Annaly Capital posts Q4 net income of $1.40 per share

Overview

• Capital manager's Q4 GAAP net income was $1.40 per share

• Earnings available for distribution in Q4 was $0.74 per share

• Company's Agency portfolio increased by 6% in Q4

Outlook

• Company expects its platform to provide enhanced risk-adjusted returns

Result Drivers

• AGENCY PORTFOLIO GROWTH - Annaly's Agency portfolio increased by 6%, driven by investments in higher coupon securities and Agency CMBS

• RESIDENTIAL CREDIT EXPANSION - Residential Credit portfolio rose 16% due to record correspondent channel activity

• MSR PORTFOLIO INCREASE - MSR portfolio grew by 8%, reflecting strategic investments in mortgage servicing rights

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the specialized reits peer group is "buy"

• Wall Street's median 12-month price target for Annaly Capital Management Inc is $23.13, about 5.1% below its January 27 closing price of $24.36

• The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nBw308NRqa

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