongly by -30.65% in the last year.
The earnings per share for CHMI have been decreasing by -27.62% on average. This is quite bad
The Revenue has been growing slightly by 7.80% in the past year.
Measured over the past years, CHMI shows a very strong growth in Revenue. The Revenue has been growing by 33.15% on average per year.
EPS 1Y (TTM)-30.65%
EPS 3Y-28.34%
EPS 5Y-27.62%
EPS Q2Q%30.77%
Revenue 1Y (TTM)7.8%
Revenue growth 3Y29.32%
Revenue growth 5Y33.15%
Sales Q2Q%338.02%
3.2 Future
The Earnings Per Share is expected to grow by 28.87% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 348.39% on average over the next years. This is a very strong growth
EPS Next Y42.54%
EPS Next 2Y28.87%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year934.86%
Revenue Next 2Y348.39%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 6.79, the valuation of CHMI can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of CHMI indicates a rather cheap valuation: CHMI is cheaper than 84.62% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of CHMI to the average of the S&P500 Index (26.34), we can say CHMI is valued rather cheaply.
A Price/Forward Earnings ratio of 4.51 indicates a rather cheap valuation of CHMI.
Based on the Price/Forward Earnings ratio, CHMI is valued cheaply inside the industry as 96.92% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.19, CHMI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.79 | ||
| Fwd PE | 4.51 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, CHMI is valued cheaply inside the industry as 81.54% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.34 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CHMI's earnings are expected to grow with 28.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.16
PEG (5Y)N/A
EPS Next 2Y28.87%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 11.36%, CHMI is a good candidate for dividend investing.
CHMI's Dividend Yield is comparable with the industry average which is at 12.22.
Compared to an average S&P500 Dividend Yield of 2.40, CHMI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.36% |
5.2 History
The dividend of CHMI decreases each year by -18.25%.
CHMI has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-18.25%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CHMI has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-168.38%
EPS Next 2Y28.87%
EPS Next 3YN/A
2.92
+0.02 (+0.69%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners14.02%
Inst Owner Change-10.3%
Ins Owners0.65%
Ins Owner Change-0.76%
Market Cap95.37M
Analysts82.22
Price Target4.08 (39.73%)
Short Float %2.05%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.36% |
Yearly Dividend0.91
Dividend Growth(5Y)-18.25%
DP-168.38%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)19.11%
Min EPS beat(2)-20.51%
Max EPS beat(2)58.73%
EPS beat(4)1
Avg EPS beat(4)-15.14%
Min EPS beat(4)-49.4%
Max EPS beat(4)58.73%
EPS beat(8)1
Avg EPS beat(8)-16.89%
EPS beat(12)1
Avg EPS beat(12)-15.26%
EPS beat(16)4
Avg EPS beat(16)-11.6%
Revenue beat(2)1
Avg Revenue beat(2)-6.38%
Min Revenue beat(2)-50.82%
Max Revenue beat(2)38.05%
Revenue beat(4)3
Avg Revenue beat(4)190.03%
Min Revenue beat(4)-50.82%
Max Revenue beat(4)680.17%
Revenue beat(8)5
Avg Revenue beat(8)98.36%
Revenue beat(12)6
Avg Revenue beat(12)72.48%
Revenue beat(16)8
Avg Revenue beat(16)78.66%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-6.66%
EPS NQ rev (3m)-28.57%
EPS NY rev (1m)0%
EPS NY rev (3m)-19.46%
Revenue NQ rev (1m)-8.3%
Revenue NQ rev (3m)-82.8%
Revenue NY rev (1m)65.51%
Revenue NY rev (3m)-64.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.79 | ||
| Fwd PE | 4.51 | ||
| P/S | 1.16 | ||
| P/FCF | 6.34 | ||
| P/OCF | 6.34 | ||
| P/B | 0.42 | ||
| P/tB | 0.42 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.43
EY14.73%
EPS(NY)0.65
Fwd EY22.18%
FCF(TTM)0.46
FCFY15.77%
OCF(TTM)0.46
OCFY15.77%
SpS2.52
BVpS6.94
TBVpS6.94
PEG (NY)0.16
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.17% | ||
| ROE | -7.46% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 13.23% | ||
| FCFM | 18.29% |
ROA(3y)-0.74%
ROA(5y)-1.19%
ROE(3y)-4.01%
ROE(5y)-6.23%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-17.23%
OM growth 5YN/A
PM growth 3Y-26.59%
PM growth 5YN/A
GM growth 3Y-13.35%
GM growth 5YN/A
F-Score5
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.04 | ||
| Debt/FCF | 79.72 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 | ||
| Altman-Z | -1.05 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-30.65%
EPS 3Y-28.34%
EPS 5Y-27.62%
EPS Q2Q%30.77%
EPS Next Y42.54%
EPS Next 2Y28.87%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.8%
Revenue growth 3Y29.32%
Revenue growth 5Y33.15%
Sales Q2Q%338.02%
Revenue Next Year934.86%
Revenue Next 2Y348.39%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-44.79%
EBIT growth 3Y7.04%
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-69.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-69.73%
OCF growth 3YN/A
OCF growth 5YN/A