RBC Capital analysts updated their estimates on Chimera Investment (NYSE:CIM) following the recent Q1 earnings results, with EPS of $0.17 coming in better than the Street estimate of $0.16.
According to the analysts, the highlight of the quarterly results is a relatively stable BVPS of $7.41, which was close to their estimate and was only a slight 1% quarter-over-quarter decline, in a challenging quarter with market volatility. Consequently, the company generated a 2% economic return in the quarter.
According to the analysts, Q1 EAD (earnings available for distribution) less than the common dividend level may raise questions but management indicated the portfolio is still strong and their sense is the earnings power may be relatively unchanged. The analysts reiterated their Outperform rating on the stock but slightly lowered their price target to $6 from $7.