Annaly Capital Management (NYSE:NLY) Posts Quarterly Earnings Results, Beats Estimates By $0.04 EPS

Annaly Capital Management (NYSE:NLY) released its quarterly earnings data on Tuesday. The real estate investment trust reported $0.79 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.75 by $0.04, FiscalAI reports. The company had revenue of $892.86 million for the quarter, compared to analyst estimates of $639.80 million. Annaly Capital Management had a return on equity of 15.92% and a net margin of 34.33%.

Annaly Capital Management Trading Down 0.2%

NLY stock opened at $22.65 on Wednesday. The company’s 50 day moving average is $22.14 and its 200 day moving average is $22.46. The stock has a market cap of $16.60 billion, a price-to-earnings ratio of 7.65, a price-to-earnings-growth ratio of 6.83 and a beta of 1.16. Annaly Capital Management has a 1-year low of $19.92 and a 1-year high of $24.52.

Annaly Capital Management Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, July 31st. Investors of record on Tuesday, June 30th will be given a $0.75 dividend. This represents a $3.00 annualized dividend and a dividend yield of 13.2%. This is a positive change from Annaly Capital Management’s previous quarterly dividend of $0.70. The ex-dividend date is Tuesday, June 30th. Annaly Capital Management’s dividend payout ratio (DPR) is currently 101.35%.

Trending Headlines about Annaly Capital Management

Here are the key news stories impacting Annaly Capital Management this week:

• Positive Sentiment: Q2 earnings beat expectations. Annaly reported $0.79 EPS versus the $0.75 consensus estimate, signaling better-than-expected profitability. Article Title
• Positive Sentiment: Revenue came in well above forecasts. Quarterly revenue was $892.86 million, far ahead of the $639.80 million estimate, reinforcing that the quarter was stronger than analysts had modeled. Article Title
• Positive Sentiment: Economic return improved. Coverage around the release highlighted improving economic return, which can support investor confidence in Annaly’s dividend-oriented mortgage REIT model. Article Title
• Neutral Sentiment: Higher net interest income and servicing income helped, but risks remain. Analysts had expected Annaly to benefit from stronger NII and servicing income, though mortgage market volatility could still pressure book value going forward. Article Title
• Neutral Sentiment: The stock is also being discussed as a high-yield income name. Recent articles compared Annaly with other mortgage REITs, keeping it in focus for income investors, but without a major new catalyst beyond earnings. Article Title
• Negative Sentiment: Mortgage market volatility could limit upside. While the earnings beat is positive, uncertainty around book value and rate-sensitive portfolio performance may cap near-term enthusiasm. Article Title

Analyst Ratings Changes

A number of research analysts have weighed in on NLY shares. Royal Bank Of Canada reaffirmed an “outperform” rating and set a $25.00 target price on shares of Annaly Capital Management in a report on Wednesday, June 3rd. Weiss Ratings reissued a “hold (c)” rating on shares of Annaly Capital Management in a report on Friday, July 10th. BTIG Research set a $24.00 target price on shares of Annaly Capital Management in a report on Wednesday, June 17th. Piper Sandler increased their target price on shares of Annaly Capital Management from $24.50 to $25.00 and gave the stock an “overweight” rating in a research note on Thursday, July 2nd. Finally, Wall Street Zen raised shares of Annaly Capital Management from a “sell” rating to a “hold” rating in a report on Saturday, May 2nd. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, Annaly Capital Management has a consensus rating of “Moderate Buy” and an average price target of $24.67.

Hedge Funds Weigh In On Annaly Capital Management

Hedge funds and other institutional investors have recently bought and sold shares of the stock. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Annaly Capital Management by 394.1% during the 3rd quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 5,374,696 shares of the real estate investment trust’s stock valued at $108,623,000 after buying an additional 4,286,893 shares in the last quarter. Goldman Sachs Group Inc. increased its stake in Annaly Capital Management by 833.6% in the first quarter. Goldman Sachs Group Inc. now owns 2,920,617 shares of the real estate investment trust’s stock valued at $59,318,000 after acquiring an additional 2,607,784 shares during the last quarter. State Street Corp increased its stake in Annaly Capital Management by 8.4% in the fourth quarter. State Street Corp now owns 26,425,278 shares of the real estate investment trust’s stock valued at $608,994,000 after acquiring an additional 2,053,451 shares during the last quarter. Marshall Wace LLP purchased a new stake in Annaly Capital Management during the third quarter valued at about $40,234,000. Finally, Morgan Stanley raised its position in Annaly Capital Management by 33.5% during the fourth quarter. Morgan Stanley now owns 6,977,329 shares of the real estate investment trust’s stock valued at $156,013,000 after purchasing an additional 1,751,509 shares in the last quarter. Hedge funds and other institutional investors own 51.56% of the company’s stock.

Annaly Capital Management Company Profile

Annaly Capital Management, Inc is a publicly traded real estate investment trust (REIT) that specializes in generating income through investment in mortgage-related assets. The company’s core business activities include the acquisition, financing, and management of a diversified portfolio of agency and non-agency residential mortgage-backed securities (RMBS), commercial mortgage-backed securities (CMBS), and other real estate debt instruments. Annaly seeks to profit from the spread between the interest earned on its mortgage investments and its cost of funds, as well as from capital gains realized through active portfolio management.

Founded in 1997 and headquartered in New York City, Annaly has grown to become one of the largest mortgage REITs in the United States.