Shares of Chimera Investment Corporation (CIM) plummeted 5.08% in pre-market trading on Thursday following the release of its disappointing third-quarter 2025 financial results. The company reported a GAAP net loss of $0.27 per diluted common share, falling short of investor expectations and signaling challenges in its operations.

The real estate investment trust's adjusted earnings per share came in at $0.37, missing the consensus estimate of $0.46 provided by three analysts. This underperformance was further compounded by a negative economic return of 1.4% for the quarter, reflecting the difficult market conditions faced by the company. Chimera's net interest income for the quarter stood at $65.011 million, while it reported a pretax loss of $329,000.

Despite the quarterly setback, Chimera Investment Corporation highlighted its recent acquisition of HomeXpress for $240 million in cash and stock, a strategic move aimed at diversifying and growing its earnings. However, the company did not provide specific financial guidance for future quarters, leaving investors uncertain about its near-term prospects. The market's negative reaction to these results underscores the challenges Chimera faces in navigating the current economic environment and meeting shareholder expectations.