Annaly Capital Management, Inc.
- Open
- 23.15
- Day high
- 23.16
- Day low
- 22.58
- Prev close
- 23.01
- Volume
- 6.4M
- Mkt cap
- $15.7B
- P/E (TTM)
- 7.6
- EPS (TTM)
- $2.97
- P/B
- 1.0
- P/S
- 2.3
- Yield
- 12.56%
- Per share
- $2.85
- ▼Insiders net selling -$1.5M over the last 3 months (0 open-market buys, 2 sales)
- 🏛Institutions accumulating (13F)
Annaly Capital Management, Inc. (NLY) is a Real Estate company listed on NYSE. The stock is up 14% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 2 sales (SEC Form 4).
Annaly Capital Management, Inc. (NLY) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 5 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
NLY earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 22, 2026 | $0.74 | $0.76 | +2.7% | $342M | -48.7% |
| Jan 28, 2026 | $0.72 | $0.74 | +2.8% | $1.8B | +243.4% |
| Oct 22, 2025 | $0.72 | $0.73 | +1.4% | $2.2B | +288.8% |
| Jul 23, 2025 | $0.72 | $0.73 | +1.4% | $1.8B | +262.5% |
| Apr 30, 2025 | $0.71 | $0.72 | +1.4% | $245M | -41.6% |
| Jan 29, 2025 | $0.67 | $0.72 | +7.5% | $539M | +27.6% |
| Oct 23, 2024 | $0.67 | $0.66 | -1.5% | $133M | -89.2% |
| Jul 24, 2024 | $0.66 | $0.68 | +3.0% | $42M | -96.1% |
| Feb 7, 2024 | $0.64 | $0.68 | +6.3% | $-351M | — |
| Oct 25, 2023 | $0.65 | $0.66 | +1.5% | $-517M | -153.6% |
| Jul 26, 2023 | $0.69 | $0.72 | +4.3% | $218M | -76.3% |
| Feb 8, 2023 | $0.86 | $0.89 | +3.5% | $-825M | -327.8% |
NLY insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 12, 2026 | Williams Vickidirector | Grant | 8,641 | — |
| Jun 12, 2026 | Laguerre Martindirector | Grant | 8,641 | — |
| Jun 12, 2026 | Wede Scottdirector | Grant | 8,641 | — |
| Jun 12, 2026 | Laroche Manondirector | Grant | 8,641 | — |
| Jun 12, 2026 | Hannan Kathy Hopinkahdirector | Grant | 8,641 | — |
| Jun 12, 2026 | Reeves Eric A.director | Grant | 8,641 | — |
| Jun 12, 2026 | Hamilton Thomas Edwarddirector | Grant | 8,641 | — |
| Jun 12, 2026 | VOTEK GLENNdirector | Grant | 8,641 | — |
| May 18, 2026 | Reeves Eric A.director | Option | 7,628 | — |
| May 5, 2026 | Wolfe Serenaofficer: Chief Financial Officer | Sell | 16,537 | $22.48 |
| Apr 30, 2026 | Finkelstein David Ldirector, officer: CEO and Co-CIO | Sell | 50,000 | $22.88 |
| Feb 27, 2026 | Finkelstein David Ldirector, officer: CEO and Co-CIO | Tax | 180,168 | $23.01 |
| Feb 27, 2026 | Campbell Steven Francisofficer: President and COO | Sell | 26,491 | $22.83 |
| Feb 27, 2026 | Campbell Steven Francisofficer: President and COO | Grant | 85,319 | $23.01 |
| Feb 27, 2026 | Wolfe Serenaofficer: Chief Financial Officer | Tax | 42,427 | $23.01 |
Source: NLY SEC Form 4 filings, latest Jun 12, 2026. For informational purposes only — not investment advice.
See the full NLY insider & 13F page →Annaly Capital Management, Inc. company profile
Overview
Annaly Capital Management, Inc. (NYSE:NLY) is a diversified capital manager founded in 1996 and headquartered in New York. The company operates as a real estate investment trust (REIT) specializing in mortgage finance and corporate middle market lending. Since going public in 1997, Annaly has established itself as one of the largest mortgage REITs in the United States, focusing primarily on agency mortgage-backed securities, residential credit investments, and mortgage servicing rights. The company has elected REIT status, which allows it to avoid federal income taxation provided it distributes substantially all of its taxable income to shareholders as dividends.
Business
Annaly operates in the mortgage finance sector, functioning as a mortgage real estate investment trust (mREIT) that invests in various mortgage-related assets and securities. The company's business is built around three primary investment strategies that collectively manage over $100 billion in assets. The Agency Mortgage-Backed Securities (MBS) portfolio represents approximately 59% of the firm's capital allocation and consists of mortgage securities guaranteed by government-sponsored enterprises like Fannie Mae, Freddie Mac, and Ginnie Mae. These securities are backed by pools of residential mortgages and carry an implicit government guarantee, making them relatively low-risk investments. Agency MBS provides steady income through interest payments while offering liquidity and the ability to use leverage to enhance returns. The Residential Credit segment accounts for roughly 22% of capital allocation and involves investing in non-agency residential mortgage assets, including non-qualified mortgages (non-QM) that don't meet traditional lending standards. Through its Onslow Bay correspondent channel, Annaly originates loans directly from mortgage brokers and smaller lenders, then packages these loans into securitizations. This vertical integration allows the company to manufacture its own investment-grade securities while earning origination fees and maintaining control over credit quality. The Mortgage Servicing Rights (MSR) portfolio represents approximately 19% of capital allocation and consists of rights to service mortgage loans on behalf of investors. When homeowners make mortgage payments, the servicer collects a fee (typically 25-50 basis points annually) for processing payments, managing escrow accounts, and handling delinquencies. MSR values are inversely correlated with interest rates - when rates rise, fewer borrowers refinance, extending the life and value of servicing rights.
