Apollo Commercial Real Estate Finance Inc (ARI)vsAnnaly Capital Management, Inc. (NLY)
ARI
Apollo Commercial Real Estate Finance Inc
$10.63
+1.53%
REAL ESTATE · Cap: $1.48B
NLY
Annaly Capital Management, Inc.
$21.41
+1.57%
REAL ESTATE · Cap: $15.14B
Smart Verdict
WallStSmart Research — data-driven comparison
Annaly Capital Management, Inc. generates 788% more annual revenue ($2.38B vs $268.36M). NLY leads profitability with a 85.1% profit margin vs 47.2%. NLY appears more attractively valued with a PEG of 32.03. NLY earns a higher WallStSmart Score of 75/100 (B).
ARI
Buy54
out of 100
Grade: C-
NLY
Strong Buy75
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-93.8%
Fair Value
$5.51
Current Price
$10.63
$5.12 premium
Margin of Safety
+83.2%
Fair Value
$135.72
Current Price
$21.41
$114.31 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Keeps 47 of every $100 in revenue as profit
Strong operational efficiency at 38.6%
Attractively priced relative to earnings
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 85 of every $100 in revenue as profit
Strong operational efficiency at 93.7%
Revenue surging 113.9% year-over-year
Earnings expanding 81.1% YoY
Areas to Watch
Smaller company, higher risk/reward
ROE of 6.8% — below average capital efficiency
Expensive relative to growth rate
Revenue declined 130.0%
Weak financial health signals
Expensive relative to growth rate
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : ARI
The strongest argument for ARI centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 47.2% and operating margin at 38.6%.
Bull Case : NLY
The strongest argument for NLY centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 85.1% and operating margin at 93.7%. Revenue growth of 113.9% demonstrates continued momentum.
Bear Case : ARI
The primary concerns for ARI are Market Cap, Return on Equity, PEG Ratio.
Bear Case : NLY
The primary concerns for NLY are Piotroski F-Score, PEG Ratio, Altman Z-Score. Debt-to-equity of 6.95 is elevated, increasing financial risk.
Key Dynamics to Monitor
ARI profiles as a declining stock while NLY is a growth play — different risk/reward profiles.
ARI carries more volatility with a beta of 1.56 — expect wider price swings.
NLY is growing revenue faster at 113.9% — sustainability is the question.
NLY generates stronger free cash flow (472M), providing more financial flexibility.
Bottom Line
NLY scores higher overall (75/100 vs 54/100), backed by strong 85.1% margins and 113.9% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Apollo Commercial Real Estate Finance Inc
REAL ESTATE · REIT - MORTGAGE · USA
Apollo Commercial Real Estate Finance, Inc. is a real estate investment trust (REIT) that originates, acquires, invests, and manages commercial first mortgage loans, subordinated financings, and other real estate-related commercial debt investments in the United States. . The company is headquartered in New York, New York.
Visit Website →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.
Visit Website →Compare with Other REIT - MORTGAGE Stocks
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