
Annaly Capital (NLY) Stock Forecast & Price Target
Annaly Capital (NLY) Analyst Ratings
Bulls say
Annaly Capital Management's core agency portfolio exhibited significant growth, rising by 10% to $87.3 billion, now representing 64% of capital, while maintaining a stable average coupon positioning at 5.03%. The firm's total portfolio assets also increased by $8.3 billion to reach $97.8 billion, bolstered by a strong liquidity position of $5.9 billion. Additionally, the upward trajectory of the residential credit portfolio and favorable asset yields indicate a robust financial environment conducive to continued expansion and operational efficiency.
Bears say
Annaly Capital Management faces a negative outlook due to multiple concerns surrounding interest rate fluctuations and their impact on mortgage-backed securities (MBS). A potential decline in long-term interest rates could lead to higher mortgage refinancing levels, significantly increasing MBS prepayments, which would negatively affect earnings through premium amortization and reinvestment risk. Furthermore, uncertainty regarding the Federal Reserve's agency MBS purchase pace and the potential for Government-Sponsored Enterprise (GSE) reforms may adversely impact liquidity, asset quality, and the company's leveraged portfolio.
This aggregate rating is based on analysts' research of Annaly Capital and is not a guaranteed prediction by Public.com or investment advice.
Annaly Capital (NLY) Analyst Forecast & Price Prediction
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