CHIMERA INVESTMENT CORP (CIM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CIM - US16934Q8024 - REIT
12.88 USD
-0.02 (-0.16%)
12.8228 USD
-0.06 (-0.44%)
Taking everything into account, CIM scores 3 out of 10 in our fundamental rating. CIM was compared to 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. CIM has a bad profitability rating. Also its financial health evaluation is rather negative. CIM scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
CIM had positive earnings in the past year.
In the past year CIM has reported a negative cash flow from operations.
CIM had positive earnings in 4 of the past 5 years.
Each year in the past 5 years CIM had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CIM (-0.20%) is worse than 66.18% of its industry peers.
With a Return On Equity value of -1.18%, CIM is not doing good in the industry: 66.18% of the companies in the same industry are doing better.
CIM's Return On Invested Capital of 0.83% is fine compared to the rest of the industry. CIM outperforms 75.00% of its industry peers.
CIM had an Average Return On Invested Capital over the past 3 years of 1.06%. This is in line with the industry average of 1.28%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.2% | ||
| ROE | -1.18% | ||
| ROIC | 0.83% |
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
CIM's Profit Margin has declined in the last couple of years.
CIM has a better Operating Margin (18.08%) than 72.06% of its industry peers.
CIM's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 33.41%, CIM is in the better half of the industry, outperforming 70.59% of the companies in the same industry.
CIM's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.08% | ||
| PM (TTM) | N/A | ||
| GM | 33.41% |
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.
The number of shares outstanding for CIM has been increased compared to 5 years ago.
The debt/assets ratio for CIM has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.50, we must say that CIM is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of -0.50, CIM is not doing good in the industry: 64.71% of the companies in the same industry are doing better.
A Debt/Equity ratio of 4.27 is on the high side and indicates that CIM has dependencies on debt financing.
CIM's Debt to Equity ratio of 4.27 is in line compared to the rest of the industry. CIM outperforms 58.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.27 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.5 |
ROIC/WACC0.17
WACC4.91%
2.3 Liquidity
CIM has a Current Ratio of 0.12. 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 Current ratio of 0.12. This is comparable to the rest of the industry: CIM outperforms 41.18% of its industry peers.
A Quick Ratio of 0.12 indicates that CIM may have some problems paying its short term obligations.
The Quick ratio of CIM (0.12) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.05% over the past year.
The earnings per share for CIM have been decreasing by -26.31% on average. This is quite bad
The Revenue has been growing slightly by 5.28% 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)4.05%
EPS 3Y-35.1%
EPS 5Y-26.31%
EPS Q2Q%2.78%
Revenue 1Y (TTM)5.28%
Revenue growth 3Y-8.39%
Revenue growth 5Y-11.37%
Sales Q2Q%-2.17%
3.2 Future
Based on estimates for the next years, CIM will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.14% on average per year.
CIM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.85% yearly.
EPS Next Y22.62%
EPS Next 2Y20.63%
EPS Next 3Y15.14%
EPS Next 5YN/A
Revenue Next Year7.21%
Revenue Next 2Y14.13%
Revenue Next 3Y8.85%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 8.36, the valuation of CIM can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of CIM indicates a rather cheap valuation: CIM is cheaper than 80.88% of the companies listed in the same industry.
CIM is valuated cheaply when we compare the Price/Earnings ratio to 26.92, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 6.06, the valuation of CIM can be described as very cheap.
Based on the Price/Forward Earnings ratio, CIM is valued cheaper than 91.18% of the companies in the same industry.
CIM is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.46, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.36 | ||
| Fwd PE | 6.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CIM is valued cheaper than 85.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 55.2 |
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.
CIM's earnings are expected to grow with 15.14% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.37
PEG (5Y)N/A
EPS Next 2Y20.63%
EPS Next 3Y15.14%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 9.10%, CIM is a good candidate for dividend investing.
CIM's Dividend Yield is slightly below the industry average, which is at 10.99.
CIM's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.1% |
5.2 History
The dividend of CIM decreases each year by -17.33%.
CIM has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-17.33%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of CIM are negative and hence is the payout ratio. CIM will probably not be able to sustain this dividend level.
