WallStSmart

KKR Real Estate Finance Trust Inc (KREF)vsAnnaly Capital Management, Inc. (NLY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Annaly Capital Management, Inc. generates 14932% more annual revenue ($2.38B vs $15.84M). NLY leads profitability with a 85.1% profit margin vs -297.0%. KREF appears more attractively valued with a PEG of 5.13. NLY earns a higher WallStSmart Score of 75/100 (B).

KREF

Hold

48

out of 100

Grade: D+

Growth: 5.3Profit: 4.0Value: 4.0Quality: 2.5
Piotroski: 2/9Altman Z: 0.20

NLY

Strong Buy

75

out of 100

Grade: B

Growth: 9.3Profit: 7.5Value: 7.3Quality: 2.5
Piotroski: 3/9Altman Z: -0.56
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for KREF.

NLYUndervalued (+83.3%)

Margin of Safety

+83.3%

Fair Value

$136.66

Current Price

$21.23

$115.42 discount

UndervaluedFair: $136.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KREF3 strengths · Avg: 10.0/10
Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Operating MarginProfitability
246.3%10/10

Strong operational efficiency at 246.3%

Revenue GrowthGrowth
245.1%10/10

Revenue surging 245.1% year-over-year

NLY6 strengths · Avg: 10.0/10
P/E RatioValuation
7.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
85.1%10/10

Keeps 85 of every $100 in revenue as profit

Operating MarginProfitability
93.7%10/10

Strong operational efficiency at 93.7%

Revenue GrowthGrowth
113.9%10/10

Revenue surging 113.9% year-over-year

EPS GrowthGrowth
81.1%10/10

Earnings expanding 81.1% YoY

Areas to Watch

KREF4 concerns · Avg: 2.5/10
Market CapQuality
$419.72M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
5.132/10

Expensive relative to growth rate

Return on EquityProfitability
-3.9%2/10

ROE of -3.9% — below average capital efficiency

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
6.951/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : KREF

The strongest argument for KREF centers on Price/Book, Operating Margin, Revenue Growth. Revenue growth of 245.1% demonstrates continued momentum.

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 : KREF

The primary concerns for KREF are Market Cap, Piotroski F-Score, PEG Ratio. Debt-to-equity of 4.00 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 6.95 is elevated, increasing financial risk.

Key Dynamics to Monitor

KREF profiles as a hypergrowth stock while NLY is a growth play — different risk/reward profiles.

NLY carries more volatility with a beta of 1.30 — expect wider price swings.

KREF is growing revenue faster at 245.1% — sustainability is the question.

NLY generates stronger free cash flow (472M), providing more financial flexibility.

Bottom Line

NLY scores higher overall (75/100 vs 48/100), backed by strong 85.1% margins and 113.9% 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.

KKR Real Estate Finance Trust Inc

REAL ESTATE · REIT - MORTGAGE · USA

KKR Real Estate Finance Trust Inc., a mortgage real estate investment trust, focuses primarily on originating and acquiring senior loans secured by commercial real estate (CRE) assets. The company is headquartered in New York, New York.

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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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