Chimera Investment Corporation’s Stock Is Buy After Today’s Bullish Options Activity

 Chimera Investment Corporation's Stock Is Buy After Today's Bullish Options Activity

In today’s session Chimera Investment Corporation (CIM) registered an unusually high (822) contracts volume of call trades. Someone, most probably a professional was a very active buyer of the December, 2016 call, expecting serious CIM increase. With 822 contracts traded and 33434 open interest for the Dec, 16 contract, it seems this is a quite bullish bet. The option with symbol: CIM161216C00016000 closed last at: $0.9 or 12.5% up. The stock decreased 1.37% or $0.23 on November 23, hitting $16.51. About 1.40M shares traded hands or 2.94% up from the average. Chimera Investment Corporation (NYSE:CIM) has risen 18.86% since April 22, 2016 and is uptrending. It has outperformed by 13.45% the S&P500.

Analysts await Chimera Investment Corporation (NYSE:CIM) to report earnings on February, 15. They expect $0.61 earnings per share, up 15.09% or $0.08 from last year’s $0.53 per share. CIM’s profit will be $115.65 million for 6.77 P/E if the $0.61 EPS becomes a reality. After $0.68 actual earnings per share reported by Chimera Investment Corporation for the previous quarter, Wall Street now forecasts -10.29% negative EPS growth.

Chimera Investment Corporation (NYSE:CIM) Ratings Coverage

Out of 7 analysts covering Chimera Investment (NYSE:CIM), 2 rate it a “Buy”, 1 “Sell”, while 4 “Hold”. This means 29% are positive. Chimera Investment has been the topic of 14 analyst reports since August 12, 2015 according to StockzIntelligence Inc. The firm earned “Market Perform” rating on Monday, January 18 by Wells Fargo. Wood maintained Chimera Investment Corporation (NYSE:CIM) rating on Tuesday, August 9. Wood has “Market Perform” rating and $15.50 price target. Wells Fargo downgraded the stock to “Underperform” rating in Wednesday, May 4 report. The firm earned “Hold” rating on Wednesday, August 12 by Deutsche Bank. On Friday, August 14 the stock rating was maintained by Wood with “Hold”. On Wednesday, August 10 the stock rating was maintained by Barclays Capital with “Equal-Weight”. On Friday, January 15 the stock rating was downgraded by Wells Fargo to “Market Perform”. The firm earned “Buy” rating on Wednesday, August 12 by Zacks. Deutsche Bank maintained Chimera Investment Corporation (NYSE:CIM) on Tuesday, August 9 with “Hold” rating. The firm earned “Buy” rating on Wednesday, March 23 by Nomura.

According to Zacks Investment Research, “Chimera Investment Corporation are a newly-formed specialty finance company that will invest in residential mortgage loans, residential mortgage-backed securities, real estate-related securities and various other asset classes and intends to elect and qualify to be taxed as a real estate investment trust, or REIT, for federal income tax purposes. Chimera Investment Corporation will be externally managed by Fixed Income Discount Advisory Company, a wholly-owned subsidiary of Annaly.”

Insitutional Activity: The institutional sentiment increased to 0.5 in Q2 2016. Its up 0.25, from 0.25 in 2016Q1. The ratio improved, as 2 funds sold all Chimera Investment Corporation shares owned while 2 reduced positions. 1 funds bought stakes while 0 increased positions. They now own 972,918 shares or 40.73% less from 1.64 million shares in 2016Q1.
Nfc Llc last reported 856,136 shares in the company. Capital Lc last reported 67,420 shares in the company. Balasa Dinverno Foltz Lc has 0.14% invested in the company for 49,362 shares.

Insider Transactions: Since September 9, 2016, the stock had 1 insider purchase, and 0 sales for $37,110 net activity. Yarlagadda Choudhary also bought $37,110 worth of Chimera Investment Corporation (NYSE:CIM) shares.

Chimera Investment Corporation is a real estate investment trust. The company has a market cap of $3.13 billion. The Firm is primarily engaged in the business of investing, on a leveraged basis, in a diversified portfolio of mortgage assets, including Agency residential mortgage-backed securities , Non-Agency RMBS, Agency commercial mortgage backed securities (CMBS), residential mortgage loans and real estate related securities. It has a 6.98 P/E ratio. The mortgage backed securities (MBS) and real estate-related securities the Company purchases may include investment-grade and non-investment grade classes, including the BB-rated, B-rated and non-rated classes.

CIM Company Profile

Chimera Investment Corporation, incorporated on June 1, 2007, is a real estate investment trust. The Firm is primarily engaged in the business of investing, on a leveraged basis, in a diversified portfolio of mortgage assets, including Agency residential mortgage-backed securities (RMBS), Non-Agency RMBS, Agency commercial mortgage backed securities (CMBS), residential mortgage loans and real estate related securities. The mortgage backed securities (MBS) and real estate-related securities the Company purchases may include investment-grade and non-investment grade classes, including the BB-rated, B-rated and non-rated classes.

More news for Chimera Investment Corporation (NYSE:CIM) were recently published by: Seekingalpha.com, which released: “Chimera Investment Corp.: Taking Some Profits?” on July 21, 2016. Seekingalpha.com‘s article titled: “Chimera Investment Corp: A Potential High-Yield Ticking Time Bomb” and published on August 08, 2016 is yet another important article.

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