Annaly Capital Management (NLY) ended the recent trading session at $18.99, demonstrating a +0.32% swing from the preceding day's closing price. The stock's change was more than the S&P 500's daily gain of 0.01%. Meanwhile, the Dow experienced a drop of 0.22%, and the technology-dominated Nasdaq saw an increase of 0.32%.
Shares of the real estate investment trust witnessed a loss of 0.47% over the previous month, trailing the performance of the Finance sector with its gain of 3.54% and the S&P 500's gain of 5.2%.
Market participants will be closely following the financial results of Annaly Capital Management in its upcoming release. The company's earnings per share (EPS) are projected to be $0.71, reflecting a 4.41% increase from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $411 million, indicating a 667.36% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.87 per share and revenue of $1.47 billion, indicating changes of +6.3% and +492.83%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Annaly Capital Management. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.17% higher. As of now, Annaly Capital Management holds a Zacks Rank of #3 (Hold).
In terms of valuation, Annaly Capital Management is currently trading at a Forward P/E ratio of 6.59. Its industry sports an average Forward P/E of 8.03, so one might conclude that Annaly Capital Management is trading at a discount comparatively.
Also, we should mention that NLY has a PEG ratio of 4.17. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. NLY's industry had an average PEG ratio of 1.75 as of yesterday's close.
The REIT and Equity Trust industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 141, positioning it in the bottom 43% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Annaly Capital Management Inc (NLY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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