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What is Cherry Hill Mortgage's latest dividend and current dividend yield?

What were the key takeaways from Cherry Hill Mortgage's earnings call?

- **Sustainable Dividend Adjustment**: Dividend reduced to $0.10 per share to align with earnings power, maintaining financial stability.
- **Portfolio Resilience**: MSR portfolio (3.5% note rate) and RMBS portfolio (6.1% CPR) performed well amid rate cuts, with potential for higher prepayment speeds as rates decline.
- **Cost Management Progress**: Operating expenses up 12.5% sequentially due to personnel changes, but CFO anticipates future reductions with new in-house GC.
- **Strategic Growth Potential**: Real Genius partnership shows momentum, with digital mortgage platform poised to benefit from lower mortgage rates.

**【CEO Summary Section】**
- **Market Conditions and Portfolio Performance**: The third quarter saw reduced macro volatility and Fed rate cuts, with the 10-year yield ending at 4.15%. The portfolio, including mortgages, swaps, futures, and MSRs, performed well, with lower coupon mortgages outperforming. The MSR portfolio (weighted average note rate of 3.5%) and RMBS portfolio (6.1% CPR) showed stability.
- **Financial Highlights**: GAAP net income was $0.05 per share, book value rose to $3.36, and NAV increased by 0.5%. The Board adjusted the dividend to $0.10 per share for sustainability.
- **Strategic Initiatives**: The partnership with Real Genius, a digital mortgage platform, is gaining momentum, with potential growth as mortgage rates decline.

**【CFO Financial Commentary】**
- **Earnings and Dividends**: GAAP net income was $2 million, comprehensive income $4.5 million, and EAD $3.3 million. Dividends of $0.10 per common share and $0.5125/$0.6523 for preferred shares were paid.
- **Cost Management**: Operating expenses rose to $3.8 million due to personnel changes and fees, but a new in-house GC is expected to reduce future costs.
- **Liquidity and Leverage**: Financial leverage remained at 5.3x, with $55 million in unrestricted cash.

**【Q&A Key Highlights】**
- **Partnership Outlook**: CEO indicated openness to future accretive partnerships, with Real Genius showing positive momentum.
- **Expense Trends**: CFO noted Q3 G&A and comp costs were elevated due to personnel changes but expects downward pressure in Q4.
- **Book Value Update**: As of October 31, book value per share increased by 1.2% from September 30, excluding dividend accruals.

Cherry Hill Mortgage Investment Corporation (CHMI) Q3 2025 Earnings Call Transcript

- **Strategic Tech Partnership**: Investment in Real Genius's digital mortgage platform expected to yield profits within 6-7 months.
- **Financial Resilience**: Despite Q2 GAAP net loss, book value increased to $3.34, supported by prudent leverage (5.3x) and $58M cash.
- **Leverage Outlook**: Modest increase anticipated in H2 2025 as Fed rate cuts may enhance mortgage asset returns.
- **Dividend Stability**: Common dividend of $0.15 maintained, alongside preferred stock distributions.

**【CEO Summary Section】**
- Q2 2025 started with market volatility due to tariff announcements but ended with stabilization. GAAP net loss of $0.03 per share, but book value rose to $3.34 from $3.18. Strategic partnership with Real Genius, a digital mortgage tech company, aims to accelerate growth through a direct-to-consumer platform.

**【CFO Financial Commentary】**
- GAAP net loss of $0.9 million ($0.03 per share) and EAD of $3.2 million ($0.10 per share). Operating expenses were $3.4 million. A $0.15 common dividend was declared, along with preferred stock dividends. Hedging strategy includes SOFR swaps, TBAs, and treasury futures, with a combined notional of $446 million.

**【Q&A Key Highlights】**
- **Servicing Costs**: Lower due to prior quarter deboarding fees and reduced loan count from Flagstar acquisition.
- **Leverage Outlook**: Expected to creep up slightly in H2 2025 as Fed rate cuts may drive mortgage asset attractiveness.
- **Real Genius Partnership**: Expected to be profitable within 6-7 months, with potential for accretive growth.
- **Book Value**: Flat at $3.34 as of July 31, pre-third quarter dividend accrual.

Cherry Hill Mortgage Investment Corporation (CHMI) Q2 2025 Earnings Call Transcript

- **Market Volatility Impact**: Q1 marked by aggressive rate fluctuations (10-year Treasury down 30bps) and tariff-driven spikes, leading to a neutral portfolio stance.
- **Financial Results**: GAAP net loss of $0.29 per share, book value at $3.58, and 3.2% NAV decline. EAD of $0.17 per share driven by a maturing hedge, with future EAD expected to decline.
- **Portfolio Strategy**: 76% of assets in RMBS (higher coupon focus), 44% in MSR. Prepayment rates stable, but cautious on tariff-related macro risks.
- **Dividend Policy**: Q1 dividend of $0.15 per share, with Board emphasizing market conditions and portfolio returns in future decisions.
- **Hedging Update**: $489 million hedged via swaps, TBAs, and futures. Treasury futures increased as swap spreads tightened.

