Annaly Capital Management, Inc. Receives Average Recommendation of "Moderate Buy" from Analysts

As of December 30, 2024, Annaly Capital Management, Inc. (NYSE:NLY) has received an average recommendation of "Moderate Buy" from the nine analysts currently tracking the company, according to recent reports. One analyst has rated the stock as a hold, while eight analysts have recommended buying the stock. The average price target over the next year among analysts who have provided updates is set at $21.50.

Annaly Capital Management has recently been featured in various analyst reports. For instance, Wells Fargo upgraded its rating from "equal weight" to "overweight" and adjusted their price target from $19.00 to $23.00 on September 20, 2024. Meanwhile, JPMorgan Chase reduced its target for NLY from $21.00 to $20.00 but maintained an "overweight" rating in a report on December 9, 2024. Argus also upgraded Annaly from a "hold" to a "buy" rating, setting a price target of $21.00 on October 31, 2024.

Changes in Institutional Investor Holdings

Recently, several institutional investors and hedge funds have adjusted their positions in Annaly Capital Management. Avior Wealth Management LLC increased its stake by an impressive 209.9% during the third quarter, now owning 1,255 shares valued at $25,000 after acquiring an additional 850 shares. UMB Bank n.a. also raised its holdings by 70.2%, owning 1,568 shares worth $31,000 after adding 647 additional shares. Quarry LP took a new position in the second quarter worth $36,000, while Toth Financial Advisory Corp boosted its stake by 31.8%, now holding 2,390 shares valued at $48,000. McIlrath & Eck LLC also purchased a new stake during the third quarter valued at approximately $63,000. Currently, about 51.56% of the shares are held by institutional investors.

Stock Performance Overview

On Monday, the stock price of Annaly Capital Management opened at $18.94. The stock has demonstrated a 50-day simple moving average of $19.51 and a 200-day average of $19.81. It recorded a 12-month low of $17.67 and a high of $21.11 during the same period. The market capitalization stands at approximately $10.62 billion, with a PE ratio of -270.57 and a beta of 1.51.

In its quarterly earnings report released on October 23, 2024, Annaly Capital Management reported earnings of $0.66 per share, slightly falling short of the analysts' consensus estimate of $0.67. The company generated revenues of $1.23 billion, significantly exceeding expectations of $212 million. Annaly's return on equity is reported at 14.75%, with a net margin of 2.59%.

Upcoming Dividend Announcement

Annaly Capital Management announced its upcoming quarterly dividend, set to be paid on January 31, 2025. Investors on record as of December 31, 2024, will receive a dividend of $0.65 per share. The ex-dividend date is also December 31, 2024. This dividend represents an annual payout of $2.60, yielding 13.73%. However, the current dividend payout ratio is an extreme -3,714.29%, indicating a high intensity of earnings being utilized for dividend payments.

Company Overview

Annaly Capital Management, Inc. is a diversified capital manager primarily involved in mortgage finance. The firm invests in various financial instruments, including agency mortgage-backed securities backed by residential mortgages, non-agency residential whole loans, and more complex securitized products within the residential and commercial markets. Their investments also cover agency commercial mortgage-backed securities, mortgage servicing rights, and residential mortgage loans.

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