ANNALY CAPITAL MANAGEMENT IN (NLY) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:NLY • US0357108390
22.83 USD
+0.29 (+1.29%)
At close: Feb 3, 2026
22.86 USD
+0.03 (+0.13%)
After Hours: 2/3/2026, 6:47:13 PM
Taking everything into account, NLY scores 5 out of 10 in our fundamental rating. NLY was compared to 70 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. There are concerns on the financial health of NLY while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on NLY.
1. Profitability
1.1 Basic Checks
- In the past year NLY was profitable.
- NLY had a positive operating cash flow in the past year.
- NLY had positive earnings in 4 of the past 5 years.
- Of the past 5 years NLY 4 years had a positive operating cash flow.
1.2 Ratios
- NLY has a better Return On Assets (1.07%) than 84.29% 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 94.29% of the companies in the same industry.
- NLY has a Return On Invested Capital of 0.98%. This is amongst the best in the industry. NLY outperforms 81.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.07% | ||
| ROE | 9% | ||
| ROIC | 0.98% |
ROA(3y)0.09%
ROA(5y)1.05%
ROE(3y)0.83%
ROE(5y)6.83%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- NLY has a Profit Margin of 20.91%. This is amongst the best in the industry. NLY outperforms 88.57% of its industry peers.
- In the last couple of years the Profit Margin of NLY has declined.
- NLY's Operating Margin of 23.66% is amongst the best of the industry. NLY outperforms 85.71% of its industry peers.
- In the last couple of years the Operating Margin of NLY has declined.
- NLY has a Gross Margin of 26.66%. This is comparable to the rest of the industry: NLY outperforms 48.57% of its industry peers.
- In the last couple of years the Gross Margin of NLY has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.66% | ||
| PM (TTM) | 20.91% | ||
| GM | 26.66% |
OM growth 3Y-19.76%
OM growth 5YN/A
PM growth 3Y-19.07%
PM growth 5YN/A
GM growth 3Y-19.28%
GM growth 5YN/A
2. Health
2.1 Basic Checks
- NLY has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for NLY has been increased compared to 1 year ago.
- The number of shares outstanding for NLY has been increased compared to 5 years ago.
- The debt/assets ratio for NLY has been reduced compared to a year ago.
2.2 Solvency
- NLY has an Altman-Z score of -0.72. This is a bad value and indicates that NLY is not financially healthy and even has some risk of bankruptcy.
- NLY has a Altman-Z score of -0.72. This is in the lower half of the industry: NLY underperforms 75.71% of its industry peers.
- NLY has a debt to FCF ratio of 53.91. This is a negative value and a sign of low solvency as NLY would need 53.91 years to pay back of all of its debts.
- NLY has a better Debt to FCF ratio (53.91) than 78.57% 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 in line with its industry, outperforming 41.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.18 | ||
| Debt/FCF | 53.91 | ||
| Altman-Z | -0.72 |
ROIC/WACC0.19
WACC5.14%
2.3 Liquidity
- A Current Ratio of 0.04 indicates that NLY may have some problems paying its short term obligations.
- With a Current ratio value of 0.04, NLY is not doing good in the industry: 85.71% of the companies in the same industry are doing better.
- A Quick Ratio of 0.04 indicates that NLY may have some problems paying its short term obligations.
- The Quick ratio of NLY (0.04) is worse than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 8.15% over the past year.
- The Earnings Per Share has been decreasing by -7.87% on average over the past years.
- NLY shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.06%.
- The Revenue has been growing by 82.65% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)8.15%
EPS 3Y-11.9%
EPS 5Y-7.87%
EPS Q2Q%2.78%
Revenue 1Y (TTM)22.06%
Revenue growth 3Y29.74%
Revenue growth 5Y82.65%
Sales Q2Q%-72.62%
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 1.49% on average per year.
- NLY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.41% yearly.
EPS Next Y3.02%
EPS Next 2Y1.49%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year7.22%
Revenue Next 2Y8.41%
Revenue Next 3YN/A
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 7.82, which indicates a rather cheap valuation of NLY.
- NLY's Price/Earnings ratio is rather cheap when compared to the industry. NLY is cheaper than 81.43% of the companies in the same industry.