**【Management Opening Remarks】**
- **Market Volatility**: The first quarter was marked by aggressive market reactions to the new administration's policies, including rate fluctuations and the impact of Liberation Day tariffs. The 10-year Treasury yield ended the quarter at 4.25%, down 30bps QoQ, but spiked post-tariff announcements.
- **Financial Performance**: GAAP net loss applicable to common stockholders was $0.29 per share, with book value per common share at $3.58 (down from $3.82). NAV declined $7.5 million (3.2%) due to market volatility.
- **Portfolio Strategy**: Maintained a neutral rate stance to withstand volatility. Financial leverage remained stable at 5.2x, with $47 million in unrestricted cash. Operating expenses declined due to internalization, eliminating management fees.

**【CEO & CIO Portfolio Commentary】**
- **MSR Portfolio**: UPB of $17 billion and market value of $227 million, representing 44% of equity capital. Net CPR averaged 4.1%, with minimal recapture due to high loan rates. Prepayment speeds expected to remain low amid elevated rates.
- **RMBS Portfolio**: 76% of investable assets (excluding cash), focused on higher coupons. Q1 CPR was 5.8%, stable vs. prior quarter. Net interest margin (NIM) benefited from dollar roll income but may normalize in coming quarters.
- **Hedging Strategy**: Used swaps, TBAs, and treasury futures to hedge $489 million notional. Treasury futures increased as swap spreads tightened.

**【CFO Financial Commentary】**
- **Earnings Metrics**: GAAP net loss of $9.3 million ($0.29 per share), comprehensive loss of $0.08 per share. EAD was $0.17 per share, boosted by a maturing hedge. Future EAD may decline as this hedge is no longer contributing.
- **Dividends**: Q1 common dividend of $0.15 per share, with preferred dividends totaling $0.5125 and $0.6372 per share. Board considers market conditions, portfolio returns, and taxable income when setting dividends.
- **Liquidity**: Ended with $47 million cash and 5.2x leverage. No ATM capital raised in Q1.

**【Q&A Highlights】**
- **Portfolio Allocation**: Reinvested all amortization income into RMBS, no MSR purchases in recent quarters. Cautious on expanding MSR due to uncertain macro environment.
- **GSE Reform**: Market not pricing in potential risks to government guarantees. Reform details unclear, but cautious on privatization impacts.
- **Swap Portfolio**: $250 million payer swaps rolled off in Q1, with $15 million remaining (maturing mid-2026). No other swaps rolling off this year.
- **Mortgage Convexity**: Builder buy-downs and Rocket Cooper impacts minimal. Portfolio focuses on modest pay-ups and traditional refi dynamics.
- **MSR Pricing**: Post-Rocket Cooper deal, no significant changes in MSR supply or pricing. Volumes remain lower than prior year.

Cherry Hill Mortgage Investment (CHMI)-6 May 25-2025 Q1 Earnings call transcript

- **Q4 Financials**: GAAP net income $0.29/share; EAD $0.10/share (excluding one-time costs).\n- **Internalization Benefits**: $1.1M-$1.6M annual cost savings (2025).\n- **Portfolio Resilience**: MSR prepayment speeds stable at 4.7%; RMBS CPR 5.7%.\n- **Rate Outlook**: Fewer 2025 rate cuts expected; higher-for-longer rates strategy.\n- **ROE Guidance**: Blended portfolio ROE ~14%-17%.\n

**【CEO Summary Section】**
- Q4 2024 GAAP net income: $0.29 per diluted share; EAD: $0.10 per share (excluding $0.02 special committee expenses).\n- Internalized management to align interests with shareholders, reducing 2025 operating expenses by $1.1M-$1.6M ($0.03-$0.05 per share).\n- Book value: $3.82/share (down 5% QoQ); NAV: $3.82 (down 2.3% QoQ).\n- Portfolio strategy: Maintain higher-for-longer positioning; deploy capital into Agency RMBS and select MSRs.\n
**【CIO Investment Portfolio】**\n- MSR portfolio: UPB $17.3B, market value $234M (46% of equity capital).\n- RMBS portfolio: $723M (38% of equity capital), reduced from $856M QoQ.\n- MSR prepayment speeds: 4.7% (stable QoQ); RMBS CPR: 5.7% (up 0.3% QoQ).\n- Hedge strategy: Interest rate swaps, TBAs, and treasury futures ($809M notional).\n
**【CFO Financial Commentary】**\n- GAAP net income: $9.1M; comprehensive loss: $1.5M.\n- Operating expenses: $4.5M (includes special committee costs).\n- Dividends: $0.15/common share, $0.5125/Series A preferred, $0.6739/Series B preferred.\n- Liquidity: $46M unrestricted cash; leverage: 5.3x (stable QoQ).\n
**【Q&A Key Takeaways】**\n- **Rate Environment**: Expect fewer 2025 rate cuts; higher-for-longer rates to dominate.\n- **Portfolio Allocation**: Favor RMBS over MSRs due to better risk-adjusted returns.\n- **ROE Estimates**: Blended portfolio ROE ~14%-17%.\n- ** MSR Portfolio Resilience**: Mid-3% note rates provide runway against refi risk.\n- **Spec Pools Strategy**: Focus on $200K-$250K loan balance pools in Florida/Texas.\n

Cherry Hill Mortgage Investment (CHMI)-6 Mar 25-2024 Q4 Earnings call transcript

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