Annaly Stock Buy Hold or Sell Recommendation

NLY
 Stock
  

USD 21.21  0.16  0.76%   

Considering the 90-day investment horizon and your slightly conservative level of risk, our recommendation regarding Annaly Capital Management is 'Hold'. Macroaxis provides Annaly Capital buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding NLY positions. The advice algorithm takes into account all of Annaly Capital's available fundamental, technical, and predictive indicators you will find on this site.
  
The advice is provided from Annaly Capital's buy-and-hold perspective. Additionally, see Annaly Capital Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Annaly and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Annaly Capital Management.

Execute Annaly Capital Buy or Sell Advice

The Annaly recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Annaly Capital Management. Macroaxis does not own or have any residual interests in Annaly Capital Management or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Annaly Capital's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Annaly CapitalBuy Annaly Capital
Hold

Volatility

Details

Hype Condition

Details

Current Valuation

Details

Odds of Distress

Details

Economic Sensitivity

Details

Analyst Consensus

Details

Financial Strenth (F Score)

Details

Financial Leverage

Inapplicable
Details

Reporting Quality (M-Score)

Details
For the selected time horizon Annaly Capital Management has a Mean Deviation of 2.41, Standard Deviation of 3.46 and Variance of 11.97
Our investment recommendation module complements current analysts and expert consensus on Annaly Capital. It analyzes the firm potential to grow using all fundamental, technical, and market related data available at the time. To make sure Annaly Capital is not overpriced, please confirm all Annaly Capital Management fundamentals, including its debt to equity, and the relationship between the gross profit and price to earnings to growth . Given that Annaly Capital Management has a price to earning of 2.82 X, we suggest you to validate Annaly Capital Management market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Annaly Capital Trading Alerts and Improvement Suggestions

Annaly Capital generated a negative expected return over the last 90 days
Annaly Capital has high historical volatility and very poor performance
The company has 63.78 B in debt with debt to equity (D/E) ratio of 5.82, demonstrating that the company may be unable to create cash to meet all of its financial commitments. Annaly Capital Management has a current ratio of 0.25, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist Annaly Capital until it has trouble settling it off, either with new capital or with free cash flow. So, Annaly Capital's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Annaly Capital Management sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Annaly to invest in growth at high rates of return. When we think about Annaly Capital's use of debt, we should always consider it together with cash and equity.
Annaly Capital has a frail financial position based on the latest SEC disclosures
About 55.0% of Annaly Capital shares are owned by institutional investors
On 31st of October 2022 Annaly Capital paid $ 0.22 per share dividend to its current shareholders
Latest headline from news.google.com: Is Annaly Capitals 16 percent Dividend Worth the Risk - Nasdaq

Annaly Capital current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Annaly analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Annaly analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price19.47
Target Median Price19.50
Target High Price21.25
Recommendation Mean2.50
Number Of Analyst Opinions9
Target Low Price18.50
Average Consensus Hold
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Annaly Capital Returns Distribution Density

The distribution of Annaly Capital's historical returns is an attempt to chart the uncertainty of Annaly Capital's future price movements. The chart of the probability distribution of Annaly Capital stock daily returns describes the distribution of returns around its average expected value. We use Annaly Capital Management price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Annaly Capital returns is essential to provide solid investment advice for Annaly Capital.
Mean Return-0.19Value At Risk-5.85
Potential Upside5.93Standard Deviation3.46
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Annaly Capital historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Annaly Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Annaly Capital is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Annaly Capital Management backward and forwards among themselves. Annaly Capital's institutional investor refers to the entity that pools money to purchase Annaly Capital's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Zwj Investment Counsel IncCommon Shares24.4 K290 K
Zwj Investment Counsel IncCommon Shares24.4 K297 K
Zwj Investment Counsel IncCommon Shares24.4 K294 K
Zwj Investment Counsel IncCommon Shares33.9 K377 K
Zweigdimenna Associates LlcCommon Shares13.6 K166 K
Zweigdimenna Associates LlcCommon Shares25.1 K316 K
Zurich Insurance Group LtdCommon Shares189.9 K2.3 M
Note, although Annaly Capital's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Annaly Capital Cash Flow Accounts

