Annaly Capital Management Inc (NLY) stock analysis
Close on Nov 11, 2026Market cap $14.44BP/E 12.8Yield 3.82%
StockData Score
Prices as of Nov 11, 2026How the score works
Weak8 of 30 checks passed
Annaly Capital Management passes 8 of the 30 checks behind our score; 16 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 4/6
- Growth
- 0/6
- Past performance
- 1/6
- Financial health
- 0/6
- Dividend
- 3/6
What stands out
Margin of safety over 20%
The price is 21.8% below fair value, more than the 20% cushion we look for.
Trading below fair value
The share price of $18.33 is below our fair value estimate of $23.43.
P/E below the industry
Annaly Capital Management's P/E of 12.8 is below the Miscellaneous Investing median of 26.3.
P/B below the industry
Annaly Capital Management's price-to-book of 0.91 is below the Miscellaneous Investing median of 1.20.
What to watch
Return on equity under 15%
Return on equity was 7.3% over the last twelve months and averaged 7.9% over five years; we look for 15% on both.
EPS growing under 10% a year
Diluted EPS grew -9.4% a year over the last three fiscal years.
Elevated bankruptcy risk
The Altman Z-score is -0.08; above 3 is the safe zone and below 1.8 the distress zone.
P/E above its 5-year median
Annaly Capital Management's P/E of 12.8 is above its own 5-year median of 5.8.
Valuation4/6
P/E above its 5-year median
Annaly Capital Management's P/E of 12.8 is above its own 5-year median of 5.8.
P/E below the industry
Annaly Capital Management's P/E of 12.8 is below the Miscellaneous Investing median of 26.3.
EV/EBITDA against its history
Needs positive EBITDA and price history.
P/B below the industry
Annaly Capital Management's price-to-book of 0.91 is below the Miscellaneous Investing median of 1.20.
Trading below fair value
The share price of $18.33 is below our fair value estimate of $23.43.
Margin of safety over 20%
The price is 21.8% below fair value, more than the 20% cushion we look for.
Growth0/6
Revenue growth over 3 years
Needs three years of positive revenue.
EPS growing under 10% a year
Diluted EPS grew -9.4% a year over the last three fiscal years.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growth against the industry
Needs revenue for this year and last.
Company guidance
No outlook found in earnings releases from the last twelve months.
Gross margin trend
This company does not report gross profit.
Past performance1/6
Return on equity under 15%
Return on equity was 7.3% over the last twelve months and averaged 7.9% over five years; we look for 15% on both.
Return on invested capital
Needs operating income and invested capital.
Return on equity above the industry
Annaly Capital Management's return on equity of 7.3% is above the Miscellaneous Investing median of 3.1%.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin against its history
Needs five years of revenue and net income.
Net margin against the industry
Needs revenue and net income.
Financial health0/6
Debt level
Needs debt and equity figures.
Debt trend
Needs a balance sheet from five years ago with positive equity.
Debt coverage
Needs operating cash flow.
Interest coverage
Interest expense is not reported separately.
Short-term liquidity
The balance sheet is not split into current and non-current items.
Elevated bankruptcy risk
The Altman Z-score is -0.08; above 3 is the safe zone and below 1.8 the distress zone.
Dividend3/6
Pays a dividend
Annaly Capital Management paid dividends worth 15.8% of the share price over the last twelve months.
Yield above Treasuries
The 15.8% yield is above the 4.4% on a 1-year Treasury.
Yield in the top quarter
The top quarter of US dividend payers yield 3.8% or more; Annaly Capital Management yields 15.8%.
Dividend was cut
The dividend per share fell by more than 10% at least once in the last 10 fiscal years.
Not covered by earnings
Dividends take 198% of net income, leaving little room.
Cash-flow cover
Needs dividends paid and free cash flow.
Fair value
How we estimate itOur estimate per share
$23.43
The share price is 22% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/E | 16.0× | 5.8× | 26.3× | $22.88 | 62% |
| P/B | 1.0× | 0.9× | 1.2× | $20.84 | 15% |
| Earnings power | 10.1% cost of equity | – | – | $26.64 | 23% |
| Fair value | $23.43 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 5.8
- Miscellaneous Investing median 26.3
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Low risk
- Average value traded per day
- $227.99M
- Value traded per 1% price move
- $182.08M
Downside
Medium risk
- Typical loss in a bad month
- 17.7%
- Volatility (annualized)
- 22%
- Sharpe ratio, 1 year
- -0.91
- Beta to the S&P 500 (5Y)
- 1.05
Typical bad-month loss, week by week
Margins need revenue and profit figures
This company does not report the lines needed to calculate margins.
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Net income | +102.3% | +5.5% | – | +15.8% | |
| EPS, diluted | +80.2% | -9.4% | – | +5.7% | |
| Dividend per share | +7.7% | -7.3% | -4.5% | -17.5% |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | 11.7% | -6.0% | 14.1% | |
| Return on assets | 1.8% | -0.8% | 1.7% | |
| Diluted shares | 243M | 354M | 641M |
Cash use needs five years of cash flow figures
Annaly Capital Management does not report operating cash flow and capital expenditure for each of the last five fiscal years.
DuPont needs revenue, assets and equity
This company does not report all three for consecutive years.
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero$2.03B
- Cash generatingOperating cash flow above zero$692.91M
- Return on assets improvedROA up on the prior year1.1% → 2.0%
- Earnings backed by cashOperating cash flow above net income$692.91M vs $2.03B
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose– → –
- No dilutionShare count did not rise523M → 641M
- Gross margin improvedGross margin up on the prior year– → –
- More efficientAsset turnover rose– → –
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