Annaly Capital Management, Inc. (NLY)vsRithm Capital Corp. (RITM)
NLY
Annaly Capital Management, Inc.
$22.16
-0.24%
REAL ESTATE · Cap: $16.12B
RITM
Rithm Capital Corp.
$9.14
-0.44%
REAL ESTATE · Cap: $5.20B
Smart Verdict
WallStSmart Research — data-driven comparison
Rithm Capital Corp. generates 70% more annual revenue ($4.24B vs $2.50B). NLY leads profitability with a 87.4% profit margin vs 17.0%. NLY trades at a lower P/E of 7.1x. NLY earns a higher WallStSmart Score of 77/100 (B+).
NLY
Strong Buy77
out of 100
Grade: B+
RITM
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-37.8%
Fair Value
$16.55
Current Price
$22.16
$5.61 premium
Margin of Safety
+83.5%
Fair Value
$64.81
Current Price
$9.14
$55.67 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 87 of every $100 in revenue as profit
Strong operational efficiency at 81.0%
Revenue surging 48.8% year-over-year
Earnings expanding 122.5% YoY
Attractively priced relative to earnings
Reasonable price relative to book value
Revenue surging 64.6% year-over-year
Earnings expanding 72.2% YoY
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Weak financial health signals
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : NLY
The strongest argument for NLY centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 87.4% and operating margin at 81.0%. Revenue growth of 48.8% demonstrates continued momentum.
Bull Case : RITM
The strongest argument for RITM centers on P/E Ratio, Price/Book, Revenue Growth. Profitability is solid with margins at 17.0% and operating margin at 13.2%. Revenue growth of 64.6% demonstrates continued momentum.
Bear Case : NLY
The primary concerns for NLY are Piotroski F-Score, PEG Ratio, Free Cash Flow. Debt-to-equity of 7.18 is elevated, increasing financial risk.
Bear Case : RITM
The primary concerns for RITM are Piotroski F-Score, Altman Z-Score, Debt/Equity. Debt-to-equity of 4.62 is elevated, increasing financial risk.
Key Dynamics to Monitor
NLY carries more volatility with a beta of 1.25 — expect wider price swings.
RITM is growing revenue faster at 64.6% — sustainability is the question.
RITM generates stronger free cash flow (254M), providing more financial flexibility.
Monitor REIT - MORTGAGE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NLY scores higher overall (77/100 vs 69/100), backed by strong 87.4% margins and 48.8% revenue growth. RITM offers better value entry with a 83.5% margin of safety. Both earn "Strong Buy" and "Strong 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.
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 →Rithm Capital Corp.
REAL ESTATE · REIT - MORTGAGE · USA
Rhythm Capital Corp. The company is headquartered in New York, New York.
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