Cherry Hill Mortgage Investment

CHMI · NYSE

$2.49+$0.01 (+0.40%)TodayMarket closed · Oct 20, 7:30 PM ET

Prev close $2.48

CHMI analyst rating

HoldConsensus of 1 analyst over the last 12 months. 0% rate it a buy.

Strong buy0
Buy0
Hold1
Underperform0
Sell0

12-month price target · 3 analysts

Average $3.16 (+27.0% upside)

Low: $3.13
Now: $2.49
High: $3.26

Upgrades and downgrades

The latest rating actions, newest first

CHMI analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
Citizens	Aug 11, 2026	Downgrade	Market Outperform → Market Perform	—	25%
Citizens	Jan 22, 2026	Maintains	Market Outperform	$2.75 → $3.00	25%
Citizens	Nov 6, 2025	Upgrade	Market Perform → Market Outperform	$2.75	25%

The case for and against

Updated Nov 29, 2024

Bull case

Cherry Hill Mortgage Investment Corp (CHMI) has demonstrated a strong performance in its Residential mortgage-backed securities (RMBS) segment, achieving a weighted average asset yield of 5.33%, indicative of its strategic positioning among agency mREITs. The company's prudent leverage management, with a current ratio of 4.2x, combined with its nimbleness and superior portfolio metrics, suggests robust potential for generating gross return on equity (ROE) that could support sustainable dividends. Additionally, despite short-term dilution concerns associated with capital structure improvements, CHMI is well-positioned for long-term growth, particularly as it anticipates benefiting from favorable market conditions following potential Federal Reserve rate cuts.

Bear case

Cherry Hill Mortgage Investment Corp has demonstrated a decline in its financial metrics, with consolidated leverage decreasing from 4.42x to 4.15x, indicating a cautious approach to balance sheet management amid concerns over cash flow stability. The company has experienced a decrease in its RMBS portfolio's book value, dropping to $1 billion from $1.08 billion, compounded by the risk of material inaccuracies in management's prepayment projections, which could adversely impact the value of the mortgage servicing rights (MSR) portfolio. Additionally, the downward revision of the FY24 core EPS estimate from $0.90 to $0.75 signals potential challenges in generating sustainable earnings growth in the near term.

Information on this page is provided for informational purposes only and is not a recommendation to buy, sell or hold any security. Investing involves risk, including possible loss of principal. Market data is delayed at least 15 minutes and is provided without warranty. Analyst ratings, price targets and company data come from third-party sources. Past performance does not guarantee future results.