AGNC vs. NLY: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AGNC and NLY, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AGNC’s market capitalization stands at 9.58 billion USD, while NLY’s is 11.79 billion USD, indicating their market valuations are broadly comparable.
With betas of 1.28 for AGNC and 1.30 for NLY, both stocks show similar sensitivity to overall market movements.
| Symbol | AGNC | NLY |
|---|---|---|
| Company Name | AGNC Investment Corp. | Annaly Capital Management, Inc. |
| Country | US | US |
| Sector | Real Estate | Real Estate |
| Industry | REIT - Mortgage | REIT - Mortgage |
| CEO | Peter J. Federico | David L. Finkelstein |
| Price | 9.39 USD | 19.49 USD |
| Market Cap | 9.58 billion USD | 11.79 billion USD |
| Beta | 1.28 | 1.30 |
| Exchange | NASDAQ | NYSE |
| IPO Date | May 15, 2008 | October 8, 1997 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AGNC and NLY by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AGNC
4.93%
REIT - Mortgage Industry
- Max
- 12.70%
- Q3
- 7.37%
- Median
- 5.39%
- Q1
- 2.17%
- Min
- -2.11%
AGNC’s Return on Equity of 4.93% is on par with the norm for the REIT - Mortgage industry, indicating its profitability relative to shareholder equity is typical for the sector.
NLY
5.39%
REIT - Mortgage Industry
- Max
- 12.70%
- Q3
- 7.37%
- Median
- 5.39%
- Q1
- 2.17%
- Min
- -2.11%
NLY’s Return on Equity of 5.39% is on par with the norm for the REIT - Mortgage industry, indicating its profitability relative to shareholder equity is typical for the sector.
Return on Invested Capital
AGNC
2.98%
REIT - Mortgage Industry
- Max
- 101.77%
- Q3
- 58.98%
- Median
- 12.80%
- Q1
- 0.05%
- Min
- -60.52%
Return on Invested Capital is often not a primary measure of capital efficiency in the REIT - Mortgage industry.
NLY
101.77%
REIT - Mortgage Industry
- Max
- 101.77%
- Q3
- 58.98%
- Median
- 12.80%
- Q1
- 0.05%
- Min
- -60.52%
Return on Invested Capital is often not a primary measure of capital efficiency in the REIT - Mortgage industry.
Net Profit Margin
AGNC
29.84%
REIT - Mortgage Industry
- Max
- 72.17%
- Q3
- 41.09%
- Median
- 13.11%
- Q1
- -0.02%
- Min
- -57.90%
AGNC’s Net Profit Margin of 29.84% is aligned with the median group of its peers in the REIT - Mortgage industry. This indicates its ability to convert revenue into profit is typical for the sector.
NLY
10.55%
REIT - Mortgage Industry
- Max
- 72.17%
- Q3
- 41.09%
- Median
- 13.11%
- Q1
- -0.02%
- Min
- -57.90%
NLY’s Net Profit Margin of 10.55% is aligned with the median group of its peers in the REIT - Mortgage industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
AGNC
148.75%
REIT - Mortgage Industry
- Max
- 148.75%
- Q3
- 52.15%
- Median
- 28.62%
- Q1
- -45.10%
- Min
- -135.41%
An Operating Profit Margin of 148.75% places AGNC in the upper quartile for the REIT - Mortgage industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
NLY
60.02%
REIT - Mortgage Industry
- Max
- 148.75%
- Q3
- 52.15%
- Median
- 28.62%
- Q1
- -45.10%
- Min
- -135.41%
An Operating Profit Margin of 60.02% places NLY in the upper quartile for the REIT - Mortgage industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | AGNC | NLY |
|---|---|---|
| Return on Equity (TTM) | 4.93% | 5.39% |
| Return on Assets (TTM) | 0.49% | 0.63% |
| Return on Invested Capital (TTM) | 2.98% | 101.77% |
| Net Profit Margin (TTM) | 29.84% | 10.55% |
| Operating Profit Margin (TTM) | 148.75% | 60.02% |
| Gross Profit Margin (TTM) | 37.08% | 34.39% |
Financial Strength
Current Ratio
AGNC
--
REIT - Mortgage Industry
- Max
- 20.03
- Q3
- 20.03
- Median
- 1.05
- Q1
- 0.07
- Min
- 0.03
For the REIT - Mortgage industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
NLY
--
REIT - Mortgage Industry
- Max
- 20.03
- Q3
- 20.03
- Median
- 1.05
- Q1
- 0.07
- Min
- 0.03
For the REIT - Mortgage industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
AGNC
8.30
REIT - Mortgage Industry
- Max
- 5.93
- Q3
- 4.11
- Median
- 3.19
- Q1
- 1.81
- Min
- 0.10
With a Debt-to-Equity Ratio of 8.30, AGNC operates with exceptionally high leverage compared to the REIT - Mortgage industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
NLY
1.88
REIT - Mortgage Industry
- Max
- 5.93
- Q3
- 4.11
- Median
- 3.19
- Q1
- 1.81
- Min
- 0.10
NLY’s Debt-to-Equity Ratio of 1.88 is typical for the REIT - Mortgage industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
AGNC
0.80
REIT - Mortgage Industry
- Max
- 1.07
- Q3
- 0.71
- Median
- 0.30
- Q1
- -0.21
- Min
- -0.35
AGNC’s Interest Coverage Ratio of 0.80 is a critical concern. A value below 1.0 means operating earnings are insufficient to cover interest expenses, indicating severe financial strain and high default risk.
