MFAO
MFA Financial, Inc. 9.000% Senior Notes
REIT - Mortgage
Market Cap$2.56B
5Y Perf.-0.3%
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Stock Comparison
MFAO vs NLY
Revenue, margins, valuation, and 5-year total return — side by side.
NLY
Annaly Capital Management, Inc.
REIT - Mortgage
Market Cap$16.08B
5Y Perf.+19.5%
MFAO vs NLY — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | MFAO | NLY |
|---|---|---|
| Industry | REIT - Mortgage | REIT - Mortgage |
| Market Cap | $2.56B | $16.08B |
| Revenue (TTM) | $650M | $6.70B |
| Net Income (TTM) | $135M | $2.03B |
| Gross Margin | 59.3% | 99.2% |
| Operating Margin | 41.0% | 102.6% |
| Forward P/E | 18.4x | 7.5x |
| Total Debt | $10.99B | $111.86B |
| Cash & Equiv. | $213M | $2.04B |
MFAO vs NLY — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
MFAO
NLY
| Stock | Apr 24 | May 26 | Return |
|---|---|---|---|
| MFA Financial, Inc.… (MFAO) | 100 | 99.7 | -0.3% |
| Annaly Capital Mana… (NLY) | 100 | 119.5 | +19.5% |
Price return only. Dividends and distributions are not included.
Quick Verdict: MFAO vs NLY
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: NLY leads in 5 of 7 categories, making it the strongest pick for valuation and capital efficiency and profitability and margin quality. MFA Financial, Inc. 9.000% Senior Notes is the stronger pick specifically for growth and revenue expansion and capital preservation and lower volatility. As sector peers, any of these can serve as alternatives in the same allocation.
MFAO
MFA Financial, Inc. 9.000% Senior Notes
The Real Estate Income Play
MFAO is the clearest fit if your priority is income & stability and growth exposure.
- Dividend streak 1 yrs, beta 0.60, yield 7.1%
- Rev growth 213.0%, EPS growth 104.9%
- Lower volatility, beta 0.60, current ratio 2.18x
Best for: income & stability and growth exposure
NLY
Annaly Capital Management, Inc.
The Real Estate Income Play
NLY carries the broadest edge in this set and is the clearest fit for long-term compounding.
- 35.5% 10Y total return vs MFAO's 18.8%
- Lower P/E (7.5x vs 18.4x)
- 30.3% margin vs MFAO's 20.7%
Best for: long-term compounding
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | MFAO | 213.0% FFO/revenue growth vs NLY's 5.4% |
| Value | NLY | Lower P/E (7.5x vs 18.4x) |
| Quality / Margins | NLY | 30.3% margin vs MFAO's 20.7% |
| Stability / Safety | MFAO | Beta 0.60 vs NLY's 0.64, lower leverage |
| Dividends | NLY | 13.1% yield, 1-year raise streak, vs MFAO's 7.1% |
| Momentum (1Y) | NLY | +31.7% vs MFAO's +10.9% |
| Efficiency (ROA) | NLY | 1.7% ROA vs MFAO's 1.1%, ROIC 6.4% vs 4.4% |
MFAO vs NLY — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Segment breakdown not available.
FY 2021
MFAO vs NLY — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLNLYLAGGINGMFAO
MFAOMFA Financial, Inc. 9…
1leads
NLYAnnaly Capital Manage…
5leads
6 Total Categories
CATEGORYLEADERvs MFAOMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
NLY4/6
Valuation MetricsMultiples, price ratios, and targets
NLY5/5
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
NLY5/8
Total Returns1Y, 3Y, 5Y total returns with dividends
NLY4/6
Risk & VolatilityBeta, volatility, and downside exposure
MFAO2/2
Analyst OutlookRatings, price targets, and dividends
NLY1/1
Income & Cash Flow (Last 12 Months)
NLY leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
NLY is the larger business by revenue, generating $6.7B annually — 10.3x MFAO's $650M. NLY is the more profitable business, keeping 30.3% of every revenue dollar as net income compared to MFAO's 20.7%. On growth, MFAO holds the edge at +118.9% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | MFAOMFA Financial, In… | NLYAnnaly Capital Ma… |
|---|---|---|
| RevenueTrailing 12 months | $650M | $6.7B |
| EBITDAEarnings before interest/tax | $268M | $6.9B |
| Net IncomeAfter-tax profit | $135M | $2.0B |
| Free Cash FlowCash after capex | $91M | -$222M |
| Gross MarginGross profit ÷ Revenue | +59.3% | +99.2% |
| Operating MarginEBIT ÷ Revenue | +41.0% | +102.6% |
| Net MarginNet income ÷ Revenue | +20.7% | +30.3% |
| FCF MarginFCF ÷ Revenue | +14.0% | -3.3% |
| Rev. Growth (YoY)Latest quarter vs prior year | +118.9% | -8.4% |
| EPS Growth (YoY)Latest quarter vs prior year | -103.0% | +79.5% |
NLY leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
NLY leads this category, winning 5 of 5 comparable metrics.
