
Annaly Capital (NLY) Stock Forecast & Price Target
Annaly Capital (NLY) Analyst Ratings
Bulls say
Annaly Capital Management has demonstrated robust growth in its core agency portfolio, which increased by 10% to $87.3 billion, making up 64% of its capital and reflecting stable average coupon positioning at 5.03%. Additionally, the residential credit portfolio saw a 4% rise to $6.9 billion, bolstered by significant correspondent loan additions and a quarterly lock volume of $6.2 billion, up 17.7% quarter-over-quarter. The company's total portfolio assets expanded by $8.3 billion to $97.8 billion, with a strengthened liquidity position of $5.9 billion, positioning it well for future leverage growth and an expanded residential credit footprint.
Bears say
The financial outlook for Annaly Capital Management is negatively impacted by the potential decline in long-term interest rates, which could increase mortgage refinancing levels and consequently elevate MBS pre-payments, thus harming earnings through premium amortization and reinvestment risk. Additionally, fluctuations in the Federal Reserve's agency MBS purchase pace could adversely affect agency MBS asset prices and overall liquidity in agency mortgage markets. Furthermore, investments in credit-oriented assets carry inherent risks of potential credit losses, particularly amid uncertain regulatory changes regarding government-sponsored enterprises (GSEs), which could further impair asset quality and overall financial performance.
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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