Why Annaly Capital Management (NLY) is a Top Value Stock for the Long-Term
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
Annaly Capital Management, Inc. is a mortgage real estate investment trust (mREIT) that primarily owns, manages and finances a portfolio of real-estate-related investment securities. Its investment portfolio includes mortgage pass-through certificates, collateralized mortgage obligations (CMOs), credit risk transfer (CRT). The company's investment may also comprise, other securities indicating interests in or obligations backed by pools of mortgage loans, residential mortgage loans, MSR and corporate debt.
NLY is a Zacks Rank #3 (Hold) stock, with a Value Style Score of B and VGM Score of B. Shares are currently trading at a forward P/E of 6.6X for the current fiscal year compared to the REIT and Equity Trust industry's P/E of 8.2X. Additionally, NLY has a PEG Ratio of 4.2 and a Price/Cash Flow ratio of 6.2X. Value investors should also note NLY's Price/Sales ratio of 2.2X.
Value investors don't just pay attention to a company's valuation ratios; positive earnings play a crucial role, too. Three analysts revised their earnings estimate upwards in the last 60 days for fiscal 2025. The Zacks Consensus Estimate has increased $0.06 to $2.87 per share. NLY has an average earnings surprise of 2.6%.
With strong valuation and earnings metrics, a good Zacks Rank, and top-tier Value and VGM Style Scores, investors should strongly think about adding NLY to their portfolios.
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Annaly Capital Management Inc (NLY) : Free Stock Analysis Report
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