CHIMERA INVESTMENT CORP (CIM) Stock Fundamental Analysis
USA - NYSE:CIM - US16934Q8024 - REIT
12.02 USD
-0.18 (-1.48%)
12.05 USD
+0.03 (+0.25%)
CIM gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. CIM has a medium profitability rating, but doesn't score so well on its financial health evaluation. A decent growth rate in combination with a cheap valuation! Better keep an eye on CIM.
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.
Of the past 5 years CIM 4 years were profitable.
CIM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 0.71%, CIM is doing good in the industry, outperforming 75.00% of the companies in the same industry.
CIM has a Return On Equity of 4.01%. This is in the better half of the industry: CIM outperforms 60.29% of its industry peers.
CIM has a better Return On Invested Capital (0.92%) than 77.94% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CIM is in line with the industry average of 1.19%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.71% | ||
| ROE | 4.01% | ||
| ROIC | 0.92% |
ROA(3y)-1.1%
ROA(5y)0.13%
ROE(3y)-5.46%
ROE(5y)0%
ROIC(3y)1.06%
ROIC(5y)1.7%
1.3 Margins
With a decent Profit Margin value of 13.57%, CIM is doing good in the industry, outperforming 77.94% of the companies in the same industry.
In the last couple of years the Profit Margin of CIM has declined.
Looking at the Operating Margin, with a value of 19.64%, CIM belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
CIM's Operating Margin has declined in the last couple of years.
CIM has a better Gross Margin (32.88%) than 70.59% of its industry peers.
In the last couple of years the Gross Margin of CIM has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.64% | ||
| PM (TTM) | 13.57% | ||
| GM | 32.88% |
OM growth 3Y-27.82%
OM growth 5Y-11.26%
PM growth 3Y-41.81%
PM growth 5Y-13.49%
GM growth 3Y-21.29%
GM growth 5Y-6.24%
2. Health
2.1 Basic Checks
CIM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for CIM has been increased compared to 1 year ago.
CIM has more shares outstanding than it did 5 years ago.
CIM has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.53, we must say that CIM is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of CIM (-0.53) is worse than 69.12% of its industry peers.
The Debt to FCF ratio of CIM is 97.21, which is on the high side as it means it would take CIM, 97.21 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CIM (97.21) is better than 61.76% of its industry peers.
CIM has a Debt/Equity ratio of 3.99. This is a high value indicating a heavy dependency on external financing.
CIM has a Debt to Equity ratio (3.99) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.99 | ||
| Debt/FCF | 97.21 | ||
| Altman-Z | -0.53 |
ROIC/WACC0.19
WACC4.84%
2.3 Liquidity
CIM has a Current Ratio of 0.05. This is a bad value and indicates that CIM is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of CIM (0.05) is worse than 72.06% of its industry peers.
CIM has a Quick Ratio of 0.05. This is a bad value and indicates that CIM is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.05, CIM is not doing good in the industry: 72.06% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.32% over the past year.
Measured over the past years, CIM shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -26.31% on average per year.
The Revenue has been growing slightly by 3.20% in the past year.
CIM shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -11.37% yearly.
EPS 1Y (TTM)1.32%
EPS 3Y-35.1%
EPS 5Y-26.31%
EPS Q2Q%5.41%
Revenue 1Y (TTM)3.2%
Revenue growth 3Y-8.39%
Revenue growth 5Y-11.37%
Sales Q2Q%-1.91%
3.2 Future
Based on estimates for the next years, CIM will show a very strong growth in Earnings Per Share. The EPS will grow by 20.03% on average per year.
Based on estimates for the next years, CIM will show a quite strong growth in Revenue. The Revenue will grow by 10.51% on average per year.
EPS Next Y28.44%
EPS Next 2Y26.96%
EPS Next 3Y20.03%
EPS Next 5YN/A
Revenue Next Year13.65%
Revenue Next 2Y15.78%
Revenue Next 3Y10.51%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.86, the valuation of CIM can be described as very cheap.
Based on the Price/Earnings ratio, CIM is valued cheaply inside the industry as 80.88% of the companies are valued more expensively.
CIM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.28.
The Price/Forward Earnings ratio is 5.11, which indicates a rather cheap valuation of CIM.
CIM's Price/Forward Earnings ratio is rather cheap when compared to the industry. CIM is cheaper than 91.18% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CIM to the average of the S&P500 Index (33.61), we can say CIM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.86 | ||
| Fwd PE | 5.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CIM is valued cheaply inside the industry as 85.29% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CIM indicates a rather cheap valuation: CIM is cheaper than 82.35% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.28 | ||
| EV/EBITDA | 51.87 |
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.
The decent profitability rating of CIM may justify a higher PE ratio.
CIM's earnings are expected to grow with 20.03% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y26.96%
EPS Next 3Y20.03%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 12.31%, CIM is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 13.24, CIM is paying slightly less dividend.
CIM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.31% |
5.2 History
The dividend of CIM decreases each year by -17.33%.
CIM has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-17.33%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
223.91% of the earnings are spent on dividend by CIM. This is not a sustainable payout ratio.
