WallStSmart

Angel Oak Mortgage Inc (AOMR)vsAnnaly Capital Management, Inc. (NLY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Annaly Capital Management, Inc. generates 9130% more annual revenue ($3.25B vs $35.26M). NLY leads profitability with a 90.7% profit margin vs 45.7%. NLY trades at a lower P/E of 5.6x. NLY earns a higher WallStSmart Score of 77/100 (B+).

AOMR

Hold

49

out of 100

Grade: D+

Growth: 2.0Profit: 7.0Value: 5.0Quality: 3.5
Piotroski: 5/9Altman Z: 0.10

NLY

Strong Buy

77

out of 100

Grade: B+

Growth: 9.3Profit: 8.0Value: 5.3Quality: 2.5
Piotroski: 3/9Altman Z: -0.56
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AOMRSignificantly Overvalued (-22.5%)

Margin of Safety

-22.5%

Fair Value

$7.28

Current Price

$8.93

$1.65 premium

UndervaluedFair: $7.28Overvalued
NLYOvervalued (-8.7%)

Margin of Safety

-8.7%

Fair Value

$20.98

Current Price

$23.33

$2.35 premium

UndervaluedFair: $20.98Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AOMR4 strengths · Avg: 9.5/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Profit MarginProfitability
45.7%10/10

Keeps 46 of every $100 in revenue as profit

Operating MarginProfitability
334.9%10/10

Strong operational efficiency at 334.9%

P/E RatioValuation
14.0x8/10

Attractively priced relative to earnings

NLY6 strengths · Avg: 10.0/10
P/E RatioValuation
5.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
90.7%10/10

Keeps 91 of every $100 in revenue as profit

Operating MarginProfitability
91.6%10/10

Strong operational efficiency at 91.6%

Revenue GrowthGrowth
479.4%10/10

Revenue surging 479.4% year-over-year

EPS GrowthGrowth
3426.0%10/10

Earnings expanding 3426.0% YoY

Areas to Watch

AOMR4 concerns · Avg: 2.8/10
Market CapQuality
$227.22M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.3%3/10

ROE of 6.3% — below average capital efficiency

Debt/EquityHealth
1.933/10

Elevated debt levels

Revenue GrowthGrowth
-60.6%2/10

Revenue declined 60.6%

NLY4 concerns · Avg: 2.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
32.032/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-0.562/10

Distress zone — elevated risk

Debt/EquityHealth
7.381/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : AOMR

The strongest argument for AOMR centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 45.7% and operating margin at 334.9%.

Bull Case : NLY

The strongest argument for NLY centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 90.7% and operating margin at 91.6%. Revenue growth of 479.4% demonstrates continued momentum.

Bear Case : AOMR

The primary concerns for AOMR are Market Cap, Return on Equity, Debt/Equity. Debt-to-equity of 1.93 is elevated, increasing financial risk.

Bear Case : NLY

The primary concerns for NLY are Piotroski F-Score, PEG Ratio, Altman Z-Score. Debt-to-equity of 7.38 is elevated, increasing financial risk.

Key Dynamics to Monitor

AOMR profiles as a declining stock while NLY is a growth play — different risk/reward profiles.

NLY carries more volatility with a beta of 1.24 — expect wider price swings.

NLY is growing revenue faster at 479.4% — sustainability is the question.

NLY generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

NLY scores higher overall (77/100 vs 49/100), backed by strong 90.7% margins and 479.4% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Angel Oak Mortgage Inc

REAL ESTATE · REIT - MORTGAGE · USA

Angel Oak Mortgage Inc. (AOMR) is a prominent player in the residential mortgage sector, primarily focused on the origination and servicing of non-qualified mortgage (non-QM) loans tailored to meet the needs of a varied borrower demographic. The company utilizes cutting-edge technology and data analytics to bolster operational efficiency and manage risk effectively, setting it apart in a competitive landscape. With a flexible distribution strategy that integrates direct lending and broker partnerships, Angel Oak adeptly adapts to market fluctuations and consumer demands. Committed to innovation and sustainable growth, AOMR presents a strong investment opportunity for institutional investors seeking attractive returns within the housing finance market.

Annaly Capital Management, Inc.

REAL ESTATE · REIT - MORTGAGE · USA

Annaly Capital Management, Inc., a diversified capital manager, invests in and finances residential and commercial assets. The company is headquartered in New York, New York.

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