HOOD vs. NLY: Robinhood Markets vs. Annaly Capital Management Stock Comparison

Company Profile

Robinhood Markets (HOOD) and Annaly Capital Management (NLY) both fall under the Financial Services industry group, but HOOD is classified in Capital Markets while NLY is classified in Mortgage Real Estate Investment Trusts (REITs).

Annaly Capital Management (NLY) has more than two decades of public-market history since October 8, 1997, whereas Robinhood Markets (HOOD) listed on July 29, 2021 and has a much shorter record to draw on.

Robinhood Markets (HOOD) is an ordinary operating company, while Annaly Capital Management (NLY) is a REIT — read its payout ratio and P/E alongside FFO (funds from operations) rather than comparing them directly to HOOD’s multiples.

Price Performance

Cumulative Growth

Trailing Returns

Calendar-Year Returns

Performance Metrics

Risk Profile

Drawdown History

Return Distribution

Risk Metrics

Robinhood Markets (HOOD) carries a highly aggressive beta of 2.52, indicating much higher sensitivity to broad-market moves, whereas Annaly Capital Management (NLY) is closer to market-like at 1.22 — a noticeable difference in market-sensitivity profile.

Risk-Adjusted Performance

Risk-Return Positioning

Risk-Adjusted Metrics

Profitability

Both Robinhood Markets (HOOD) at 21.45% and Annaly Capital Management (NLY) at 7.35% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.

Annaly Capital Management (NLY) at 80.27% keeps the most of each sales dollar — above its industry’s net margin range — and Robinhood Markets (HOOD) at 39.04% also retains a top-quartile share.

Annaly Capital Management (NLY) at 107.33% operates in the top operating margin quartile, ahead of Robinhood Markets (HOOD) at 48.10%, which runs around its industry’s norm.

Profitability Metrics

Growth

Both companies are growing quickly, but Annaly Capital Management (NLY) at 87.29% is the standout with revenue growth above its industry range; Robinhood Markets (HOOD) at 51.58% also sits in the top quartile.

Annaly Capital Management (NLY) at 80.25% sits in the top EPS growth quartile, while Robinhood Markets (HOOD) at 31.41% is closer to the peer norm — faster per-share earnings growth for NLY.

Growth Metrics

Financial Strength

current ratio doesn’t apply on either side: Robinhood Markets (HOOD) in Financial Services and Annaly Capital Management (NLY) in Financial Services both report balance sheets without a current/non-current split, so their short-term liquidity is better judged through regulatory and funding measures.

debt-to-equity ratio is set aside for both: Robinhood Markets (HOOD) in Financial Services and Annaly Capital Management (NLY) in Financial Services run businesses where balance-sheet leverage is part of the model, so capital-adequacy and funding measures are the better gauges of balance-sheet risk.

Financial Strength Metrics

Dividends

Robinhood Markets (HOOD) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Annaly Capital Management (NLY) reports a yield of 15.38%, ranking against industry peers normally.

Annaly Capital Management (NLY) reports payout ratio above 100% at 201.39%, meaning dividends exceeded current-period earnings; Robinhood Markets (HOOD) pays no dividend (payout 0.00%).

Dividend Metrics

Valuation

Annaly Capital Management (NLY) at 13.02 is near its industry’s usual P/E ratio, while Robinhood Markets (HOOD) at 37.29 sits in the richer quartile — HOOD needs stronger growth or earnings quality to justify the premium.

Investors are paying well above the peer range per dollar of sales for both Robinhood Markets (HOOD) at 14.34 and Annaly Capital Management (NLY) at 10.62 — each P/S ratio clears its industry’s benchmark range.

Annaly Capital Management (NLY) at 1.05 is valued about in line with its industry on P/B ratio, while Robinhood Markets (HOOD) at 7.29 carries an above-peer premium to book — HOOD is pricier on assets.

Valuation Metrics