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Annaly Rides High on Strong Funding Profile: Time to Buy?

NLY HASI ACRE CIM

Trades from $3

We updated our research report on Annaly Capital Management, Inc. (NLY - Free Report) on Nov 11, 2016. This New York-based mortgage real estate investment trust (“mREIT”) is mainly engaged in owning, managing and financing a portfolio of real estate-related investment securities. Its investment portfolio comprises agency MBS, agency pass-through certificates, collateralized mortgage obligations, interest-only securities and inverse floaters.

Annaly enjoys a diverse funding profile in the industry. Its primary sources of funds are repurchase agreements and various forms of equity. Also, the company enjoys flexibility in the opportunistic enhancement of its portfolio. Further, around $8 billion high-quality unencumbered assets provide it adequate capital buffer.

The stock presently carries a Zacks Rank #2 (Buy). Over the past seven days, its current quarter estimates moved up 3.4% to 30 cents.

Investors interested in the mREIT sector can also consider stocks like Ares Commercial Real Estate Corporation (ACRE - Free Report) , Chimera Investment Corporation (CIM - Free Report) and Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI - Free Report) . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Current quarter estimates for Ares Commercial Real Estate, Chimera Investment Corporation and Hannon Armstrong Sustainable Infrastructure Capital remained unchanged at 27 cents, 61 cents and 23 cents, respectively over the past seven days.

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