Valuation Metrics
At 7.7x trailing earnings, NLY trades at a 49% valuation discount to MFAO's 15.0x P/E. On an enterprise value basis, NLY's 18.3x EV/EBITDA is more attractive than MFAO's 19.3x.
| Metric | MFAOMFA Financial, In… | NLYAnnaly Capital Ma… |
|---|---|---|
| Market CapShares × price | $2.6B | $16.1B |
| Enterprise ValueMkt cap + debt − cash | $13.3B | $125.9B |
| Trailing P/EPrice ÷ TTM EPS | 14.99x | 7.67x |
| Forward P/EPrice ÷ next-FY EPS est. | 18.36x | 7.46x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 19.33x | 18.32x |
| Price / SalesMarket cap ÷ Revenue | 2.92x | 2.40x |
| Price / BookPrice ÷ Book value/share | 1.45x | 0.89x |
| Price / FCFMarket cap ÷ FCF | 33.55x | — |
NLY leads this category, winning 5 of 5 comparable metrics.
Profitability & Efficiency
NLY leads this category, winning 5 of 8 comparable metrics.
Profitability & Efficiency
NLY delivers a 14.1% return on equity — every $100 of shareholder capital generates $14 in annual profit, vs $7 for MFAO. MFAO carries lower financial leverage with a 6.01x debt-to-equity ratio, signaling a more conservative balance sheet compared to NLY's 6.92x.
| Metric | MFAOMFA Financial, In… | NLYAnnaly Capital Ma… |
|---|---|---|
| ROE (TTM)Return on equity | +7.4% | +14.1% |
| ROA (TTM)Return on assets | +1.1% | +1.7% |
| ROICReturn on invested capital | +4.4% | +6.4% |
| ROCEReturn on capital employed | +5.8% | +19.7% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 5 |
| Debt / EquityFinancial leverage | 6.01x | 6.92x |
| Net DebtTotal debt minus cash | $10.8B | $109.8B |
| Cash & Equiv.Liquid assets | $213M | $2.0B |
| Total DebtShort + long-term debt | $11.0B | $111.9B |
| Interest CoverageEBIT ÷ Interest expense | 1.34x | 1.42x |
NLY leads this category, winning 5 of 8 comparable metrics.
Total Returns (Dividends Reinvested)
NLY leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in MFAO five years ago would be worth $11,880 today (with dividends reinvested), compared to $10,144 for NLY. Over the past 12 months, NLY leads with a +31.7% total return vs MFAO's +10.9%. The 3-year compound annual growth rate (CAGR) favors NLY at 17.0% vs MFAO's 5.9% — a key indicator of consistent wealth creation.
| Metric | MFAOMFA Financial, In… | NLYAnnaly Capital Ma… |
|---|---|---|
| YTD ReturnYear-to-date | +3.2% | +0.8% |
| 1-Year ReturnPast 12 months | +10.9% | +31.7% |
| 3-Year ReturnCumulative with dividends | +18.8% | +60.1% |
| 5-Year ReturnCumulative with dividends | +18.8% | +1.4% |
| 10-Year ReturnCumulative with dividends | +18.8% | +35.5% |
| CAGR (3Y)Annualised 3-year return | +5.9% | +17.0% |
NLY leads this category, winning 4 of 6 comparable metrics.
Risk & Volatility
MFAO leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
MFAO is the less volatile stock with a 0.60 beta — it tends to amplify market swings less than NLY's 0.64 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. MFAO currently trades 97.8% from its 52-week high vs NLY's 91.3% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | MFAOMFA Financial, In… | NLYAnnaly Capital Ma… |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.60x | 0.64x |
| 52-Week HighHighest price in past year | $25.75 | $24.52 |
| 52-Week LowLowest price in past year | $8.52 | $18.43 |
| % of 52W HighCurrent price vs 52-week peak | +97.8% | +91.3% |
| RSI (14)Momentum oscillator 0–100 | 60.6 | 52.7 |
| Avg Volume (50D)Average daily shares traded | 21K | 7.0M |
MFAO leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
NLY leads this category, winning 1 of 1 comparable metric.
