FARMINGDALE, N.J. - Cherry Hill Mortgage (NYSE:CHMI) Investment Corporation (NYSE:CHMI) announced today that it has formed a special committee to explore strategic alternatives aimed at enhancing stockholder value. The independent committee will review a range of options, including a possible business combination, asset sale, or management internalization.
The committee, composed of independent directors, will work with Guggenheim Securities, LLC as its financial advisor during this process. The exploration of strategic alternatives is not guaranteed to result in any transaction, and no specific timeline has been set for the committee’s review. The company stated it would not provide updates until the strategic review is complete or a disclosure is deemed necessary or legally mandated.
Cherry Hill Mortgage Investment Corporation is a real estate finance company that acquires and manages residential mortgage assets in the United States.
This announcement includes forward-looking statements, which are based on current assumptions and subject to risks and uncertainties that could cause actual results to differ materially from those anticipated. The company does not commit to updating any forward-looking statements.
The information in this article is based on a press release statement.
InvestingPro Insights
As Cherry Hill Mortgage Investment Corporation (NYSE:CHMI) evaluates its strategic options, investors may find the latest data and insights from InvestingPro valuable for understanding the company's current financial health and future prospects.
InvestingPro Data shows a market capitalization of $99.07 million for CHMI, indicating the size of the company in the financial markets. Despite a challenging period reflected by a negative P/E ratio of -1.96 and an adjusted P/E ratio for the last twelve months as of Q4 2023 of -2.22, analysts have a positive outlook. The company's revenue growth on a quarterly basis for Q1 2023 was a modest 0.34%, signaling potential stabilization.
Among the InvestingPro Tips, two particularly relevant to the current situation include the expectation of net income growth this year and the prediction that CHMI will be profitable within the same timeframe. These projections could be crucial for investors assessing the company's potential turnaround and future earnings capacity.
Moreover, CHMI has maintained dividend payments for 12 consecutive years, with a substantial dividend yield of 18.18% as of the latest data, which may appeal to income-focused investors.
For those interested in a deeper analysis, InvestingPro offers more tips that might further inform investment decisions. There are additional InvestingPro Tips available for CHMI, which can be accessed through the platform. To enhance your research experience, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
As CHMI explores various strategic alternatives, these financial metrics and expert analyses could prove invaluable for shareholders and potential investors looking to gauge the company's trajectory in the uncertain times ahead.
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