Annaly Capital Management Inc (NYSE:NLY) Plans $0.70 Quarterly Dividend

Key Points

• Annaly Capital Management Inc declared a quarterly dividend of $0.70 per share, with a yield of 12.7%, payable on October 31st to shareholders of record on September 30th.
• The company's current dividend payout ratio is 96.2%, indicating that future earnings may not fully cover dividends, with analysts forecasting earnings of only $2.78 per share next year.
• Despite a 0.7% decline in stock price on the day of the announcement, Annaly Capital Management maintains a market cap of $14.19 billion and a PE ratio of 21.89.

Annaly Capital Management Inc (NYSE:NLY - Get Free Report) declared a quarterly dividend on Wednesday, September 10th, RTT News reports. Stockholders of record on Tuesday, September 30th will be given a dividend of 0.70 per share by the real estate investment trust on Friday, October 31st. This represents a c) dividend on an annualized basis and a dividend yield of 12.7%. The ex-dividend date is Tuesday, September 30th.

Annaly Capital Management has a dividend payout ratio of 96.2% meaning its dividend is currently covered by earnings, but may not be in the future if the company's earnings tumble. Equities research analysts expect Annaly Capital Management to earn $2.78 per share next year, which means the company may not be able to cover its $2.80 annual dividend with an expected future payout ratio of 100.7%.

Annaly Capital Management Stock Up 0.5%

NLY traded up $0.11 during trading on Monday, hitting $22.11. The company had a trading volume of 2,017,299 shares, compared to its average volume of 7,659,582. The company has a market cap of $14.20 billion, a PE ratio of 21.89, a P/E/G ratio of 5.21 and a beta of 1.24. The business has a 50-day moving average of $20.72 and a 200-day moving average of $19.97. The company has a debt-to-equity ratio of 0.21, a current ratio of 0.11 and a quick ratio of 0.11. Annaly Capital Management has a 1-year low of $16.59 and a 1-year high of $22.45.

Annaly Capital Management (NYSE:NLY - Get Free Report) last posted its quarterly earnings results on Wednesday, July 23rd. The real estate investment trust reported $0.73 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.72 by $0.01. Annaly Capital Management had a net margin of 13.76% and a return on equity of 15.53%. The firm had revenue of $273.20 million for the quarter, compared to analysts' expectations of $237.00 million. As a group, analysts forecast that Annaly Capital Management will post 2.81 earnings per share for the current year.

Analyst Ratings Changes

Several research firms have weighed in on NLY. Royal Bank Of Canada boosted their target price on shares of Annaly Capital Management from $21.00 to $23.00 and gave the company an "outperform" rating in a research note on Monday. Jones Trading reiterated a "buy" rating and set a $21.00 target price on shares of Annaly Capital Management in a research note on Thursday, July 24th. UBS Group boosted their target price on shares of Annaly Capital Management from $20.00 to $21.00 and gave the company a "neutral" rating in a research note on Wednesday, September 3rd. Keefe, Bruyette & Woods boosted their target price on shares of Annaly Capital Management from $20.50 to $21.50 and gave the company an "outperform" rating in a research note on Friday, July 25th. Finally, Zacks Research lowered shares of Annaly Capital Management from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, August 19th. Seven equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat.com, Annaly Capital Management currently has an average rating of "Moderate Buy" and a consensus target price of $21.06.

Annaly Capital Management Company Profile

Annaly Capital Management, Inc, a diversified capital manager, engages in mortgage finance. The company invests in agency mortgage-backed securities collateralized by residential mortgages; non-agency residential whole loans and securitized products within the residential and commercial markets; mortgage servicing rights; agency commercial mortgage-backed securities; to-be-announced forward contracts; residential mortgage loans; and agency or private label credit risk transfer securities.