Cherry Hill Mortgage Investment Corporation
Cherry Hill Mortgage Investment Corporation Fundamental Analysis
Cherry Hill Mortgage Investment Corporation (CHMI-PA) shows moderate financial fundamentals with a PE ratio of 8.86, profit margin of 30.93%, and ROE of 4.64%. The company generates $0.0B in annual revenue with moderate year-over-year growth of 4.47%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 38.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CHMI-PA's fundamental strength across five key dimensions:
Efficiency Score
WeakCHMI-PA struggles to generate sufficient returns from assets.
Valuation Score
ExcellentCHMI-PA trades at attractive valuation levels.
Growth Score
WeakCHMI-PA faces weak or negative growth trends.
Financial Health Score
ModerateCHMI-PA shows balanced financial health with some risks.
Profitability Score
ModerateCHMI-PA maintains healthy but balanced margins.
Key Financial Metrics
Is CHMI-PA Expensive or Cheap?
P/E Ratio
CHMI-PA trades at 8.86 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, CHMI-PA's PEG of 0.08 indicates potential undervaluation.
Price to Book
The market values Cherry Hill Mortgage Investment Corporation at 0.41 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 0.25 times EBITDA. This is generally considered low.
How Well Does CHMI-PA Make Money?
Net Profit Margin
For every $100 in sales, Cherry Hill Mortgage Investment Corporation keeps $30.93 as profit after all expenses.
Operating Margin
Core operations generate 21.66 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.64 in profit for every $100 of shareholder equity.
ROA
Cherry Hill Mortgage Investment Corporation generates $0.70 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Cherry Hill Mortgage Investment Corporation generates strong operating cash flow of $16.95M, reflecting robust business health.
Free Cash Flow
Cherry Hill Mortgage Investment Corporation generates strong free cash flow of $16.95M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.46 in free cash annually.
FCF Yield
CHMI-PA converts 17.39% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
8.86
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.08
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.41
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.79
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.63
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.05
vs 25 benchmark
ROA
Return on assets percentage
0.007
vs 25 benchmark
ROCE
Return on capital employed
0.005
vs 25 benchmark
How CHMI-PA Stacks Against Its Sector Peers
| Metric | CHMI-PA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 8.86 | 24.23 | Better (Cheaper) |
| ROE | 4.64% | 659.00% | Weak |
| Net Margin | 30.93% | 4497.00% | Weak |
| Debt/Equity | 0.63 | -22.14 (disorted) | Distorted |
| Current Ratio | 0.00 | 13.87 | Weak Liquidity |
| ROA | 0.70% | -1390.00% (disorted) | Weak |
CHMI-PA outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Cherry Hill Mortgage Investment Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
139.21%
Industry Style: Income, Inflation Hedge, REIT
High GrowthEPS CAGR
114.94%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
-103.66%
Industry Style: Income, Inflation Hedge, REIT
Declining