Monitor upcoming quarters for realization of increased earnings from agency MBS redeployment ($15M annual uplift) and loan origination growth. Book value recovery will depend on spread tightening and successful securitization execution. Dividend appears sustainable with 120% coverage.
Price Chart
Executive Summary
Chimera Investment Corp reported Q1 2026 GAAP net loss of $65M ($0.78/shr) vs $146M profit in Q1 2025, driven by portfolio repositioning costs and mark-to-market losses. However, core Earnings Available for Distribution (EAD) rose to $0.54/shr from $0.41/shr, covering the $0.45 dividend by 120%. Book value fell 6.9% QoQ to $18.34 as the company sold $1.2B of seasoned loans and redeployed into higher-yielding Agency MBS, expected to boost annual earnings by $15M.
Key Facts
- GAAP net loss available to common shareholders: $65 million ($0.78 per diluted share)
- Earnings Available for Distribution (EAD): $45.8 million ($0.54 per adjusted diluted share)
- Quarterly dividend of $0.45 per share covered at 120% by EAD
- GAAP book value per share declined to $18.34 from $19.70 at Q4 2025 (down 6.9%)
- Redeemed 8 securitizations, sold $1.2B of reperforming loans, and added $1.9B in Agency MBS
- Residential origination volume $884M, up 39% YoY, contributing $11M EBTDA
- Economic return of (4.6)% for the quarter
Financial Impact
EAD per share improved 32% YoY; book value declined $1.36 sequentially due to portfolio repositioning costs and market volatility
Risk Factors
- Further book value erosion if mortgage spreads widen due to geopolitical or rate volatility
- Delinquency uptick in RPL portfolio (9.2% 60+ days delinquent) may increase credit losses
- Geopolitical risks (Iran conflict) could impact prepayment speeds and portfolio valuations
- Integration of HomeXpress and scaling of origination platform execution risk
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001409493-26-000031 |
| Document: q126investorpresentation.htm | 0001409493-26-000031 |
| Document: cim-20260507.htm | 0001409493-26-000031 |
| Document: 0001409493-26-000031-index-headers.html | 0001409493-26-000031 |
| Document: 0001409493-26-000031-index.html | 0001409493-26-000031 |
| Document: 0001409493-26-000031.txt | 0001409493-26-000031 |
| 8-K Data (Synthetic) | 0001409493-26-000031 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Aug 5, 2026 11w ago | 8-K | $11.85 $11.48 | ▼ −3.12% | ▼ −2.52% | $8.39 (−29.20%) |
Aug 5, 2026 11w ago | 8-K | $11.85 $11.48 | ▲ +3.12% | ▲ +2.52% | $8.39 (+29.20%) |
Jun 11, 2026 19w ago | Institutional Cluster | $13.32 $13.11 | ▼ −1.58% | ▼ −3.47% | $8.39 (−37.01%) |
May 7, 2026 24w ago | 8-K | $23.16 $22.73 | ▼ −1.86% | ▼ −4.99% | $8.39 (−63.77%) |
US Market Status
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