CHIMERA INVESTMENT CORP (CIM)
US16934Q2084 - REIT
CIM gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 64 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. While CIM is still in line with the averages on profitability rating, there are concerns on its financial health. CIM is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year CIM was profitable.
In the past year CIM had a positive cash flow from operations.
CIM had positive earnings in 4 of the past 5 years.
CIM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.40%, CIM is in line with its industry, outperforming 50.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 2.05%, CIM is in line with its industry, outperforming 48.44% of the companies in the same industry.
CIM's Return On Invested Capital of 0.73% is fine compared to the rest of the industry. CIM outperforms 62.50% of its industry peers.
CIM had an Average Return On Invested Capital over the past 3 years of 1.63%. This is in line with the industry average of 1.59%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.4% | ||
| ROE | 2.05% | ||
| ROIC | 0.73% |
ROA(3y)-0.03%
ROA(5y)0.25%
ROE(3y)-1.33%
ROE(5y)1.01%
ROIC(3y)1.63%
ROIC(5y)1.8%
1.3 Margins
CIM has a Profit Margin (7.06%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of CIM has declined.
Looking at the Operating Margin, with a value of 15.78%, CIM is in the better half of the industry, outperforming 60.94% of the companies in the same industry.
In the last couple of years the Operating Margin of CIM has declined.
CIM has a Gross Margin (26.90%) which is comparable to the rest of the industry.
CIM's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.78% | ||
| PM (TTM) | 7.06% | ||
| GM | 26.9% |
OM growth 3Y-30.3%
OM growth 5Y-16.13%
PM growth 3Y77.55%
PM growth 5Y-24.61%
GM growth 3Y-20.61%
GM growth 5Y-9.1%
2. Health
2.1 Basic Checks
CIM has more shares outstanding than it did 1 year ago.
The number of shares outstanding for CIM has been increased compared to 5 years ago.
CIM has a better debt/assets ratio than last year.
2.2 Solvency
CIM has an Altman-Z score of -0.29. This is a bad value and indicates that CIM is not financially healthy and even has some risk of bankruptcy.
CIM has a Altman-Z score (-0.29) which is comparable to the rest of the industry.
CIM has a debt to FCF ratio of 47.40. This is a negative value and a sign of low solvency as CIM would need 47.40 years to pay back of all of its debts.
CIM has a Debt to FCF ratio (47.40) which is comparable to the rest of the industry.
A Debt/Equity ratio of 3.95 is on the high side and indicates that CIM has dependencies on debt financing.
CIM has a Debt to Equity ratio (3.95) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.95 | ||
| Debt/FCF | 47.4 | ||
| Altman-Z | -0.29 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
CIM has a Current Ratio of 0.11. This is a bad value and indicates that CIM is not financially healthy enough and could expect problems in meeting its short term obligations.
CIM has a worse Current ratio (0.11) than 70.31% of its industry peers.
A Quick Ratio of 0.11 indicates that CIM may have some problems paying its short term obligations.
The Quick ratio of CIM (0.11) is worse than 70.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.11 | ||
| Quick Ratio | 0.11 |
3. Growth
3.1 Past
The earnings per share for CIM have decreased strongly by -52.78% in the last year.
Measured over the past years, CIM shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -26.33% on average per year.
CIM shows a small growth in Revenue. In the last year, the Revenue has grown by 6.46%.
The Revenue for CIM have been decreasing by -10.21% on average. This is quite bad
EPS 1Y (TTM)-52.78%
EPS 3Y-30.36%
EPS 5Y-26.33%
EPS growth Q2Q18.18%
Revenue 1Y (TTM)6.46%
Revenue growth 3Y-14.75%
Revenue growth 5Y-10.21%
Revenue growth Q2Q26.79%
3.2 Future
CIM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.89% yearly.
Based on estimates for the next years, CIM will show a small growth in Revenue. The Revenue will grow by 1.85% on average per year.
EPS Next Y30.21%
EPS Next 2Y11.4%
EPS Next 3Y2.89%
EPS Next 5YN/A
Revenue Next Year2.27%
Revenue Next 2Y6.05%
Revenue Next 3Y1.85%
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 8.07, the valuation of CIM can be described as very reasonable.
CIM's Price/Earnings ratio is a bit cheaper when compared to the industry. CIM is cheaper than 68.75% of the companies in the same industry.
CIM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.25.
CIM is valuated cheaply with a Price/Forward Earnings ratio of 6.20.
87.50% of the companies in the same industry are more expensive than CIM, based on the Price/Forward Earnings ratio.
CIM's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.67.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.07 | ||
| Fwd PE | 6.2 |
4.2 Price Multiples
CIM's Price/Free Cash Flow ratio is rather cheap when compared to the industry. CIM is cheaper than 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.66 | ||
| 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.
PEG (NY)0.27
PEG (5Y)N/A
EPS Next 2Y11.4%
EPS Next 3Y2.89%
5. Dividend
5.1 Amount
CIM has a Yearly Dividend Yield of 10.95%, which is a nice return.
With a Dividend Yield of 10.95, CIM pays less dividend than the industry average, which is at 13.34. 87.50% of the companies listed in the same industry pay a better dividend than CIM!
CIM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.95% |
5.2 History
The dividend of CIM decreases each year by -13.82%.
CIM has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-13.82%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
478.55% of the earnings are spent on dividend by CIM. This is not a sustainable payout ratio.
DP478.55%
EPS Next 2Y11.4%
EPS Next 3Y2.89%
CHIMERA INVESTMENT CORP
NYSE:CIM (4/25/2024, 11:26:57 AM)
4.115
-0.04 (-1.08%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap993.20M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.95% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.07 | ||
| Fwd PE | 6.2 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.27
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.4% | ||
| ROE | 2.05% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.78% | ||
| PM (TTM) | 7.06% | ||
| GM | 26.9% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.95 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.11 | ||
| Quick Ratio | 0.11 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-52.78%
EPS 3Y-30.36%
EPS 5Y
EPS growth Q2Q
EPS Next Y30.21%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)6.46%
Revenue growth 3Y-14.75%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y