Better High-Yield Financial Stock: AGNC Investment vs. Annaly Capital
Key takeaways
- NLY ^GSPC AGNC Dividend investors often start their search for stocks by looking at dividend yields.
- For reference, the S&P 500 index (SNPINDEX: ^GSPC) is yielding roughly 1.1% today.
- Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need.
NLY ^GSPC AGNC Dividend investors often start their search for stocks by looking at dividend yields. That s a logical move given their income focus, but there s a risk that yield becomes more important than other factors that can also have a material impact on an investor s long-term results. Annaly Capital (NYSE: NLY) and AGNC Investment (NASDAQ: AGNC), with their huge double-digit yields, need extra careful vetting.
For reference, the S&P 500 index (SNPINDEX: ^GSPC) is yielding roughly 1.1% today. The average financial stock yields 1.5%. The average real estate investment trust (REIT) yields 3.6%. Mortgage REITs Annaly and AGNC yield 12.9% and 13.9%, respectively. Here are some key things to consider before buying either of these two mortgage REITs, and why you might prefer one over the other.
Will AI create the world s first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »