Annaly Capital Management (NYSE:NLY) Shares Down 2.8% - Here's What Happened

Key Points

• Annaly Capital Management shares fell 2.8% to about $17.72, with trading volume 23% above its average. The stock remains below its 50-day and 200-day moving averages.
• Analysts maintain a generally positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $23.61, despite several recent target-price cuts.
• Annaly reported quarterly EPS of $0.79, exceeding the $0.75 consensus estimate, and declared a $0.75 quarterly dividend—equivalent to a 16.9% annualized yield.

Shares of Annaly Capital Management Inc (NYSE:NLY - Get Free Report) fell 2.8% on Monday. The stock traded as low as $17.70 and last traded at $17.7160. Approximately 10,228,599 shares were traded during trading, an increase of 23% from the average daily volume of 8,328,308 shares. The stock had previously closed at $18.23.

Wall Street Analyst Weigh In

Several research analysts recently issued reports on NLY shares. BTIG Research set a $21.00 target price on Annaly Capital Management and gave the company a "buy" rating in a research report on Tuesday, October 6th. Piper Sandler lowered their price target on Annaly Capital Management from $25.00 to $21.50 and set an "overweight" rating for the company in a report on Friday, October 9th. Wells Fargo & Company dropped their price target on Annaly Capital Management from $25.00 to $24.00 and set an "overweight" rating on the stock in a research note on Thursday, July 23rd. Zacks Research lowered Annaly Capital Management from a "strong-buy" rating to a "hold" rating in a research note on Monday, August 31st. Finally, JPMorgan Chase & Co. cut their price objective on shares of Annaly Capital Management from $26.00 to $24.00 and set an "overweight" rating on the stock in a report on Friday, July 24th. One analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat, Annaly Capital Management currently has an average rating of "Moderate Buy" and a consensus target price of $23.61.

Annaly Capital Management Price Performance

The stock's fifty day simple moving average is $21.31 and its 200-day simple moving average is $21.92. The firm has a market cap of $13.35 billion, a PE ratio of 4.44, a PEG ratio of 1.43 and a beta of 1.21.

Annaly Capital Management (NYSE:NLY - Get Free Report) last announced its quarterly earnings data on Tuesday, July 21st. The real estate investment trust reported $0.79 earnings per share for the quarter, beating analysts' consensus estimates of $0.75 by $0.04. Annaly Capital Management had a net margin of 43.66% and a return on equity of 16.00%. The firm had revenue of $1.82 billion for the quarter, compared to analyst estimates of $639.80 million. Analysts expect that Annaly Capital Management Inc will post 3.09 earnings per share for the current year.

Annaly Capital Management Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 30th. Shareholders of record on Wednesday, September 30th will be given a dividend of $0.75 per share. The ex-dividend date of this dividend is Wednesday, September 30th. This represents a $3.00 dividend on an annualized basis and a yield of 16.9%. Annaly Capital Management's payout ratio is currently 75.19%.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the company. HUB Investment Partners LLC grew its holdings in Annaly Capital Management by 3.3% in the second quarter. HUB Investment Partners LLC now owns 14,668 shares of the real estate investment trust's stock valued at $328,000 after purchasing an additional 462 shares during the period. Quadcap Wealth Management LLC increased its position in shares of Annaly Capital Management by 2.3% in the first quarter. Quadcap Wealth Management LLC now owns 21,889 shares of the real estate investment trust's stock valued at $463,000 after buying an additional 495 shares in the last quarter. Fourth Dimension Wealth LLC raised its stake in shares of Annaly Capital Management by 30.3% during the 2nd quarter. Fourth Dimension Wealth LLC now owns 2,150 shares of the real estate investment trust's stock worth $48,000 after buying an additional 500 shares during the period. Strs Ohio raised its stake in shares of Annaly Capital Management by 3.3% during the 1st quarter. Strs Ohio now owns 16,920 shares of the real estate investment trust's stock worth $358,000 after buying an additional 548 shares during the period. Finally, Sigma Planning Corp raised its stake in shares of Annaly Capital Management by 2.4% during the 2nd quarter. Sigma Planning Corp now owns 25,979 shares of the real estate investment trust's stock worth $581,000 after buying an additional 606 shares during the period. 51.56% of the stock is owned by institutional investors and hedge funds.

About Annaly Capital Management

Annaly Capital Management, Inc is a diversified capital manager and mortgage real estate investment trust listed on the New York Stock Exchange under the symbol NLY. The company primarily invests in and manages residential mortgage-related assets, seeking to generate income through interest-rate spreads, financing, and portfolio management.

Annaly's investment activities have historically focused on agency mortgage-backed securities, which are backed by federally sponsored entities or government agencies.

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