WallStSmart

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

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Annaly Capital Management, Inc. generates 3805% more annual revenue ($2.38B vs $60.99M). NLY leads profitability with a 85.1% profit margin vs 72.2%. AOMR trades at a lower P/E of 4.5x. NLY earns a higher WallStSmart Score of 75/100 (B).

AOMR

Buy

57

out of 100

Grade: C

Growth: 2.0Profit: 8.0Value: 7.7Quality: 5.0

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

AOMRUndervalued (+27.1%)

Margin of Safety

+27.1%

Fair Value

$12.24

Current Price

$8.31

$3.93 discount

UndervaluedFair: $12.24Overvalued
NLYUndervalued (+83.2%)

Margin of Safety

+83.2%

Fair Value

$135.72

Current Price

$21.41

$114.31 discount

UndervaluedFair: $135.72Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AOMR4 strengths · Avg: 10.0/10
P/E RatioValuation
4.5x10/10

Attractively priced relative to earnings

Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Profit MarginProfitability
72.2%10/10

Keeps 72 of every $100 in revenue as profit

Operating MarginProfitability
69.1%10/10

Strong operational efficiency at 69.1%

NLY6 strengths · Avg: 10.0/10
P/E RatioValuation
7.3x10/10

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

AOMR3 concerns · Avg: 2.3/10
Market CapQuality
$201.81M3/10

Smaller company, higher risk/reward

Revenue GrowthGrowth
-60.6%2/10

Revenue declined 60.6%

EPS GrowthGrowth
-64.3%2/10

Earnings declined 64.3%

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 : AOMR

The strongest argument for AOMR centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 72.2% and operating margin at 69.1%.

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 : AOMR

The primary concerns for AOMR are Market Cap, Revenue Growth, EPS Growth.

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

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

NLY carries more volatility with a beta of 1.30 — 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 57/100), backed by strong 85.1% margins and 113.9% revenue growth. AOMR offers better value entry with a 27.1% margin of safety. 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.

Angel Oak Mortgage Inc

REAL ESTATE · REIT - MORTGAGE · USA

Angel Oak Mortgage Inc. is a prominent player in the residential mortgage industry, focusing on the origination and servicing of non-qualified mortgage (non-QM) loans that cater to a diverse range of borrowers. The company distinguishes itself through its commitment to innovation, utilizing cutting-edge technology and data analytics to enhance operational efficiency and manage risk effectively. With a robust distribution strategy encompassing direct lending and a network of broker partnerships, Angel Oak is well-positioned to capitalize on evolving market dynamics and consumer preferences. As an adaptive leader in housing finance, the company is geared toward sustainable growth while delivering attractive returns for institutional investors.

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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