2023-07-25 15:34:01 ET
Annaly Capital Management ( NYSE: NLY ) is expected to post a fourth consecutive decline in quarterly earnings, though it stands to exceed Wall Street expectations if history is any guide.
The mortgage REIT, slated to deliver Q2 earnings after Wednesday's close, is seen earning $0.74 per share, down from $0.81 in the prior quarter and from $1.20 in the year-earlier period, according to consensus estimates.
Even so, the company has a strong track record for topping profit expectations, having surprised to the upside in every quarter since December 2019. Analysts have lifted their EPS expectations by 2.1% over the last three months, but lowered them by 12.9% over the last six months.
In the runup to the release of its earnings report, NLY gained 1.2% in mid-afternoon trading, paring the year-to-date loss to 4% . The average SA analyst and the average sell-side analyst both rate the stock a Hold.
Rida Morwa , Investing Group Leader of 'High Dividend Opportunities,' last month laid out a Buy recommendation for NLY, describing the combination of its strong price relationship with U.S. Treasuries and its double-digit dividend yield as a great investment in the event of market downturns.
On the other side of the fence, Investing Group Leader Trapping Value reckoned the stock is a Sell as it lagged the broader market on price and total returns.
More on Annaly Capital Management:
- Archives of Annaly's financial statements (i.e., income statement, balance sheet, cash flow statement).
- Annaly Capital's Sector Comparative Metrics - Part 2 (Includes Q3-Q4 2023 Dividend Projection)
For further details see:
Annaly Capital Management earnings seen dipping for fourth straight time