Chimera Investment Corporation operates as a Real Estate Investment Trust (REIT), primarily focusing on assembling a diverse collection of mortgage-backed assets. Its ...
Chimera Investment Corporation is a publicly traded, internally managed mortgage real estate investment trust headquartered at 630 Fifth Avenue in New York City. The company was organized in Maryland on June 1, 2007, and began operations after completing its initial public offering on November 21, 2007. Its principal objective is ...Chimera Investment Corporation is a publicly traded, internally managed mortgage real estate investment trust headquartered at 630 Fifth Avenue in New York City. The company was organized in Maryland on June 1, 2007, and began operations after completing its initial public offering on November 21, 2007. Its principal objective is to generate attractive risk-adjusted returns for shareholders through investments in mortgage assets and related real estate credit instruments.
The company’s portfolio can include residential mortgage loans, Agency residential mortgage-backed securities, non-Agency residential mortgage-backed securities, Agency commercial mortgage-backed securities, and other property-linked investments. Agency assets generally carry credit support from government-sponsored entities or government agencies, while non-Agency assets depend more heavily on borrower credit quality, collateral values, servicing performance, prepayments, and broader housing-market conditions. Chimera’s business is therefore driven less by traditional property ownership and more by the acquisition, financing, management, and risk control of mortgage-related cash flows.
As a mortgage REIT, Chimera typically uses secured financing, repurchase agreements, debt issuance, preferred equity, and common equity to fund its investment portfolio. This creates meaningful exposure to interest-rate movements, funding costs, changes in the yield curve, liquidity conditions, mortgage spreads, credit losses, refinancing activity, and changes in the fair value of securities and loans. The business has relatively limited traditional operating expenses compared with an industrial or consumer company, because its major economic costs are financing expense, hedging costs, servicing and transaction costs, credit provisions, and portfolio-management expenses. Its balance sheet is highly leveraged: the supplied trailing data shows debt-to-assets of approximately 83.8% and debt-to-equity of approximately 5.6 times.
The supplied market snapshot identifies Chimera as a mortgage REIT in the real estate sector, with approximately $991 million in market capitalization for the referenced security data and 423 full-time employees. The company reported a trailing dividend yield of approximately 13.7%, although dividend rates and yields can change and preferred-stock distributions may have different terms from common-stock dividends. CIMN should therefore be analyzed as a security issued by Chimera, including its specific preferred-share dividend, liquidation preference, call provisions, conversion or redemption terms, and priority relative to common equity and other preferred series.
Phillip J. Kardis II serves as President and Chief Executive Officer. He became Chief Executive Officer in December 2022 and President in March 2024. Chimera has stated that it seeks to provide attractive risk-adjusted shareholder returns and has declared substantial cumulative distributions on its common and preferred stock since inception. Key risks include leverage, interest-rate volatility, changes in mortgage spreads, credit deterioration, housing-market weakness, counterparty risk, collateral valuation changes, regulatory requirements, and the possibility that portfolio income may not cover financing costs or preferred distributions. Investors should consult the company’s latest filings and the specific CIMN offering documents for current financial results, distribution terms, capital structure, and security-level protections.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$820.8M
+218.2%
-46.7%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$230.5M
+30.9%
+139.6%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+94.9%
-5.1%
+283.1%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+93.2%
—
+169.6%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+28.1%
-58.9%
+174.2%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$-248.9M
-221.0%
-139.4%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
-30.3%
-138.0%
-173.9%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
508.1%
+28.2%
+7.7%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
0.07x
-97.5%
+3928.7%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Thank you. Greetings, and welcome to the Chimera Investment Corporation Second Quarter Earnings Call. [Operator Instructions] Please note, this conference is being recorded. I will now turn the conference over to Tyra Walton, Head of Investor Relations. Thank you. You may begin.
Tyra Walton: Thank you, Operator, and thank you, everyone, for joining us this morning. I'm Tyra Walton, Head of Investor Relations. This morning, Chimera released its results for the second quarter of 2026. The earnings release and presentation for the quarter are both available on our website at chimerareit.com. Before we begin, I'd like to review the safe harbor statement. Today's remarks may contain forward-looking statements, which are predictions, projections, or other statements about future events. These events are based on current expectations and assumptions that are subject to risks and uncertainties, which are outlined in the Risk Factors section in our most recent annual and quarterly SEC filings. Actual events and results may differ materially from these forward-looking statements. We encourage you to read the forward-looking statement disclaimers in our earnings release and our quarterly and annual filings. During the call, we may also discuss non-GAAP financial measures. Please refer to our SEC filings and earnings supplements or reconciliations to the most comparable GAAP measures. Additionally, the contents of this conference call may contain time-sensitive information that is accurate only as of the date of this earnings call. We do not undertake and specifically disclaim any obligation to update or revise this information. I will now turn the conference over to our President and Chief Executive Officer, Phil Kardis.
Phillip Kardis: Thanks, Tyra. Good morning and welcome to Chimera Investment Corporation's second quarter 2026 earnings call. Joining me on the call are Subramaniam Viswanathan, our Chief Financial Officer; Jack Macdowell, our Chief Investment Officer; and Kyle Walker, the President and CEO of HomeXpress Mortgage. After my remarks, Subra will review the financial results, Jack will review the investment portfolio, and then Kyle will review HomeXpress's results. It's nearly 3,000 years old, but with a fresh translation by Emily Watson (sic) [ Emily Wilson ] and a blockbuster movie by Christopher Nolan, the new generation is discovering the Odyssey, and it has much to say that is relevant to us. During Odysseus' 10-year journey home, we learned that most threats are unpredictable and that risk management matters more than heroics. He doesn't know he'll face challenges like the Cyclops and the Sirens, just as we didn't know at the beginning of the year that we would see open conflict in the Gulf or that the rate cuts everyone had penciled in would give way to talks of hikes before year-end. We also learned that Odysseus reaches home by planning for the downside. For example, by plugging his crew's ears and lashing himself to the …