DP-682.63%
EPS Next 2Y20.63%
EPS Next 3Y15.14%
12.88
-0.02 (-0.16%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners55.77%
Inst Owner Change0.06%
Ins Owners1.64%
Ins Owner Change0.19%
Market Cap1.07B
Revenue(TTM)791.98M
Net Income(TTM)-30.31M
Analysts72.5
Price Target14.79 (14.83%)
Short Float %2.97%
Short Ratio3.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.1% |
Yearly Dividend2.77
Dividend Growth(5Y)-17.33%
DP-682.63%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.19%
Min EPS beat(2)-20.93%
Max EPS beat(2)-15.44%
EPS beat(4)0
Avg EPS beat(4)-18.38%
Min EPS beat(4)-21.72%
Max EPS beat(4)-15.43%
EPS beat(8)0
Avg EPS beat(8)-20.42%
EPS beat(12)0
Avg EPS beat(12)-24.36%
EPS beat(16)2
Avg EPS beat(16)-17.42%
Revenue beat(2)0
Avg Revenue beat(2)-21.8%
Min Revenue beat(2)-24.11%
Max Revenue beat(2)-19.49%
Revenue beat(4)0
Avg Revenue beat(4)-17.34%
Min Revenue beat(4)-24.11%
Max Revenue beat(4)-9.79%
Revenue beat(8)0
Avg Revenue beat(8)-14.15%
Revenue beat(12)1
Avg Revenue beat(12)-10.59%
Revenue beat(16)5
Avg Revenue beat(16)3.25%
PT rev (1m)-6.45%
PT rev (3m)-6.45%
EPS NQ rev (1m)-0.66%
EPS NQ rev (3m)8.63%
EPS NY rev (1m)-4.53%
EPS NY rev (3m)-2.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)7.12%
Revenue NY rev (1m)-5.67%
Revenue NY rev (3m)-3.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.36 | ||
| Fwd PE | 6.06 | ||
| P/S | 1.35 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.42 | ||
| P/tB | 0.42 | ||
| EV/EBITDA | 55.2 |
EPS(TTM)1.54
EY11.96%
EPS(NY)2.12
Fwd EY16.49%
FCF(TTM)-1.16
FCFYN/A
OCF(TTM)-0.7
OCFYN/A
SpS9.52
BVpS30.92
TBVpS30.92
PEG (NY)0.37
PEG (5Y)N/A
Graham Number32.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.2% | ||
| ROE | -1.18% | ||
| ROCE | 1.65% | ||
| ROIC | 0.83% | ||
| ROICexc | 0.87% | ||
| ROICexgc | 0.88% | ||
| OM | 18.08% | ||
| PM (TTM) | N/A | ||
| GM | 33.41% | ||
| FCFM | N/A |
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-Score3
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.27 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 76.53 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.28 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 | ||
| Altman-Z | -0.5 |
F-Score3
WACC4.91%
ROIC/WACC0.17
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)4.05%
EPS 3Y-35.1%
EPS 5Y-26.31%
EPS Q2Q%2.78%
EPS Next Y22.62%
EPS Next 2Y20.63%
EPS Next 3Y15.14%
EPS Next 5YN/A
Revenue 1Y (TTM)5.28%
Revenue growth 3Y-8.39%
Revenue growth 5Y-11.37%
Sales Q2Q%-2.17%
Revenue Next Year7.21%
Revenue Next 2Y14.13%
Revenue Next 3Y8.85%
Revenue Next 5YN/A
EBIT growth 1Y-11.4%
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-146.25%
FCF growth 3Y-26.56%
FCF growth 5Y25.89%
OCF growth 1Y-127.91%
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 3 / 10 to CIM.
What is the valuation status of CHIMERA INVESTMENT CORP (CIM) stock?
ChartMill assigns a valuation rating of 7 / 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 3 / 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 8.36 and the Price/Book (PB) ratio is 0.42.
What is the financial health of CHIMERA INVESTMENT CORP (CIM) stock?
The financial health rating of CHIMERA INVESTMENT CORP (CIM) is 1 / 10.