Shares of Chimera Investment (CIM) jumped 6.11% in pre-market trading on Thursday following the release of its first-quarter 2025 financial results, which surpassed analyst expectations.
The real estate investment trust reported adjusted earnings per share (EPS) of $0.41, beating the analyst estimate of $0.40. While the company's net interest income came in at $69.219 million, slightly below the expected $72.07 million, investors seemed to focus on the bottom-line beat and strong overall performance.
Chimera's pretax profit for the quarter stood at an impressive $169.052 million, showcasing the company's ability to generate substantial returns in the current market environment. This strong profitability likely contributed to the positive market reaction.
The pre-market surge suggests that investors are optimistic about Chimera's performance and outlook, despite the slight miss on revenue. The company's ability to exceed earnings expectations in a challenging economic climate appears to have boosted confidence in its management and business model.