NLY vs O

For growth investors, Realty Income Corporation (O) is the stronger pick with 9.

1% 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.

On trailing P/E, Annaly Capital Management, Inc.

(NLY) is the cheapest at 7. 7x versus Realty Income Corporation at 54. 3x. On forward P/E, Annaly Capital Management, Inc. is actually cheaper at 7. 5x.

Over the past 5 years, Realty Income Corporation (O) delivered a total return of +21.

3%, compared to +2. 2% for Annaly Capital Management, Inc. (NLY). Over 10 years, the gap is even starker: O returned +51. 8% versus NLY's +39. 3%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Realty Income Corporation (O) is the lower-risk stock at 0.

09β versus Annaly Capital Management, Inc. 's 0. 64β — meaning NLY is approximately 609% more volatile than O relative to the S&P 500.

By revenue growth (latest reported year), Realty Income Corporation (O) is pulling ahead at 9.

1% versus 5. 4% for Annaly Capital Management, Inc. (NLY). On earnings-per-share growth, the picture is similar: Annaly Capital Management, Inc. grew EPS 80. 2% year-over-year, compared to 19. 4% for Realty Income Corporation. Over a 3-year CAGR, O leads at 19. 8% annualised revenue growth. 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.

Annaly Capital Management, Inc.

(NLY) is the more profitable company, earning 30. 3% net margin versus 18. 4% for Realty Income Corporation — 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 28. 3% for O. 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.

On forward earnings alone, Annaly Capital Management, Inc.

(NLY) trades at 7. 5x forward P/E versus 38. 2x for Realty Income Corporation — 30. 7x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for NLY: 9. 5% to $24. 50.

In this comparison, NLY (13.

1% yield) pays a dividend. O does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Annaly Capital Management, Inc.

(NLY) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 64), 13. 1% yield). Both have compounded well over 10 years (NLY: +39. 3%, O: +51. 8%), 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.

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: NLY is a mid-cap deep-value stock; O is a mid-cap quality compounder stock. NLY pays a dividend while O does not, making them suitable for different income and tax situations. 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.