ANNALY CAPITAL MANAGEMENT IN (NLY) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NLY - US0357108390 - REIT
23.595 USD
+0.27 (+1.14%)
Taking everything into account, NLY scores 5 out of 10 in our fundamental rating. NLY was compared to 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. While NLY is still in line with the averages on profitability rating, there are concerns on its financial health. NLY is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
- In the past year NLY was profitable.
- NLY had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: NLY reported negative net income in multiple years.
- In the past 5 years NLY always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of NLY (1.07%) is better than 83.82% of its industry peers.
- Looking at the Return On Equity, with a value of 9.00%, NLY belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
- NLY has a better Return On Invested Capital (0.98%) than 80.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.07% | ||
| ROE | 9% | ||
| ROIC | 0.98% |
ROA(3y)0.29%
ROA(5y)0.54%
ROE(3y)1.73%
ROE(5y)3.03%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- NLY's Profit Margin of 20.91% is amongst the best of the industry. NLY outperforms 88.24% of its industry peers.
- NLY's Profit Margin has declined in the last couple of years.
- NLY's Operating Margin of 23.66% is amongst the best of the industry. NLY outperforms 85.29% of its industry peers.
- In the last couple of years the Operating Margin of NLY has declined.
- With a Gross Margin value of 26.66%, NLY perfoms like the industry average, outperforming 48.53% of the companies in the same industry.
- NLY's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.66% | ||
| PM (TTM) | 20.91% | ||
| GM | 26.66% |
OM growth 3Y-42.02%
OM growth 5YN/A
PM growth 3Y-42.61%
PM growth 5YN/A
GM growth 3Y-39.27%
GM growth 5YN/A
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NLY is destroying value.
- The number of shares outstanding for NLY has been increased compared to 1 year ago.
- Compared to 5 years ago, NLY has more shares outstanding
- Compared to 1 year ago, NLY has a worse debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of -0.71, we must say that NLY is in the distress zone and has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of -0.71, NLY is doing worse than 75.00% of the companies in the same industry.
- The Debt to FCF ratio of NLY is 53.91, which is on the high side as it means it would take NLY, 53.91 years of fcf income to pay off all of its debts.
- NLY's Debt to FCF ratio of 53.91 is fine compared to the rest of the industry. NLY outperforms 77.94% of its industry peers.
- A Debt/Equity ratio of 7.18 is on the high side and indicates that NLY has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 7.18, NLY is doing worse than 60.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.18 | ||
| Debt/FCF | 53.91 | ||
| Altman-Z | -0.71 |
ROIC/WACC0.19
WACC5.15%
2.3 Liquidity
- NLY has a Current Ratio of 0.04. This is a bad value and indicates that NLY is not financially healthy enough and could expect problems in meeting its short term obligations.
- NLY has a Current ratio of 0.04. This is amonst the worse of the industry: NLY underperforms 85.29% of its industry peers.
- NLY has a Quick Ratio of 0.04. This is a bad value and indicates that NLY is not financially healthy enough and could expect problems in meeting its short term obligations.
- NLY's Quick ratio of 0.04 is on the low side compared to the rest of the industry. NLY is outperformed by 85.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 |
3. Growth
3.1 Past
- NLY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.02%, which is quite good.
- NLY shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.74% yearly.
- NLY shows a strong growth in Revenue. In the last year, the Revenue has grown by 32.20%.
- NLY shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 45.38% yearly.
EPS 1Y (TTM)9.02%
EPS 3Y-16.27%
EPS 5Y-7.74%
EPS Q2Q%10.61%
Revenue 1Y (TTM)32.2%
Revenue growth 3Y25.23%
Revenue growth 5Y45.38%
Sales Q2Q%75.53%
3.2 Future
- Based on estimates for the next years, NLY will show a small growth in Earnings Per Share. The EPS will grow by 3.22% on average per year.
- Based on estimates for the next years, NLY will show a quite strong growth in Revenue. The Revenue will grow by 9.97% on average per year.
EPS Next Y8.73%
EPS Next 2Y5.66%
EPS Next 3Y3.22%
EPS Next 5YN/A
Revenue Next Year18.88%
Revenue Next 2Y13.32%
Revenue Next 3Y9.97%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 8.14, the valuation of NLY can be described as very reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of NLY indicates a rather cheap valuation: NLY is cheaper than 82.35% of the companies listed in the same industry.
- NLY is valuated cheaply when we compare the Price/Earnings ratio to 27.33, which is the current average of the S&P500 Index.
- NLY is valuated cheaply with a Price/Forward Earnings ratio of 7.83.
- Based on the Price/Forward Earnings ratio, NLY is valued a bit cheaper than 73.53% of the companies in the same industry.
- NLY's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.14 | ||
| Fwd PE | 7.83 |
4.2 Price Multiples
- NLY's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NLY is cheaper than 94.12% of the companies in the same industry.
- 86.76% of the companies in the same industry are more expensive than NLY, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.12 | ||
| EV/EBITDA | 28.09 |
4.3 Compensation for Growth
- NLY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of NLY may justify a higher PE ratio.
PEG (NY)0.93
PEG (5Y)N/A
EPS Next 2Y5.66%
EPS Next 3Y3.22%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 12.04%, NLY is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 10.90, NLY has a dividend in line with its industry peers.
- NLY's Dividend Yield is rather good when compared to the S&P500 average which is at 1.91.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.04% |
5.2 History
- The dividend of NLY decreases each year by -10.87%.
- NLY has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of NLY decreased recently.
Dividend Growth(5Y)-10.87%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
- NLY pays out 131.25% of its income as dividend. This is not a sustainable payout ratio.
