Starwood Property Trust (STWD) Competitors

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

Which has better earnings and valuation, STWD or NLY?

Annaly Capital Management has higher revenue and earnings than Starwood Property Trust. Annaly Capital Management is trading at a lower price-to-earnings ratio than Starwood Property Trust, 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
Starwood Property Trust	$1.95B	3.62	$359.93M	$0.95	21.86
Annaly Capital Management	$4.84B	2.39	$1.00B	$0.89	21.72

Which has more risk and volatility, STWD or NLY?

Starwood Property Trust has a beta of 1.24, suggesting that its stock price is 24% more volatile than the S&P 500. Comparatively, Annaly Capital Management has a beta of 1.22, suggesting that its stock price is 22% more volatile than the S&P 500.

Do analysts recommend STWD or NLY?

Starwood Property Trust currently has a consensus price target of $21.83, indicating a potential upside of 5.12%. Annaly Capital Management has a consensus price target of $21.00, indicating a potential upside of 8.64%. Given Annaly Capital Management's higher probable upside, analysts plainly believe Annaly Capital Management is more favorable than Starwood Property Trust.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Starwood Property Trust	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.83
Annaly Capital Management	0 Sell rating(s)	2 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	2.80

Is STWD or NLY more profitable?

Starwood Property Trust has a net margin of 17.26% compared to Annaly Capital Management's net margin of 13.10%. Annaly Capital Management's return on equity of 15.31% beat Starwood Property Trust's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Starwood Property Trust	17.26%	8.87%	0.94%
Annaly Capital Management	13.10%	15.31%	1.65%

Do insiders & institutionals have more ownership in STWD or NLY?

49.8% of Starwood Property Trust shares are held by institutional investors. Comparatively, 51.6% of Annaly Capital Management shares are held by institutional investors. 5.9% of Starwood Property Trust shares are held by company insiders. Comparatively, 0.2% of Annaly Capital Management shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Does the media prefer STWD or NLY?

In the previous week, Annaly Capital Management had 8 more articles in the media than Starwood Property Trust. MarketBeat recorded 15 mentions for Annaly Capital Management and 7 mentions for Starwood Property Trust. Starwood Property Trust's average media sentiment score of 1.02 beat Annaly Capital Management's score of 1.01 indicating that Starwood Property Trust is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Starwood Property Trust	5 Very Positive mention(s)	2 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Annaly Capital Management	9 Very Positive mention(s)	0 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is STWD or NLY a better dividend stock?

Starwood Property Trust pays an annual dividend of $1.92 per share and has a dividend yield of 9.2%. Annaly Capital Management pays an annual dividend of $2.80 per share and has a dividend yield of 14.5%. 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 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. Annaly Capital Management has increased 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.

Summary

Annaly Capital Management beats Starwood Property Trust on 10 of the 19 factors compared between the two stocks.