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INVH vs NLY

INVH
Invitation Homes Inc.
NEUTRAL
Price
$28.14
Market Cap
$16.87B
Sector
Real Estate
AI Confidence
85%
NLY
Annaly Capital Management, Inc.
NEUTRAL
Price
$22.90
Market Cap
$16.78B
Sector
Real Estate
AI Confidence
85%

Valuation

P/E Ratio
INVH
29.31
NLY
7.39
Forward P/E
INVH
40.14
NLY
7.69
P/B Ratio
INVH
1.8
NLY
1.16
P/S Ratio
INVH
6.21
NLY
6.71
EV/EBITDA
INVH
17.09
NLY
--

Profitability

Gross Margin
INVH
58.25%
NLY
97.49%
Operating Margin
INVH
27.0%
NLY
81.0%
Profit Margin
INVH
21.63%
NLY
87.39%
ROE
INVH
6.09%
NLY
15.04%
ROA
INVH
2.49%
NLY
1.82%

Growth

Revenue Growth
INVH
4.3%
NLY
48.8%
Earnings Growth
INVH
2.4%
NLY
122.5%

Financial Health

Debt/Equity
INVH
0.88
NLY
7.33
Current Ratio
INVH
2.42
NLY
17.57
Quick Ratio
INVH
0.85
NLY
17.57

Dividends

Dividend Yield
INVH
4.26%
NLY
12.23%
Payout Ratio
INVH
121.88%
NLY
90.32%

AI Verdict

INVH NEUTRAL

INVH exhibits strong operational health with a Piotroski F-Score of 7/9, indicating a robust financial foundation. However, the stock is significantly overvalued, trading at $28.14 against a Graham Number of $18.36 and an Intrinsic Value of $10.18. A critical concern is the dividend payout ratio of 121.88%, which is unsustainable in the long term. While analyst sentiment remains bullish, the combination of sluggish growth (2.4% earnings growth) and a bearish technical trend (0/100) suggests limited immediate upside.

Strengths
Strong Piotroski F-Score (7/9) indicating high financial health
Healthy liquidity with a Current Ratio of 2.42
Manageable Debt/Equity ratio (0.88) relative to REIT sector averages
Risks
Unsustainable dividend payout ratio of 121.88%
Severe overvaluation indicated by a PEG ratio of 13.14
Stagnant growth metrics (Revenue growth 4.3%, Earnings growth 2.4%)
NLY NEUTRAL

NLY presents a classic 'value trap' profile, characterized by a very weak Piotroski F-Score of 2/9 and a high Debt/Equity ratio of 7.33. While the stock trades significantly below its Graham Number ($37.18) and Intrinsic Value ($91.45), the fundamental health is deteriorating. Explosive recent earnings growth is offset by a prohibitive PEG ratio of 32.03 and aggressive insider selling by the CEO, CFO, and President. The high dividend yield is attractive but precarious given the 90.32% payout ratio and poor health metrics.

Strengths
Significant undervaluation relative to Graham Number ($37.18)
Strong recent YoY earnings growth of 122.50%
High dividend yield of 12.23% providing immediate income
Risks
Critical financial health weakness (Piotroski F-Score: 2/9)
Extreme leverage with a Debt/Equity ratio of 7.33
Strong bearish insider sentiment with C-suite executives selling shares

Compare Another Pair

INVH vs NLY: Head-to-Head Comparison

This page compares Invitation Homes Inc. (INVH) and Annaly Capital Management, Inc. (NLY) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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