201720182019202020212022 (projected)
Depreciation Amortization and Accretion27.96 M72.36 M31.56 M41.36 M47.56 M38.2 M
Net Cash Flow or Change in Cash and Cash Equivalents(833.16 M)1.03 B114.98 M(607.03 M)(698.08 M)(716.45 M)
Net Cash Flow Business Acquisitions and Disposals13.45 M(232.11 M)3.15 M13.85 M15.93 M17.19 M
Issuance Purchase of Equity Shares2.35 B1.53 B1.61 B(208.24 M)(187.42 M)(192.35 M)
Issuance Repayment of Debt Securities11.41 B(261.37 M)22.28 B(39.39 B)(35.45 B)(36.38 B)
Payment of Dividends and Other Cash Distributions(1.35 B)(1.54 B)(1.69 B)(1.48 B)(1.7 B)(1.83 B)
Net Cash Flow from Financing6.9 B(684.44 M)21.96 B(41.49 B)(7.88 B)(8.09 B)
Net Cash Flow from Investing(14.67 B)(908.42 M)(20.64 B)40.35 B4.9 B5.29 B
Net Cash Flow Investment Acquisitions and Disposals(14.68 B)(676.31 M)(20.64 B)40.34 B46.39 B50.05 B
Net Cash Flow from Operations6.93 B2.62 B(1.2 B)527.97 M3.08 B3.06 B

Annaly Capital Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Annaly Capital or Real Estate sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Annaly Capital's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Annaly stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
-0.3
β
Beta against DOW1.42
σ
Overall volatility
3.54
Ir
Information ratio -0.08

Annaly Capital Volatility Alert

Annaly Capital Management exhibits very low volatility with skewness of 0.66 and kurtosis of 2.72. However, we advise investors to further study Annaly Capital Management technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Annaly Capital's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Annaly Capital's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Annaly Capital Implied Volatility

Annaly Capital's implied volatility exposes the market's sentiment of Annaly Capital Management stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Annaly Capital's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Annaly Capital stock will not fluctuate a lot when Annaly Capital's options are near their expiration.

Annaly Capital Fundamentals Vs Peers

Comparing Annaly Capital's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Annaly Capital's direct or indirect competition across all of the common fundamentals between Annaly Capital and the related equities. This way, we can detect undervalued stocks with similar characteristics as Annaly Capital or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Annaly Capital's fundamental indicators could also be used in its relative valuation, which is a method of valuing Annaly Capital by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Annaly Capital to competition
FundamentalsAnnaly CapitalPeer Average
Return On Equity24.58 %(0.31) %
Return On Asset3.74 %(0.14) %
Profit Margin66.75 %(1.27) %
Current Valuation73 B16.62 B
Shares Outstanding467.87 M571.82 M
Shares Owned by Insiders0.23 %10.09 %
Shares Owned by Institutions55.43 %39.21 %
Number of Shares Shorted17.29 M4.71 M
Price to Earning2.82 X28.72 X
Price to Book1.06 X9.51 X
Price to Sales2.19 X11.42 X
Revenue4.54 B9.43 B
Gross Profit4.11 B27.38 B
EBITDA1.31 B3.9 B
Net Income2.92 B570.98 M
Cash and Equivalents2.25 B2.7 B
Cash per Share4.80 X5.01 X
Total Debt63.78 B5.32 B
Debt to Equity5.82 %48.70 %
Current Ratio0.25 X2.16 X
Book Value Per Share19.94 X1.93 K
Cash Flow from Operations6.03 B971.22 M
Short Ratio2.16 X4.00 X
Earnings Per Share7.51 X3.12 X
Price to Earnings To Growth(1.00) X4.89 X
Number of Employees17118.84 K
Beta1.34-0.15
Market Capitalization9.92 B19.03 B
Total Asset75.19 B29.47 B
Retained Earnings(8.53 B)9.33 B
Five Year Return11.78 %
Last Dividend Paid0.88
   Exercise or conversion by Katherine Fallon of 12186 shares of Annaly Capital subject to Rule 16b-3 [view details]

About Annaly Capital Buy or Sell Advice

When is the right time to buy or sell Annaly Capital Management? Buying financial instruments such as Annaly Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Cash and Equivalents1.85 B1.24 B1.34 B1.21 B
Total Assets130.3 B88.46 B76.76 B96.49 B

Use Investing Ideas to Build Portfolios

In addition to having Annaly Capital in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Run Latest Gainers Thematic Idea Now

Latest Gainers
Latest Gainers Theme
Dynamically computed list of top equities currently sorted across major exchanges. The Latest Gainers theme has 117 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Latest Gainers Theme or any other thematic opportunities.
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Additionally, see Annaly Capital Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try Insider Screener module to find insiders across different sectors to evaluate their impact on performance.

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Is Annaly Capital's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Annaly Capital. If investors know Annaly will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Annaly Capital listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.11
Market Capitalization
9.8 B
Quarterly Revenue Growth YOY
0.024
Return On Assets
0.0374
Return On Equity
0.25
The market value of Annaly Capital Management is measured differently than its book value, which is the value of Annaly that is recorded on the company's balance sheet. Investors also form their own opinion of Annaly Capital's value that differs from its market value or its book value, called intrinsic value, which is Annaly Capital's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Annaly Capital's market value can be influenced by many factors that don't directly affect Annaly Capital's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Annaly Capital's value and its price as these two are different measures arrived at by different means. Investors typically determine Annaly Capital value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Annaly Capital's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.