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Annaly Capital Management (NLY) Outpaces Stock Market Gains: What You Should Know

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Annaly Capital Management (NLY - Free Report) closed the most recent trading day at $20.37, moving +1.29% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.14%. Meanwhile, the Dow lost 0.18%, and the Nasdaq, a tech-heavy index, added 1.54%.

Coming into today, shares of the real estate investment trust had lost 13.8% in the past month. In that same time, the Finance sector lost 4.43%, while the S&P 500 lost 4.07%.

Wall Street will be looking for positivity from Annaly Capital Management as it approaches its next earnings report date. In that report, analysts expect Annaly Capital Management to post earnings of $0.71 per share. This would mark a year-over-year decline of 36.61%. Our most recent consensus estimate is calling for quarterly revenue of $271.6 million, down 53.25% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.01 per share and revenue of $1.22 billion. These totals would mark changes of -28.67% and -16.91%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for Annaly Capital Management. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.95% lower. Annaly Capital Management currently has a Zacks Rank of #3 (Hold).

In terms of valuation, Annaly Capital Management is currently trading at a Forward P/E ratio of 6.68. For comparison, its industry has an average Forward P/E of 7.56, which means Annaly Capital Management is trading at a discount to the group.

The REIT and Equity Trust industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 179, which puts it in the bottom 29% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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