Starwood Property Trust (STWD) Competitors

Annaly Capital Management (NYSE:NLY) and Starwood Property Trust (NYSE:STWD) are both finance companies, but which is the superior business? We will contrast the two companies based on the strength of their media sentiment, earnings, analyst recommendations, community ranking, dividends, risk, institutional ownership, profitability and valuation.

Do analysts recommend NLY or STWD?

Annaly Capital Management currently has a consensus price target of $21.10, suggesting a potential upside of 7.16%. Starwood Property Trust has a consensus price target of $21.75, suggesting a potential upside of 8.97%. Given Starwood Property Trust's higher possible upside, analysts plainly believe Starwood Property Trust is more favorable than Annaly Capital Management.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Annaly Capital Management	0 Sell rating(s)	2 Hold rating(s)	9 Buy rating(s)	0 Strong Buy rating(s)	2.82
Starwood Property Trust	0 Sell rating(s)	2 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.71

Does the MarketBeat Community prefer NLY or STWD?

Annaly Capital Management received 45 more outperform votes than Starwood Property Trust when rated by MarketBeat users. However, 68.79% of users gave Starwood Property Trust an outperform vote while only 56.09% of users gave Annaly Capital Management an outperform vote.

Company	Underperform	Outperform
Annaly Capital Management	Outperform Votes 488 56.09%	Underperform Votes 382 43.91%
Starwood Property Trust	Outperform Votes 443 68.79%	Underperform Votes 201 31.21%

Which has more volatility and risk, NLY or STWD?

Annaly Capital Management has a beta of 1.25, indicating that its share price is 25% more volatile than the S&P 500. Comparatively, Starwood Property Trust has a beta of 1.26, indicating that its share price is 26% more volatile than the S&P 500.

Is NLY or STWD more profitable?

Annaly Capital Management has a net margin of 20.70% compared to Starwood Property Trust's net margin of 18.82%. Annaly Capital Management's return on equity of 14.95% beat Starwood Property Trust's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Annaly Capital Management	20.70%	14.95%	1.60%
Starwood Property Trust	18.82%	9.93%	1.00%

Which has preferable earnings and valuation, NLY or STWD?

Annaly Capital Management has higher revenue and earnings than Starwood Property Trust. Starwood Property Trust is trading at a lower price-to-earnings ratio than Annaly Capital Management, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Annaly Capital Management	$898.19M	13.10	$1.00B	$0.89	22.12
Starwood Property Trust	$844.65M	8.02	$339.21M	$0.95	21.01

Does the media favor NLY or STWD?

In the previous week, Starwood Property Trust had 8 more articles in the media than Annaly Capital Management. MarketBeat recorded 16 mentions for Starwood Property Trust and 8 mentions for Annaly Capital Management. Annaly Capital Management's average media sentiment score of 1.49 beat Starwood Property Trust's score of 1.38 indicating that Annaly Capital Management is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Annaly Capital Management	7 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Starwood Property Trust	13 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Positive

Is NLY or STWD a better dividend stock?

Annaly Capital Management pays an annual dividend of $2.80 per share and has a dividend yield of 14.2%. Starwood Property Trust pays an annual dividend of $1.92 per share and has a dividend yield of 9.6%. Annaly Capital Management pays out 314.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Starwood Property Trust pays out 202.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Annaly Capital Management has raised its dividend for 2 consecutive years. Annaly Capital Management is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Do institutionals & insiders believe in NLY or STWD?

51.6% of Annaly Capital Management shares are held by institutional investors. Comparatively, 49.8% of Starwood Property Trust shares are held by institutional investors. 0.2% of Annaly Capital Management shares are held by company insiders. Comparatively, 5.4% of Starwood Property Trust shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Annaly Capital Management beats Starwood Property Trust on 13 of the 21 factors compared between the two stocks.