& maybe it's because of the management's ill timed and uncomminicated recent share offerings...because fundamentally it is a strong stock...so instead of bashing me maybe u shd be bashing cim's management...As a whole, components of the Mortgage Investment Stocks Index are paying out an average 8.8% yield, based on current prices and distributions over the last year. And while the sector has climbed nearly 3% over the last week, high yielding mortgage REITs Invesco Mortgage Capital (NYSE: IVR - News), Cypress Sharpridge Investments (NYSE: CYS - News) and Resource Capital (NYSE: RSO - News) have taken part in the rally and are sporting yields upwards for 16%. Meanwhile, Chimera Investment (NYSE: CIM - News) and Northstar Realty Finance (NYSE: NRF - News) have been noticeable laggards, falling into negative territory over the last week. On November 3, Chimera announced a public offering of 125 million shares of its common stock at a price per share of $3.85, diluting existing shareholders.
i guess i shd've put it in quotes...but it's the truth...pull up any chart on cim versus rso..five day, three month, six month etc...rso is outperforming cim...how can u dispute that...i swear some peeps on this board mst've got their h.s. diploma at k-mart during the flashing blue light special no less..
Well, some can be stupid enough to only look at Share Price when evaluating this stock...
How about looking at *both* dividends (which is "cash in the pocket" gains) *and* the share price.
Looks like quite a winner based on those values combined.
If you are in CIM for stock price appreciation, I believe that you have chosen the wrong investment vehicle. (opinions may differ on this)
However, in terms of ROI, it seems pretty attractive.
No one is bashing you ... that would be a waste of time. Debating you, because you are raising debatable points.
I would argue that CIM is high yield because of the inherent risk of the asset class of RMBS.
I still think it is inappropriate to characterize the share offerings as dilution, as you do.
I do think the issue was a little bit ill-timed. An issue at the quarter transition time has the least impact on EPS. As for the uncommunicated nature ... I have no idea if that is negatively effecting share price. I think the discount to market price, size, and speed of investment of the proceeds, of the offerings are more critical.