Annaly Capital Management (NLY) Gains As Market Dips: What You Should Know
Annaly Capital Management (NLY) closed at $5.90 in the latest trading session, marking a +1.38% move from the prior day. This move outpaced the S&P 500's daily loss of 2.97%. Elsewhere, the Dow lost 2.57%, while the tech-heavy Nasdaq lost 3.47%.
Coming into today, shares of the real estate investment trust had gained 22.53% in the past month. In that same time, the Finance sector gained 15.41%, while the S&P 500 gained 22.85%.
NLY will be looking to display strength as it nears its next earnings release, which is expected to be April 29, 2020. The company is expected to report EPS of $0.20, down 31.03% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for NLY. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 11.67% lower within the past month. NLY currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that NLY has a Forward P/E ratio of 6.24 right now. This valuation marks a premium compared to its industry's average Forward P/E of 5.83.
The REIT and Equity Trust industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 171, which puts it in the bottom 33% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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