Annaly Capital Management (NYSE:NLY) Issues Quarterly Earnings Results

Annaly Capital Management (NYSE:NLY) issued its quarterly earnings results on Tuesday. The real estate investment trust reported $0.80 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.77 by $0.03, FiscalAI reports. The firm had revenue of $1.93 billion for the quarter, compared to analyst estimates of $637.41 million. Annaly Capital Management had a return on equity of 16.48% and a net margin of 15.52%.

Annaly Capital Management Stock Performance

Shares of NLY opened at $17.98 on Thursday. The firm has a market capitalization of $13.56 billion, a P/E ratio of 12.58, a P/E/G ratio of 1.44 and a beta of 1.21. Annaly Capital Management has a 52 week low of $17.70 and a 52 week high of $24.52. The stock has a 50 day moving average price of $21.01 and a two-hundred day moving average price of $21.85.

Annaly Capital Management Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 30th. Shareholders of record on Wednesday, September 30th will be issued a dividend of $0.75 per share. This represents a $3.00 dividend on an annualized basis and a yield of 16.7%. The ex-dividend date of this dividend is Wednesday, September 30th. Annaly Capital Management’s payout ratio is currently 75.19%.

Trending Headlines about Annaly Capital Management

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

• Positive Sentiment: Annaly reported third-quarter earnings available for distribution of $0.80 per share, exceeding the $0.77 analyst consensus and rising from $0.73 a year earlier. Net interest income also increased to $543.6 million from $488.2 million in the prior quarter. Annaly Capital Management Surpasses Q3 Earnings Estimates
• Positive Sentiment: The company maintained its quarterly common dividend at $0.75 per share. Management also highlighted $5.8 billion in third-quarter Onslow Bay funding volume, supporting its mortgage-finance and residential-credit businesses. Annaly Capital Three Key Takeaways for Long-Term Investors
• Neutral Sentiment: Management characterized the operating environment as difficult but expressed confidence in the portfolio and business strategy during the earnings call. The earnings release showed revenue of approximately $1.93 billion, well above the reported consensus estimate, although revenue comparisons can be less meaningful for a mortgage REIT. Annaly Capital Management Navigates Tough Quarter Confidently
• Negative Sentiment: Annaly posted a $1.00 billion GAAP net loss, or $1.36 per share, largely because of a $4.72 billion loss on investments and other items. Book value per share declined to $17.86, close to the stock’s recent trading level, which may weigh on investor confidence despite the stronger distributable earnings. Annaly Reports Third-Quarter Net Loss
• Negative Sentiment: GAAP leverage increased to 8.0 times from 7.4 times in the prior quarter, adding balance-sheet risk. JonesTrading also lowered its price target from $25 to $21, although it retained a Buy rating. JonesTrading Lowers Annaly Price Target

Analysts Set New Price Targets

NLY has been the topic of a number of research reports. Barclays set a $21.00 target price on shares of Annaly Capital Management in a research report on Thursday. Zacks Research cut shares of Annaly Capital Management from a “strong-buy” rating to a “hold” rating in a report on Monday, August 31st. BTIG Research set a $21.00 price target on shares of Annaly Capital Management and gave the company a “buy” rating in a research note on Tuesday, October 6th. JPMorgan Chase & Co. dropped their price objective on shares of Annaly Capital Management from $26.00 to $24.00 and set an “overweight” rating on the stock in a report on Friday, July 24th. Finally, JonesTrading reduced their target price on Annaly Capital Management from $25.00 to $21.00 and set a “buy” rating for the company in a research note on Wednesday. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and four have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $22.61.

About Annaly Capital Management

Annaly Capital Management, Inc is a diversified capital manager and mortgage real estate investment trust listed on the New York Stock Exchange under the symbol NLY. The company primarily invests in and manages residential mortgage-related assets, seeking to generate income through interest-rate spreads, financing, and portfolio management.

Annaly’s investment activities have historically focused on agency mortgage-backed securities, which are backed by federally sponsored entities or government agencies.