Annaly Capital Management Sees Unusually Large Options Volume (NYSE:NLY)

Annaly Capital Management Inc (NYSE:NLY) saw unusually large options trading on Thursday. Stock traders acquired 10,591 put options on the company. This represents an increase of approximately 42% compared to the average daily volume of 7,442 put options.

Institutional Trading of Annaly Capital Management

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Fourth Dimension Wealth LLC lifted its stake in Annaly Capital Management by 76.9% in the fourth quarter. Fourth Dimension Wealth LLC now owns 1,150 shares of the real estate investment trust’s stock worth $26,000 after acquiring an additional 500 shares during the period. Root Financial Partners LLC increased its stake in Annaly Capital Management by 585.6% during the 1st quarter. Root Financial Partners LLC now owns 1,330 shares of the real estate investment trust’s stock valued at $28,000 after purchasing an additional 1,136 shares in the last quarter. Mcguire Capital Advisors Inc. bought a new position in Annaly Capital Management in the 4th quarter valued at approximately $31,000. TD Private Client Wealth LLC grew its stake in shares of Annaly Capital Management by 361.3% in the fourth quarter. TD Private Client Wealth LLC now owns 1,504 shares of the real estate investment trust’s stock worth $34,000 after acquiring an additional 1,178 shares during the period. Finally, Markowski Investments bought a new position in Annaly Capital Management in the second quarter valued at about $37,000. Institutional investors own 51.56% of the company’s stock.

Annaly Capital Management Trading Down 2.8%

Shares of NYSE NLY opened at $21.99 on Friday. Annaly Capital Management has a 1-year low of $20.00 and a 1-year high of $24.52. The firm’s 50-day moving average price is $22.90 and its 200-day moving average price is $22.37. The firm has a market capitalization of $16.57 billion, a P/E ratio of 5.51, a P/E/G ratio of 1.78 and a beta of 1.16.

Annaly Capital Management (NYSE:NLY) last released its quarterly earnings results on Tuesday, July 21st. The real estate investment trust reported $0.79 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.75 by $0.04. Annaly Capital Management had a return on equity of 16.00% and a net margin of 43.66%.The business had revenue of $1.82 billion during the quarter, compared to the consensus estimate of $639.80 million. Equities research analysts forecast that Annaly Capital Management will post 3.09 EPS for the current year.

Annaly Capital Management Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 30th. Investors of record on Wednesday, September 30th will be given a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a dividend yield of 13.6%. The ex-dividend date is Wednesday, September 30th. Annaly Capital Management’s dividend payout ratio (DPR) is 75.19%.

Key Annaly Capital Management News

Here are the key news stories impacting Annaly Capital Management this week:

• Positive Sentiment: Quarterly dividend maintained: Annaly declared a third-quarter common-stock dividend of $0.75 per share, payable October 30 to shareholders of record September 30. The annualized payout implies a yield of approximately 13.3%, supporting the stock’s income-investment appeal. Annaly third-quarter dividend announcement
• Neutral Sentiment: Preferred-share valuation concern: An analysis said Annaly’s NLY-J preferred shares offer a fixed 8.63% stripped yield and call protection through September 2030, but trade above the analyst’s valuation range. This primarily affects the preferred security rather than NLY common shares, though it highlights valuation sensitivity across Annaly’s capital structure. Annaly preferred-share valuation analysis
• Negative Sentiment: Bearish options activity increased: Traders purchased 10,591 put options, about 42% above the average daily volume of 7,442 contracts. The elevated put activity can signal increased hedging or expectations for additional downside, potentially adding pressure to NLY.
• Negative Sentiment: Underperformed the broader market: Annaly finished the latest session at $22, declining more than the general market. The reports characterize the move as a relative-performance issue, without citing a specific earnings, dividend, or company announcement that would explain a major fundamental deterioration. Annaly market-performance analysis

Wall Street Analysts Forecast Growth

A number of brokerages have recently weighed in on NLY. Piper Sandler lifted their price target on shares of Annaly Capital Management from $24.50 to $25.00 and gave the stock an “overweight” rating in a research report on Thursday, July 2nd. Royal Bank Of Canada reaffirmed an “outperform” rating and issued a $25.00 target price on shares of Annaly Capital Management in a research report on Wednesday, June 3rd. Wells Fargo & Company decreased their target price on Annaly Capital Management from $25.00 to $24.00 and set an “overweight” rating on the stock in a report on Thursday, July 23rd. JPMorgan Chase & Co. cut their price objective on shares of Annaly Capital Management from $26.00 to $24.00 and set an “overweight” rating for the company in a research report on Friday, July 24th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Annaly Capital Management in a research report on Friday, July 10th. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $24.33.

About Annaly Capital Management

Annaly Capital Management, Inc is a Maryland-based mortgage real estate investment trust that invests in and manages a portfolio of mortgage-related assets. The company’s primary business is providing capital to the U.S. housing market through investments in agency mortgage-backed securities, which are guaranteed by Fannie Mae, Freddie Mac or Ginnie Mae.

In addition to agency securities, Annaly invests in residential credit assets and mortgage servicing rights. These investments provide exposure to different segments of the residential mortgage market, while the company uses financing, hedging and portfolio management strategies to manage interest-rate and other market risks.

Founded in 1996, Annaly primarily operates in the United States and is internally managed.