- When comparing the Price/Earnings ratio of NLY to the average of the S&P500 Index (28.18), we can say NLY is valued rather cheaply.
- With a Price/Forward Earnings ratio of 7.59, the valuation of NLY can be described as very cheap.
- NLY's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. NLY is cheaper than 77.14% of the companies in the same industry.
- NLY is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.51, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.82 | ||
| Fwd PE | 7.59 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NLY indicates a rather cheap valuation: NLY is cheaper than 94.29% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, NLY is valued cheaply inside the industry as 87.14% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.85 | ||
| EV/EBITDA | 27.74 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The decent profitability rating of NLY may justify a higher PE ratio.
PEG (NY)2.59
PEG (5Y)N/A
EPS Next 2Y1.49%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 12.17%, NLY is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 11.38, NLY pays a bit more dividend than its industry peers.
- NLY's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.17% |
5.2 History
- The dividend of NLY decreases each year by -10.87%.
- NLY has paid a dividend for at least 10 years, which is a reliable track record.
- NLY has decreased its dividend recently.
Dividend Growth(5Y)-10.87%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
- 131.25% of the earnings are spent on dividend by NLY. This is not a sustainable payout ratio.
DP131.25%
EPS Next 2Y1.49%
EPS Next 3YN/A
22.83
+0.29 (+1.29%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)01-28 2026-01-28/amc
Earnings (Next)04-28 2026-04-28/amc
Inst Owners61.11%
Inst Owner Change-1.17%
Ins Owners0.08%
Ins Owner Change-3.34%
Market Cap15.59B
Revenue(TTM)7.13B
Net Income(TTM)1.34B
Analysts76.47
Price Target23.25 (1.84%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.17% |
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)8.76%
Min Revenue beat(2)7.74%
Max Revenue beat(2)9.78%
Revenue beat(4)4
Avg Revenue beat(4)5.69%
Min Revenue beat(4)0.08%
Max Revenue beat(4)9.78%
Revenue beat(8)7
Avg Revenue beat(8)5.14%
Revenue beat(12)9
Avg Revenue beat(12)-6.16%
Revenue beat(16)12
Avg Revenue beat(16)23.84%
PT rev (1m)2.8%
PT rev (3m)4.7%
EPS NQ rev (1m)0.47%
EPS NQ rev (3m)0.58%
EPS NY rev (1m)0.09%
EPS NY rev (3m)0.43%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)2.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.82 | ||
| Fwd PE | 7.59 | ||
| P/S | 2.43 | ||
| P/FCF | 7.85 | ||
| P/OCF | 5.46 | ||
| P/B | 1.05 | ||
| P/tB | 1.05 | ||
| EV/EBITDA | 27.74 |
EPS(TTM)2.92
EY12.79%
EPS(NY)3.01
Fwd EY13.18%
FCF(TTM)2.91
FCFY12.73%
OCF(TTM)4.18
OCFY18.32%
SpS9.4
BVpS21.83
TBVpS21.82
PEG (NY)2.59
PEG (5Y)N/A
Graham Number37.87
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)0.09%
ROA(5y)1.05%
ROE(3y)0.83%
ROE(5y)6.83%
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-12.29%
ROICexgc growth 5YN/A
ROICexc growth 3Y-12.2%
ROICexc growth 5YN/A
OM growth 3Y-19.76%
OM growth 5YN/A
PM growth 3Y-19.07%
PM growth 5YN/A
GM growth 3Y-19.28%
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 | -0.72 |
F-Score6
WACC5.14%
ROIC/WACC0.19
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.15%
EPS 3Y-11.9%
EPS 5Y-7.87%
EPS Q2Q%2.78%
EPS Next Y3.02%
EPS Next 2Y1.49%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)22.06%
Revenue growth 3Y29.74%
Revenue growth 5Y82.65%
Sales Q2Q%-72.62%
Revenue Next Year7.22%
Revenue Next 2Y8.41%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y885.5%
EBIT growth 3Y4.11%
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y995.88%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y224.52%
OCF growth 3YN/A
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 7.82 and the Price/Book (PB) ratio is 1.05.
What is the financial health of ANNALY CAPITAL MANAGEMENT IN (NLY) stock?
The financial health rating of ANNALY CAPITAL MANAGEMENT IN (NLY) is 2 / 10.