ANNALY CAPITAL MANAGEMENT IN (NLY) Stock Fundamental Analysis
USA - NYSE:NLY - US0357108390 - REIT
21.565 USD
+0.01 (+0.02%)
We assign a fundamental rating of 5 out of 10 to NLY. NLY was compared to 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. NLY has a medium profitability rating, but doesn't score so well on its financial health evaluation. A decent growth rate in combination with a cheap valuation! Better keep an eye on NLY.
1. Profitability
1.1 Basic Checks
NLY had positive earnings in the past year.
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.
NLY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NLY has a Return On Assets of 1.07%. This is amongst the best in the industry. NLY outperforms 83.82% of its industry peers.
NLY has a Return On Equity of 9.00%. This is amongst the best in the industry. NLY outperforms 94.12% of its industry peers.
The Return On Invested Capital of NLY (0.98%) is better than 79.41% 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 has a better Profit Margin (20.91%) than 88.24% of its industry peers.
In the last couple of years the Profit Margin of NLY has declined.
NLY has a better Operating Margin (23.66%) than 85.29% of its industry peers.
NLY's Operating Margin has declined in the last couple of years.
NLY has a Gross Margin (26.66%) which is comparable to the rest of the industry.
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-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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NLY is destroying value.
NLY has more shares outstanding than it did 1 year ago.
The number of shares outstanding for NLY has been increased compared to 5 years ago.
NLY has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.72, we must say that NLY is in the distress zone and 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 75.00% of its industry peers.
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 76.47% of its industry peers.
NLY has a Debt/Equity ratio of 7.18. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of NLY (7.18) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.18 | ||
| Debt/FCF | 53.91 | ||
| Altman-Z | -0.72 |
ROIC/WACC0.19
WACC5.09%
2.3 Liquidity
A Current Ratio of 0.04 indicates that NLY may have some problems paying its short term obligations.
NLY has a Current ratio of 0.04. This is amonst the worse of the industry: NLY underperforms 83.82% of its industry peers.
A Quick Ratio of 0.04 indicates that NLY may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.04, NLY is doing worse than 83.82% of the companies in the same industry.
| 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 9.02% over the past year.
The Earnings Per Share has been decreasing by -7.74% on average over the past years.
The Revenue has grown by 32.20% in the past year. This is a very strong growth!
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
NLY is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.22% yearly.
NLY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.97% yearly.
EPS Next Y8.61%
EPS Next 2Y4.75%
EPS Next 3Y3.22%
EPS Next 5YN/A
Revenue Next Year18.05%
Revenue Next 2Y11.7%
Revenue Next 3Y9.97%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
Based on the Price/Earnings ratio of 7.44, the valuation of NLY can be described as very cheap.
Based on the Price/Earnings ratio, NLY is valued cheaper than 82.35% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.46, NLY is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 7.28, the valuation of NLY can be described as very cheap.
Based on the Price/Forward Earnings ratio, NLY is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 35.39. NLY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.44 | ||
| Fwd PE | 7.28 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NLY is valued 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 | 6.97 | ||
| EV/EBITDA | 26.74 |
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.
NLY has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.86
PEG (5Y)N/A
EPS Next 2Y4.75%
EPS Next 3Y3.22%
5. Dividend
5.1 Amount
NLY has a Yearly Dividend Yield of 12.86%, which is a nice return.
Compared to an average industry Dividend Yield of 11.99, 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 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.86% |
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
NLY pays out 131.25% of its income as dividend. This is not a sustainable payout ratio.
DP131.25%
EPS Next 2Y4.75%
EPS Next 3Y3.22%
NYSE:NLY (11/19/2025, 2:58:20 PM)
21.565
+0.01 (+0.02%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners60.55%
Inst Owner Change13.89%
Ins Owners0.1%
Ins Owner Change-5.87%
Market Cap13.85B
Revenue(TTM)6.42B
Net Income(TTM)1.34B
Analysts76.47
Price Target22.21 (2.99%)
Short Float %1.74%
Short Ratio1.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.86% |
Yearly Dividend2.77
Dividend Growth(5Y)-10.87%
DP131.25%
Div Incr Years0
Div Non Decr Years1
Ex-Date
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)3.54%
PT rev (3m)4.05%
EPS NQ rev (1m)-1.43%
EPS NQ rev (3m)0.21%
EPS NY rev (1m)0.37%
EPS NY rev (3m)0.88%
Revenue NQ rev (1m)5.92%
Revenue NQ rev (3m)7.45%
Revenue NY rev (1m)1.72%
Revenue NY rev (3m)4.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.44 | ||
| Fwd PE | 7.28 | ||
| P/S | 2.16 | ||
| P/FCF | 6.97 | ||
| P/OCF | 4.85 | ||
| P/B | 0.93 | ||
| P/tB | 0.93 | ||
| EV/EBITDA | 26.74 |
EPS(TTM)2.9
EY13.45%
EPS(NY)2.96
Fwd EY13.74%
FCF(TTM)3.09
FCFY14.34%
OCF(TTM)4.45
OCFY20.63%
SpS9.99
BVpS23.22
TBVpS23.21
PEG (NY)0.86
PEG (5Y)N/A
Graham Number38.93
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 | -0.72 |
F-Score6
WACC5.09%
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 Y8.61%
EPS Next 2Y4.75%
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 Year18.05%
Revenue Next 2Y11.7%
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 for 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.
Can you provide the PE and PB ratios for NLY stock?
The Price/Earnings (PE) ratio for ANNALY CAPITAL MANAGEMENT IN (NLY) is 7.44 and the Price/Book (PB) ratio is 0.93.
What is the earnings growth outlook for ANNALY CAPITAL MANAGEMENT IN?
The Earnings per Share (EPS) of ANNALY CAPITAL MANAGEMENT IN (NLY) is expected to grow by 8.61% in the next year.