Analyst Outlook
For income investors, NLY offers the higher dividend yield at 13.11% vs MFAO's 7.11%.
| Metric | MFAOMFA Financial, In… | NLYAnnaly Capital Ma… |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | — | Buy |
| Price TargetConsensus 12-month target | — | $24.50 |
| # AnalystsCovering analysts | — | 28 |
| Dividend YieldAnnual dividend ÷ price | +7.1% | +13.1% |
| Dividend StreakConsecutive years of raises | 1 | 1 |
| Dividend / ShareAnnual DPS | $1.79 | $2.94 |
| Buyback YieldShare repurchases ÷ mkt cap | +0.6% | +0.1% |
NLY leads this category, winning 1 of 1 comparable metric.
Key Takeaway
NLY leads in 5 of 6 categories (Income & Cash Flow, Valuation Metrics). MFAO leads in 1 (Risk & Volatility).
Best OverallAnnaly Capital Management, … (NLY)Leads 5 of 6 categories
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MFAO vs NLY: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is MFAO or NLY a better buy right now?
For growth investors, MFA Financial, Inc.
9. 000% Senior Notes (MFAO) is the stronger pick with 213. 0% revenue growth year-over-year, versus 5. 4% for Annaly Capital Management, Inc. (NLY). Annaly Capital Management, Inc. (NLY) offers the better valuation at 7. 7x trailing P/E (7. 5x forward), making it the more compelling value choice. Analysts rate Annaly Capital Management, Inc. (NLY) a "Buy" — based on 28 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — MFAO or NLY?
On trailing P/E, Annaly Capital Management, Inc.
(NLY) is the cheapest at 7. 7x versus MFA Financial, Inc. 9. 000% Senior Notes at 15. 0x. On forward P/E, Annaly Capital Management, Inc. is actually cheaper at 7. 5x.
03Which is the better long-term investment — MFAO or NLY?
Over the past 5 years, MFA Financial, Inc.
9. 000% Senior Notes (MFAO) delivered a total return of +18. 8%, compared to +1. 4% for Annaly Capital Management, Inc. (NLY). Over 10 years, the gap is even starker: NLY returned +35. 5% versus MFAO's +18. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — MFAO or NLY?
By beta (market sensitivity over 5 years), MFA Financial, Inc.
9. 000% Senior Notes (MFAO) is the lower-risk stock at 0. 60β versus Annaly Capital Management, Inc. 's 0. 64β — meaning NLY is approximately 7% more volatile than MFAO relative to the S&P 500. On balance sheet safety, MFA Financial, Inc. 9. 000% Senior Notes (MFAO) carries a lower debt/equity ratio of 6% versus 7% for Annaly Capital Management, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — MFAO or NLY?
By revenue growth (latest reported year), MFA Financial, Inc.
9. 000% Senior Notes (MFAO) is pulling ahead at 213. 0% versus 5. 4% for Annaly Capital Management, Inc. (NLY). On earnings-per-share growth, the picture is similar: MFA Financial, Inc. 9. 000% Senior Notes grew EPS 104. 9% year-over-year, compared to 80. 2% for Annaly Capital Management, Inc.. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — MFAO or NLY?
Annaly Capital Management, Inc.
(NLY) is the more profitable company, earning 30. 3% net margin versus 20. 2% for MFA Financial, Inc. 9. 000% Senior Notes — meaning it keeps 30. 3% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: NLY leads at 102. 6% versus 78. 8% for MFAO. At the gross margin level — before operating expenses — NLY leads at 99. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is MFAO or NLY more undervalued right now?
On forward earnings alone, Annaly Capital Management, Inc.
(NLY) trades at 7. 5x forward P/E versus 18. 4x for MFA Financial, Inc. 9. 000% Senior Notes — 10. 9x cheaper on a one-year earnings basis.
08Which pays a better dividend — MFAO or NLY?
All stocks in this comparison pay dividends.
Annaly Capital Management, Inc. (NLY) offers the highest yield at 13. 1%, versus 7. 1% for MFA Financial, Inc. 9. 000% Senior Notes (MFAO).
09Is MFAO or NLY better for a retirement portfolio?
For long-horizon retirement investors, MFA Financial, Inc.
9. 000% Senior Notes (MFAO) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 60), 7. 1% yield). Both have compounded well over 10 years (MFAO: +18. 8%, NLY: +35. 5%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between MFAO and NLY?
Both stocks operate in the Real Estate sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: MFAO is a small-cap high-growth stock; NLY is a mid-cap deep-value stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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Revenue Growth>
%
(MFAO: 118.9% · NLY: -8.4%)Net Margin>
%
(MFAO: 20.7% · NLY: 30.3%)P/E Ratio<
x
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