ANNALY CAPITAL MANAGEMENT IN (NLY)
US0357108390 - REIT
Taking everything into account, NLY scores 3 out of 10 in our fundamental rating. NLY was compared to 64 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. NLY may be in some trouble as it scores bad on both profitability and health. NLY has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year NLY was profitable.
In the past year NLY had a positive cash flow from operations.
In multiple years NLY reported negative net income over the last 5 years.
NLY had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.71%, NLY is doing worse than 75.00% of the companies in the same industry.
NLY has a worse Return On Equity (-5.91%) than 78.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.71% | ||
| ROE | -5.91% | ||
| ROIC | N/A |
ROA(3y)1.01%
ROA(5y)0.02%
ROE(3y)5.27%
ROE(5y)-1.23%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin and Operating Margin and Gross Margin are not available for NLY so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
NLY does not have a ROIC to compare to the WACC, probably because it is not profitable.
NLY has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, NLY has more shares outstanding
Compared to 1 year ago, NLY has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -0.88, we must say that NLY is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -0.88, NLY is doing worse than 79.69% of the companies in the same industry.
The Debt to FCF ratio of NLY is 22.29, which is on the high side as it means it would take NLY, 22.29 years of fcf income to pay off all of its debts.
NLY has a better Debt to FCF ratio (22.29) than 78.13% of its industry peers.
NLY has a Debt/Equity ratio of 7.19. This is a high value indicating a heavy dependency on external financing.
NLY has a worse Debt to Equity ratio (7.19) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.19 | ||
| Debt/FCF | 22.29 | ||
| Altman-Z | -0.88 |
ROIC/WACCN/A
WACC5.24%
2.3 Liquidity
NLY has a Current Ratio of 0.04. This is a bad value and indicates that NLY is not financially healthy enough and could expect problems in meeting its short term obligations.
NLY has a worse Current ratio (0.04) than 82.81% of its industry peers.
NLY has a Quick Ratio of 0.04. This is a bad value and indicates that NLY is not financially healthy enough and could expect problems in meeting its short term obligations.
NLY's Quick ratio of 0.04 is on the low side compared to the rest of the industry. NLY is outperformed by 82.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 |
3. Growth
3.1 Past
NLY shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -23.56%.
Measured over the past years, NLY shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.62% on average per year.
NLY shows a strong growth in Revenue. In the last year, the Revenue has grown by 240.64%.
Measured over the past years, NLY shows a small growth in Revenue. The Revenue has been growing by 1.37% on average per year.
EPS 1Y (TTM)-23.56%
EPS 3Y-13.28%
EPS 5Y-9.62%
EPS Q2Q%-5.56%
Revenue 1Y (TTM)240.64%
Revenue growth 3Y91.01%
Revenue growth 5Y1.37%
Sales Q2Q%27.76%
3.2 Future
The Earnings Per Share is expected to grow by 0.97% on average over the next years.
The Revenue is expected to grow by 4.39% on average over the next years.
EPS Next Y-6.42%
EPS Next 2Y-1.09%
EPS Next 3Y0.97%
EPS Next 5YN/A
Revenue Next Year21.68%
Revenue Next 2Y11.76%
Revenue Next 3Y4.39%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.58, the valuation of NLY can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of NLY indicates a rather cheap valuation: NLY is cheaper than 84.38% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.65, NLY is valued rather cheaply.
The Price/Forward Earnings ratio is 7.18, which indicates a rather cheap valuation of NLY.
85.94% of the companies in the same industry are more expensive than NLY, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.38, NLY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.58 | ||
| Fwd PE | 7.18 |
4.2 Price Multiples
96.88% 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 | 2.8 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.09%
EPS Next 3Y0.97%
5. Dividend
5.1 Amount
NLY has a Yearly Dividend Yield of 12.91%, which is a nice return.
Compared to an average industry Dividend Yield of 12.33, 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 2.26.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.91% |
5.2 History
The dividend of NLY decreases each year by -8.86%.
NLY has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-8.86%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
NLY has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-218.13%
EPS Next 2Y-1.09%
EPS Next 3Y0.97%
ANNALY CAPITAL MANAGEMENT IN
NYSE:NLY (9/6/2024, 8:04:00 PM)
After market: 20.17 0 (0%)20.17
+0.03 (+0.15%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap10.11B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.91% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
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EPS beat(8)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.58 | ||
| Fwd PE | 7.18 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.71% | ||
| ROE | -5.91% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.19 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.04 | ||
| Quick Ratio | 0.04 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-23.56%
EPS 3Y-13.28%
EPS 5Y
EPS Q2Q%
EPS Next Y-6.42%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)240.64%
Revenue growth 3Y91.01%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y