|Bid||25.13 x 900|
|Ask||25.14 x 1000|
|Day's Range||25.10 - 25.15|
|52 Week Range||19.15 - 25.24|
|Beta (5Y Monthly)||1.30|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||1.62 (6.46%)|
|Ex-Dividend Date||Feb 26, 2021|
|1y Target Est||N/A|
The current interest rate environment has some investors taking a closer look at mortgage REITs (mREITs) right now, and for good reason. Mortgage REITs that have maintained a strong portfolio of debt assets through the pandemic and are positioned to enjoy a nice boost in earnings over the next couple of years. Two such mREITs are Starwood Property Trust (NYSE: STWD) and Annaly Capital Management (NYSE: NLY).
One of the most vexing challenges for the U.S. government since the 2008-09 Great Recession has been to rebuild the mortgage finance system. During the crisis, Fannie Mae and Freddie Mac were rescued by the government, which took a 79% stake in the companies. Since then, almost all of the mortgages originated in the U.S. have been backed by the U.S. taxpayer.
Since the end of the Great Recession, growth stocks have run circles around value stocks. A Bank of America/Merrill Lynch report released in 2016 found that value stocks averaged an annual gain of 17% over a 90-year stretch (1926-2015), while growth stocks delivered an impressive, but nevertheless lower, 12.6% annualized return over the same time span. What's more, value stocks significantly outperformed growth stocks during the early stages of an economic recovery, which is where we're at right now.