DP223.91%
EPS Next 2Y26.96%
EPS Next 3Y20.03%
12.02
-0.18 (-1.48%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners56.96%
Inst Owner Change0.42%
Ins Owners1.68%
Ins Owner Change0.92%
Market Cap999.46M
Revenue(TTM)776.19M
Net Income(TTM)105.36M
Analysts72.5
Price Target15.81 (31.53%)
Short Float %2.43%
Short Ratio3.33
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.31% |
Yearly Dividend2.77
Dividend Growth(5Y)-17.33%
DP223.91%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-15.44%
Min EPS beat(2)-15.44%
Max EPS beat(2)-15.43%
EPS beat(4)0
Avg EPS beat(4)-18.08%
Min EPS beat(4)-21.72%
Max EPS beat(4)-15.43%
EPS beat(8)0
Avg EPS beat(8)-21.24%
EPS beat(12)0
Avg EPS beat(12)-22.93%
EPS beat(16)3
Avg EPS beat(16)-15.18%
Revenue beat(2)0
Avg Revenue beat(2)-14.64%
Min Revenue beat(2)-19.49%
Max Revenue beat(2)-9.79%
Revenue beat(4)0
Avg Revenue beat(4)-13.95%
Min Revenue beat(4)-19.49%
Max Revenue beat(4)-9.79%
Revenue beat(8)0
Avg Revenue beat(8)-14.41%
Revenue beat(12)2
Avg Revenue beat(12)-5.91%
Revenue beat(16)6
Avg Revenue beat(16)8.69%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.72%
EPS NY rev (1m)2.58%
EPS NY rev (3m)0.91%
Revenue NQ rev (1m)-0.34%
Revenue NQ rev (3m)3.37%
Revenue NY rev (1m)1.84%
Revenue NY rev (3m)-0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.86 | ||
| Fwd PE | 5.11 | ||
| P/S | 1.29 | ||
| P/FCF | 8.28 | ||
| P/OCF | 8.28 | ||
| P/B | 0.38 | ||
| P/tB | 0.38 | ||
| EV/EBITDA | 51.87 |
EPS(TTM)1.53
EY12.73%
EPS(NY)2.35
Fwd EY19.58%
FCF(TTM)1.45
FCFY12.08%
OCF(TTM)1.45
OCFY12.08%
SpS9.33
BVpS31.56
TBVpS31.56
PEG (NY)0.28
PEG (5Y)N/A
Graham Number32.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.71% | ||
| ROE | 4.01% | ||
| ROCE | 1.79% | ||
| ROIC | 0.92% | ||
| ROICexc | 0.94% | ||
| ROICexgc | 0.95% | ||
| OM | 19.64% | ||
| PM (TTM) | 13.57% | ||
| GM | 32.88% | ||
| FCFM | 15.56% |
ROA(3y)-1.1%
ROA(5y)0.13%
ROE(3y)-5.46%
ROE(5y)0%
ROIC(3y)1.06%
ROIC(5y)1.7%
ROICexc(3y)1.07%
ROICexc(5y)1.73%
ROICexgc(3y)1.08%
ROICexgc(5y)1.74%
ROCE(3y)1.76%
ROCE(5y)2.84%
ROICexgc growth 3Y-27.85%
ROICexgc growth 5Y-7.12%
ROICexc growth 3Y-27.99%
ROICexc growth 5Y-7.16%
OM growth 3Y-27.82%
OM growth 5Y-11.26%
PM growth 3Y-41.81%
PM growth 5Y-13.49%
GM growth 3Y-21.29%
GM growth 5Y-6.24%
F-Score6
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.99 | ||
| Debt/FCF | 97.21 | ||
| Debt/EBITDA | 68.51 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.31 | ||
| Cash Conversion | 79.04% | ||
| Profit Quality | 114.59% | ||
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 | ||
| Altman-Z | -0.53 |
F-Score6
WACC4.84%
ROIC/WACC0.19
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)1.32%
EPS 3Y-35.1%
EPS 5Y-26.31%
EPS Q2Q%5.41%
EPS Next Y28.44%
EPS Next 2Y26.96%
EPS Next 3Y20.03%
EPS Next 5YN/A
Revenue 1Y (TTM)3.2%
Revenue growth 3Y-8.39%
Revenue growth 5Y-11.37%
Sales Q2Q%-1.91%
Revenue Next Year13.65%
Revenue Next 2Y15.78%
Revenue Next 3Y10.51%
Revenue Next 5YN/A
EBIT growth 1Y-2.85%
EBIT growth 3Y-33.87%
EBIT growth 5Y-21.34%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-40.91%
FCF growth 3Y-26.56%
FCF growth 5Y25.89%
OCF growth 1Y-40.91%
OCF growth 3Y-26.56%
OCF growth 5Y25.89%
CHIMERA INVESTMENT CORP / CIM FAQ
Can you provide the ChartMill fundamental rating for CHIMERA INVESTMENT CORP?
ChartMill assigns a fundamental rating of 5 / 10 to CIM.
What is the valuation status of CHIMERA INVESTMENT CORP (CIM) stock?
ChartMill assigns a valuation rating of 9 / 10 to CHIMERA INVESTMENT CORP (CIM). This can be considered as Undervalued.
Can you provide the profitability details for CHIMERA INVESTMENT CORP?
CHIMERA INVESTMENT CORP (CIM) has a profitability rating of 6 / 10.
What are the PE and PB ratios of CHIMERA INVESTMENT CORP (CIM) stock?
The Price/Earnings (PE) ratio for CHIMERA INVESTMENT CORP (CIM) is 7.86 and the Price/Book (PB) ratio is 0.38.
What is the financial health of CHIMERA INVESTMENT CORP (CIM) stock?
The financial health rating of CHIMERA INVESTMENT CORP (CIM) is 2 / 10.