Recent news highlights variability in Cherry Hill Mortgage's quarterly earnings and revenues, with Q3 2026 results lagging prior expectations and Q2 2026 results exceeding prior expectations. The company is noted among REITs with dividends above 3%.

• Cherry Hill Mortgage reported Q3 2026 earnings and revenues that lagged prior expectations, indicating challenges in recent performance [N1].
• The company was featured among 5 REITs with dividends above 3%, highlighting its dividend yield profile [N2].
• Cherry Hill Mortgage's Q2 2026 earnings and revenues exceeded prior expectations, reflecting a period of stronger performance [N3].
• The company held a Q1 2026 earnings call with highlights discussed publicly [N6][N7].

Cherry Hill Mortgage Investment Corporation's integrated approach to managing RMBS and Servicing Related Assets allows it to capitalize on opportunities in the residential mortgage market. Its internal management structure may enhance operational control and efficiency. The company's use of leverage and hedging instruments can provide risk-adjusted returns in varying interest rate environments. The pending merger with MITT could create scale and operational synergies. Dividend distributions aligned with REIT taxable income provide a potential income stream for investors. Recent periods have shown variability in earnings and revenues, reflecting sensitivity to market conditions.

The company faces risks from adverse conditions in the residential mortgage and real estate markets, including credit losses, defaults, and liquidity constraints. Dependence on third-party mortgage servicers introduces operational risks if servicing performance deteriorates. The pending merger with MITT carries execution risks, including potential delays, termination fees, and integration challenges. Earnings and revenues have shown variability, with recent quarters lagging prior expectations. The company's ability to sustain dividend distributions depends on generating sufficient taxable income. Market competition and regulatory changes could impact asset acquisition and financing strategies.

Cherry Hill Mortgage Investment Corporation's moat derives from its specialized focus on residential mortgage assets and its integrated management of RMBS and Servicing Related Assets. Its internal management structure and expertise in acquiring and managing mortgage servicing rights and RMBS provide operational efficiencies. The company's use of hedging strategies to mitigate interest rate and prepayment risks adds to its risk management capabilities. Additionally, its status as a REIT with tax advantages and its established relationships with mortgage servicers and financing counterparties contribute to competitive positioning. However, the company operates in a competitive environment with other mortgage REITs and financial institutions, and its moat is subject to market and regulatory risks.

• Market and Credit Risk: Adverse developments in the residential mortgage and real estate markets, including defaults and credit losses, may negatively impact asset values and the company's financial condition.
• Servicer Dependence: The company relies on third-party mortgage servicers to perform servicing obligations; failure or termination of servicers could materially affect operations.
• Merger Execution Risk: The pending merger with MITT involves conditions that may not be satisfied, with risks of delays, termination fees, and integration challenges that could adversely affect the company.
• Financing and Leverage Risk: Use of repurchase agreements and revolving credit facilities introduces financing risk; changes in market conditions could affect availability and cost of financing.
• Regulatory and Tax Risk: Maintaining REIT status requires compliance with distribution and asset tests; failure to comply could result in tax liabilities and affect distributions.

• Cherry Hill Mortgage Investment Corporation is a fully integrated, internally managed residential real estate finance company focused on acquiring, investing in, and managing residential mortgage assets in the United States.
• The company was incorporated in Maryland on October 31, 2012, and commenced operations on October 9, 2013, following its IPO.
• Cherry Hill Mortgage Investment Corporation operates as a REIT and distributes substantially all of its REIT taxable income to stockholders to maintain REIT tax status.
• The company operates through two main segments: investments in residential mortgage-backed securities (RMBS) and investments in Servicing Related Assets (including mortgage servicing rights (MSRs) and Excess MSRs).
• The company internally manages its operations since November 14, 2024, after completing an internalization event, ceasing external management.
• The RMBS portfolio primarily consists of Agency RMBS, including pass-through certificates, CMOs, and TBAs, with occasional investments in private label non-Agency RMBS and GSE risk-sharing securities.
• The Servicing Related Asset strategy focuses on acquiring MSRs from servicers on bulk or flow purchase basis, holding MSRs through its mortgage servicing subsidiary Aurora, and creating Excess MSRs transferred to qualified REIT subsidiaries.
• The company uses leverage prudently, financing RMBS primarily through repurchase agreements collateralized by RMBS, and MSRs through revolving credit facilities secured by MSRs.
• The company employs hedging strategies using derivatives such as interest rate swaps, TBAs, futures, and options to mitigate interest rate, prepayment, and financing risks.
• Cherry Hill Mortgage Investment Corporation faces risks related to residential mortgage and real estate market conditions, including credit losses, defaults, and liquidity concerns.
• The company depends on third-party mortgage servicers to service loans underlying its Servicing Related Assets, exposing it to operational risks if servicers fail to perform.
• As of September 30, 2026, the company reported cash and cash equivalents of $41.16 million and a basic and diluted EPS of -$0.11 for Q3 2026.
• The company’s net income figure available is from fiscal year 2017, amounting to $18.72 million, with no recent net income disclosed.
• Cherry Hill Mortgage Investment Corporation’s common stock and preferred stocks are listed on the NYSE under symbols CHMI, CHMI-PRA, and CHMI-PRB.
• The company is subject to a pending merger with MITT, with fixed exchange ratios and associated risks including potential delays, termination fees, and integration challenges.
• Recent news reports indicate quarterly earnings and revenues have varied, with Q3 2026 earnings and revenues lagging prior expectations and Q2 2026 earnings and revenues exceeding prior expectations.
• The company’s dividend distributions on common stock are capped at $0.10 per share during the pendency of the merger.
• The company’s board of directors has authority to issue additional equity or debt securities without stockholder approval.
• The company’s senior management team includes Jeffrey Lown II (CEO), Julian Evans (CIO), and Apeksha Patel (CFO).