DP131.25%
EPS Next 2Y5.66%
EPS Next 3Y3.22%
NYSE:NLY (1/15/2026, 10:15:56 AM)
23.595
+0.27 (+1.14%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)10-22 2025-10-22/amc
Earnings (Next)01-28 2026-01-28/amc
Inst Owners61.11%
Inst Owner Change0.14%
Ins Owners0.08%
Ins Owner Change-3.34%
Market Cap16.12B
Revenue(TTM)6.42B
Net Income(TTM)1.34B
Analysts76.47
Price Target22.62 (-4.13%)
Short Float %1.92%
Short Ratio1.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.04% |
Yearly Dividend2.77
Dividend Growth(5Y)-10.87%
DP131.25%
Div Incr Years0
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.48%
Min EPS beat(2)0.2%
Max EPS beat(2)0.77%
EPS beat(4)4
Avg EPS beat(4)2.47%
Min EPS beat(4)0.2%
Max EPS beat(4)6.77%
EPS beat(8)6
Avg EPS beat(8)1.72%
EPS beat(12)7
Avg EPS beat(12)0.77%
EPS beat(16)11
Avg EPS beat(16)3.53%
Revenue beat(2)2
Avg Revenue beat(2)31.15%
Min Revenue beat(2)7.74%
Max Revenue beat(2)54.57%
Revenue beat(4)4
Avg Revenue beat(4)16.89%
Min Revenue beat(4)0.08%
Max Revenue beat(4)54.57%
Revenue beat(8)7
Avg Revenue beat(8)10.73%
Revenue beat(12)9
Avg Revenue beat(12)-2.42%
Revenue beat(16)12
Avg Revenue beat(16)26.64%
PT rev (1m)0.34%
PT rev (3m)5.46%
EPS NQ rev (1m)0.4%
EPS NQ rev (3m)-0.4%
EPS NY rev (1m)0.2%
EPS NY rev (3m)0.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.92%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.14 | ||
| Fwd PE | 7.83 | ||
| P/S | 2.51 | ||
| P/FCF | 8.12 | ||
| P/OCF | 5.64 | ||
| P/B | 1.08 | ||
| P/tB | 1.08 | ||
| EV/EBITDA | 28.09 |
EPS(TTM)2.9
EY12.29%
EPS(NY)3.01
Fwd EY12.77%
FCF(TTM)2.91
FCFY12.32%
OCF(TTM)4.18
OCFY17.73%
SpS9.4
BVpS21.83
TBVpS21.82
PEG (NY)0.93
PEG (5Y)N/A
Graham Number37.74
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.07% | ||
| ROE | 9% | ||
| ROCE | 3.36% | ||
| ROIC | 0.98% | ||
| ROICexc | 1% | ||
| ROICexgc | 1% | ||
| OM | 23.66% | ||
| PM (TTM) | 20.91% | ||
| GM | 26.66% | ||
| FCFM | 30.94% |
ROA(3y)0.29%
ROA(5y)0.54%
ROE(3y)1.73%
ROE(5y)3.03%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-34.31%
ROICexgc growth 5YN/A
ROICexc growth 3Y-34.32%
ROICexc growth 5YN/A
OM growth 3Y-42.02%
OM growth 5YN/A
PM growth 3Y-42.61%
PM growth 5YN/A
GM growth 3Y-39.27%
GM growth 5YN/A
F-Score6
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.18 | ||
| Debt/FCF | 53.91 | ||
| Debt/EBITDA | 68.98 | ||
| Cap/Depr | 2620.45% | ||
| Cap/Sales | 13.58% | ||
| Interest Coverage | 0.44 | ||
| Cash Conversion | 184.16% | ||
| Profit Quality | 147.99% | ||
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 | ||
| Altman-Z | -0.71 |
F-Score6
WACC5.15%
ROIC/WACC0.19
Cap/Depr(3y)3082.57%
Cap/Depr(5y)2232.96%
Cap/Sales(3y)20.64%
Cap/Sales(5y)15.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.02%
EPS 3Y-16.27%
EPS 5Y-7.74%
EPS Q2Q%10.61%
EPS Next Y8.73%
EPS Next 2Y5.66%
EPS Next 3Y3.22%
EPS Next 5YN/A
Revenue 1Y (TTM)32.2%
Revenue growth 3Y25.23%
Revenue growth 5Y45.38%
Sales Q2Q%75.53%
Revenue Next Year18.88%
Revenue Next 2Y13.32%
Revenue Next 3Y9.97%
Revenue Next 5YN/A
EBIT growth 1Y885.5%
EBIT growth 3Y-27.4%
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y20.4%
FCF growth 3Y-2.02%
FCF growth 5YN/A
OCF growth 1Y30.46%
OCF growth 3Y2.47%
OCF growth 5YN/A
ANNALY CAPITAL MANAGEMENT IN / NLY FAQ
What is the ChartMill fundamental rating of ANNALY CAPITAL MANAGEMENT IN (NLY) stock?
ChartMill assigns a fundamental rating of 5 / 10 to NLY.
What is the valuation status of ANNALY CAPITAL MANAGEMENT IN (NLY) stock?
ChartMill assigns a valuation rating of 8 / 10 to ANNALY CAPITAL MANAGEMENT IN (NLY). This can be considered as Undervalued.
Can you provide the profitability details for ANNALY CAPITAL MANAGEMENT IN?
ANNALY CAPITAL MANAGEMENT IN (NLY) has a profitability rating of 6 / 10.
What is the valuation of ANNALY CAPITAL MANAGEMENT IN based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ANNALY CAPITAL MANAGEMENT IN (NLY) is 8.14 and the Price/Book (PB) ratio is 1.08.
What is the financial health of ANNALY CAPITAL MANAGEMENT IN (NLY) stock?
The financial health rating of ANNALY CAPITAL MANAGEMENT IN (NLY) is 1 / 10.