Revenue model
Annaly generates revenue through multiple complementary income streams across its mortgage finance platform. The primary revenue source is net interest income from the spread between the yield on mortgage investments and the cost of financing them through repurchase agreements and other borrowings. The company typically uses leverage ratios of 5-7 times equity to amplify returns on its mortgage securities portfolios. In the Agency MBS business, Annaly earns the difference between mortgage security yields (typically 3-6%) and financing costs (tied to short-term rates). The Residential Credit segment generates income through loan origination fees, securitization gains, and ongoing interest income from retained securities. The correspondent channel provides fee income from loan purchases and sales, while securitization activities create additional revenue through the sale of investment-grade bonds to third-party investors. The MSR business model centers on servicing fee income collected monthly from borrowers, typically ranging from 25-50 basis points annually on outstanding loan balances. Additional revenue comes from ancillary services like insurance commissions and late fees. The company also benefits from recapture opportunities when borrowers refinance, allowing Annaly to originate new loans through partner relationships. Several factors significantly impact Annaly's profitability margins. Interest rate volatility affects both asset values and hedging costs, with rising rates generally benefiting new investments but reducing existing asset values. Credit spreads determine the attractiveness of new investments, with wider spreads providing better entry points. Prepayment speeds influence both MBS and MSR values - faster prepayments reduce MBS yields but also diminish valuable MSR assets. Housing market conditions affect loan demand, credit performance, and servicing values, while regulatory changes can impact lending standards and servicing requirements. The company's heavy reliance on short-term financing also creates sensitivity to funding market conditions and repo rates.
Competitive moat
Annaly's competitive position relies primarily on scale advantages and operational expertise rather than traditional economic moats. As one of the largest mortgage REITs with over $100 billion in assets, the company benefits from economies of scale in funding, hedging, and operational costs. This size provides preferential access to repo financing markets and allows for more efficient hedging of interest rate risk across large portfolios. The company has developed specialized capabilities in mortgage securitization and servicing that create some differentiation. Annaly completed 21 securitizations totaling $11 billion in 2024, representing a significant portion of the non-QM securitization market. This expertise allows the company to manufacture its own investment securities and capture additional value through the securitization process. The MSR platform, built through strategic acquisitions and partnerships, provides recurring fee income that is less correlated with interest rate movements than traditional mortgage investments. However, Annaly's moat is relatively narrow and vulnerable to several competitive pressures. The mortgage REIT industry has low barriers to entry, with numerous well-capitalized competitors including banks, insurance companies, and other specialty finance companies. Agency MBS investing is largely commoditized, with returns primarily driven by leverage and timing rather than unique capabilities. The residential credit market faces increasing competition from both traditional banks returning to non-QM lending and new fintech entrants. Regulatory risks pose ongoing challenges, particularly potential changes to GSE operations that could affect agency MBS supply and demand dynamics. The company's reliance on short-term financing creates vulnerability to funding market disruptions, as experienced during the 2020 pandemic when repo markets seized up. Additionally, the mortgage servicing industry faces ongoing regulatory scrutiny and potential rule changes that could impact profitability and operational requirements.
Risks & safety
Annaly presents a moderate margin of safety profile with manageable leverage but significant interest rate sensitivity. **Liquidity and Solvency:** - Cash and short-term investments of $297 million as of Q1 2025, relatively low for asset base - Unencumbered assets of $6.3 billion provide additional liquidity cushion - Total debt-to-equity ratio of 1.88x, with economic leverage around 5.7x considered conservative for mREIT sector - No significant near-term debt maturities creating refinancing risk **Valuation Metrics:** - Price-to-book ratio of 0.92x suggests trading below tangible book value - Current dividend yield around 14-15% on book value appears sustainable based on earnings coverage - Book value of $19.02 per share with recent volatility of 3-5% quarterly **Other Considerations:** - Interest rate sensitivity creates significant book value volatility during rate cycles - Repo financing dependency requires active liquidity management - Diversified revenue streams across agency, credit, and servicing provide some stability - Conservative positioning with focus on high-quality, government-backed securities
Recent development
Over the past several years, Annaly has executed a strategic transformation from a traditional agency-focused mortgage REIT to a diversified mortgage finance platform. The company divested its middle market lending business to concentrate exclusively on housing finance, while systematically building out residential credit origination and mortgage servicing capabilities. The residential credit expansion has been particularly significant, with Annaly growing its correspondent lending channel to process over $5 billion in loan locks quarterly by 2024. The company has established itself as a major force in non-QM securitization, completing 21 transactions totaling $11 billion in 2024 alone. This vertical integration strategy allows Annaly to originate loans, retain the most attractive credit tranches, and sell investment-grade bonds to institutional investors. The mortgage servicing rights platform has grown dramatically, with the company becoming the third-largest bulk MSR buyer and onboarding $58 billion in unpaid principal balance throughout 2024. Strategic partnerships with major originators like Rocket Mortgage provide flow acquisition channels, while recapture agreements allow Annaly to originate new loans when existing borrowers refinance. Recent operational enhancements include the completion of Annaly's first Home Equity Line of Credit (HELOC) securitization and continued investment in technology platforms to support correspondent lending growth. The company has also strengthened its balance sheet through $1.2 billion in equity raises during 2024, providing capital for continued expansion across all three business lines. Management has indicated plans to gradually increase allocation to residential credit and MSR over time, targeting a more balanced portfolio mix while maintaining agency MBS as a core anchor.
NLY company profile · for informational purposes only — not investment advice.
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