NLY
0.82
REIT - Mortgage Industry
- Max
- 1.07
- Q3
- 0.71
- Median
- 0.30
- Q1
- -0.21
- Min
- -0.35
NLY’s Interest Coverage Ratio of 0.82 is a critical concern. A value below 1.0 means operating earnings are insufficient to cover interest expenses, indicating severe financial strain and high default risk.
Financial Strength at a Glance
| Symbol | AGNC | NLY |
|---|---|---|
| Current Ratio (TTM) | -- | -- |
| Quick Ratio (TTM) | -- | -- |
| Debt-to-Equity Ratio (TTM) | 8.30 | 1.88 |
| Debt-to-Asset Ratio (TTM) | 0.87 | 0.23 |
| Net Debt-to-EBITDA Ratio (TTM) | 31.44 | 5.80 |
| Interest Coverage Ratio (TTM) | 0.80 | 0.82 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AGNC and NLY. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AGNC
15.34%
REIT - Mortgage Industry
- Max
- 20.56%
- Q3
- 14.95%
- Median
- 12.50%
- Q1
- 10.34%
- Min
- 3.46%
With a Dividend Yield of 15.34%, AGNC offers a more attractive income stream than most of its peers in the REIT - Mortgage industry, signaling a strong commitment to shareholder returns.
NLY
13.85%
REIT - Mortgage Industry
- Max
- 20.56%
- Q3
- 14.95%
- Median
- 12.50%
- Q1
- 10.34%
- Min
- 3.46%
NLY’s Dividend Yield of 13.85% is consistent with its peers in the REIT - Mortgage industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
AGNC
281.28%
REIT - Mortgage Industry
- Max
- 1,680.28%
- Q3
- 262.99%
- Median
- 171.52%
- Q1
- 119.25%
- Min
- 83.21%
AGNC’s Dividend Payout Ratio of 281.28% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.
NLY
232.90%
REIT - Mortgage Industry
- Max
- 1,680.28%
- Q3
- 262.99%
- Median
- 171.52%
- Q1
- 119.25%
- Min
- 83.21%
NLY’s Dividend Payout Ratio of 232.90% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.
Dividend at a Glance
| Symbol | AGNC | NLY |
|---|---|---|
| Dividend Yield (TTM) | 15.33% | 13.85% |
| Dividend Payout Ratio (TTM) | 281.28% | 232.90% |
Valuation
Price-to-Earnings Ratio
AGNC
18.35
REIT - Mortgage Industry
- Max
- 23.03
- Q3
- 19.03
- Median
- 15.87
- Q1
- 8.43
- Min
- 5.35
AGNC’s P/E Ratio of 18.35 is within the middle range for the REIT - Mortgage industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
NLY
17.25
REIT - Mortgage Industry
- Max
- 23.03
- Q3
- 19.03
- Median
- 15.87
- Q1
- 8.43
- Min
- 5.35
NLY’s P/E Ratio of 17.25 is within the middle range for the REIT - Mortgage industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
AGNC
-7.01
REIT - Mortgage Industry
- Max
- 3.93
- Q3
- 3.21
- Median
- 1.58
- Q1
- 0.72
- Min
- 0.40
AGNC has a negative Forward PEG Ratio of -7.01. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.
NLY
13.03
REIT - Mortgage Industry
- Max
- 3.93
- Q3
- 3.21
- Median
- 1.58
- Q1
- 0.72
- Min
- 0.40
NLY’s Forward PEG Ratio of 13.03 is exceptionally high for the REIT - Mortgage industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.
Price-to-Sales Ratio
AGNC
6.08
REIT - Mortgage Industry
- Max
- 8.88
- Q3
- 5.48
- Median
- 3.94
- Q1
- 2.10
- Min
- 1.20
The P/S Ratio is often not a primary valuation tool in the REIT - Mortgage industry.
NLY
1.88
REIT - Mortgage Industry
- Max
- 8.88
- Q3
- 5.48
- Median
- 3.94
- Q1
- 2.10
- Min
- 1.20
The P/S Ratio is often not a primary valuation tool in the REIT - Mortgage industry.
Price-to-Book Ratio
AGNC
0.86
REIT - Mortgage Industry
- Max
- 1.07
- Q3
- 0.86
- Median
- 0.73
- Q1
- 0.54
- Min
- 0.21
AGNC’s P/B Ratio of 0.86 is within the conventional range for the REIT - Mortgage industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
NLY
0.88
REIT - Mortgage Industry
- Max
- 1.07
- Q3
- 0.86
- Median
- 0.73
- Q1
- 0.54
- Min
- 0.21
NLY’s P/B Ratio of 0.88 is in the upper tier for the REIT - Mortgage industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | AGNC | NLY |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 18.35 | 17.25 |
| Forward PEG Ratio (TTM) | -7.01 | 13.03 |
| Price-to-Sales Ratio (P/S, TTM) | 6.08 | 1.88 |
| Price-to-Book Ratio (P/B, TTM) | 0.86 | 0.88 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 37.14 | 14.99 |
| EV-to-EBITDA (TTM) | 35.13 | 8.63 |
| EV-to-Sales (TTM) | 57.93 | 5.72 |