I have a number of them I would not try to pick the best one. I have 4 or 5 and they compliment one another. I would spread out over more than one, NLY, HTR, BNA, PETCX, DX,AWF. They are not all REITS this gives me dividends and diversification. If you cant decide buy both
I recently purchased MFA shares over NLY due to a great article.
You can access it on Yahoo MFA headlines, March 12: "MFA Financial - a good long term play" Granted it is Seeking Alpha article but the points on the first page summarize the outstanding job MFA is doing.
I sold MFA in 2009 at roughly the same price as today because I thought it was risky. All those dividends were missed on my part.
NLY on the other hand is not very popular these days - just read their message board. Seems like many are just waiting to get their money back IMO.
In multiple accounts I own 13 reits or BDC's (business development corps) and have owned most for at least 2 years.
I use Vector Vest for investment info. They rank stocks based on VST (relative value, safety and timing). Ranking the top 5 of the 13: 1)IVR; 2)CYS; 3)TWO; 4)AGNC; and 5)ARR. MFA is #7. NLY is ranked #11.
I really like AGNC, CYS and TWO. TWO (a hybrid reit like MFA)is moving into buying foreclosed property, fixing it up, renting it, and then selling the property in the future as values increase. I like their strategy and they are very open in their communication. TWO has maintained their dividend for many quarters(unlike NLY).
NLY on the other hand, is very closed on their communications. I believe their past performance and lustre is fading fast. I am still long NLY but wil be selling out if the opportunity presents itself.
IMO I would not invest in NLY. I would pick anyone of the top 5 listed above, especially AGNC or TWO. TWO may have a SPO coming up in the next month at which time you may be able to buy it at 9.75 - 10.00. That would be a good opportunity to get into the stock.
My opinion? Anything Crammer or the Motley boys tell you to do....do the opposite. That doesn't, however, mean that MFA or NLY is okay. I own MFA and have it for income in my retirement, but again, I would say do your own research and be comfortable with whatever risk is out there on any stock, before you buy for the long term.
for what it is worth---i was ready to buy a stock. did the research. it appeared to be ok. BUT just before i clicked to buy it i thought i had better check out the message board. there were some people on there that had been around a long time. history was not so good. i bought agnc instead. please if there are any here that has been around a while please answer the questions? your input might make the difference. we appreciate your wisdom. thanks