Annaly Capital (NLY) files a shelf registration for the possible offering of common and...

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Glen%20Moultrie Comments (5)
 
At $17.68 basis I'm in a deep hole in NLY. Should I bale or hold? G.
5 Feb, 05:23 PM Reply Like

Connermalrose Comments (96)
 
at 17.68 u gott in a little high butt with itt divvidends id sttick itt outt u should be evven witthin a year if not 6 months i wouldnt suggest buying here butt definattely hold and if itt gets intto tthe 13ish level buy a littttle more. also use tthe divvidend tto purchase more. i got att low tto mid 15 and wattched it run tto 17 but held. i expected it to go down when i bought. itt witth tthe idea tthe dividend will make up any differeance. also remember that when tthe. market is up and on a good run high dividend yielding stocks such as nly become less popular and people pull money outt. and that causes tthe price tto fall butt when u havve a downtrend or big down day people will run tto the assurance of high yeilding divvidend and securitty like nly
5 Feb, 06:26 PM Reply Like

Glen%20Moultrie Comments (5)
 
I'm an occasional investor.
At $17.68 basis I'm in a deep hole on NLY. Should I bale or stay? G
5 Feb, 05:25 PM Reply Like

mwarden Comments (23)
 
your cost basis has nothing to do with it, unless you are trying to strategically book losses or gains for tax purposes. personally, i still like NLY, but i have used the recent run-up to pare back my position about 20%.
5 Feb, 05:30 PM Reply Like

JLesinski Comments (135)
 
NLY isn't a good trading stock. Stick with it. Buy some down here at these levels, especially if it goes down. The model isn't broken, it will keep paying dividends. It's profitability like any other business and despite all the government meddling in the sector, there is an upside here.
5 Feb, 11:11 PM Reply Like

bill d Comments (1706)
 
Assume like most of us you bot for div.
6 Feb, 12:51 AM Reply Like

kmi Comments (3847)
 
Most important Glen is that your cost basis is way above book value. I would try to at least buy more to reduce cost basis to book, at least as a first effort. There are other things you can do to 'fix' the position, but if you start by getting your cost basis to book, then when NLY book value goes up, as it likely will in the event we have anything but very strong, very aggressive inflation, your position's value will likewise increase. While you wait you can collect the dividends.

At this time my perspective on mReits like NLY is that your maximum return/growth is limited by NLY's access to product but your downside is also limited in that inflation is nowhere to be seen in real terms. Further, because I expect economic growth to be weak overall, yields will help you get through the year. However, don't forget to be diversified to spread risk around.
6 Feb, 06:47 AM Reply Like

pstrizzi Comments (3)
 
I'm staying. NLY is an integral part of my dividend portfolio. It's been this low before and has bounced back. With the high dividends it pays these swings are tolerable. I'm still reinvesting dividends but for now I am not buying in with any new money.
5 Feb, 06:11 PM Reply Like

thebigbopper Comment (1)
 
It is my experience that a stock dips with any shelf registration, so I would bale unless you are a longer term investor who reinvests your dividends were a temporary dip can help reduce your cost basis.
5 Feb, 06:12 PM Reply Like

Harrytesto Comments (2)
 
If you look at NLY history since inception, it has risen steadily through the years and the current perturbation is relatively minor. I'm staying.
5 Feb, 06:17 PM Reply Like

Ralph208 Comments (6)
 
Last month I believe they were going to buy back stock anybody no what happen?
5 Feb, 06:23 PM Reply Like

JLesinski Comments (135)
 
It's just a shelf registration. I would be shocked if they actually offered at this point. It just doesn't make sense
5 Feb, 07:03 PM Reply Like

glf4mny Comments (92)
 
To Glen%20Moultrie:

Buy low, sell high. But if you didn't and unless you are needing to write off some losses against income, the dividend might offset.
5 Feb, 08:17 PM Reply Like

dlct2 Comments (3)
 
Because of the dividend it offers, re-investing is very attractive at this price. I'm staying for at least the duration of 2013.
6 Feb, 01:52 AM Reply Like

atoka Comment (1)
 
What is shelf registration.
6 Feb, 04:12 AM Reply Like

JLesinski Comments (135)
 
A shelf registration is just a notification for a future offering of some kind whether it be common stock, preferred, bonds, notes, warrants, etc. Companies like NLY raise money to buy additional MBS, etc. through secondary offerings. What they can do with this is store a block of stock to offer in the future, say 200 million shares. They can then deploy these shares to market much more quicker if they are sitting on a shelf registration than if they just went, "hey it's a great time to do a secondary. let's get the ball rolling." It allows them to act quicker and take advantage of market conditions.
6 Feb, 04:05 PM Reply Like

investing4me Comments (25)
 
JLesinki I hope you are right. Because, it makes absolutely no sense to me that 2 months ago they announced a 1.5 bil (10% outstanding share) buyback. And with the offer to buy CXS (which I also own & DRIP) in cash I am confused what is going on here. If I remember 3rd qtr conference call they said they had about 70 mill cash on hand.
6 Feb, 09:11 AM Reply Like

cdbenne Comment (1)
 
Would this be something they'd do in preparation for future acquisition using stock instead of cash?
6 Feb, 11:46 AM Reply Like

EllenC Comments (8)
 
I'm not reinvesting my NLY dividends. Is this a mistake. I'm a stock market rookie
6 Feb, 08:26 PM Reply Like

mwarden Comments (23)
 
No, I don't no why anyone would automatically reinvest in something like NLY. Take the cash and if you want to buy more with it, buy more as a conscious decision based on price, value, and risk.
7 Feb, 10:05 AM Reply Like

kahlerbob Comments (2)
 
Thanks, Jlesinki. I,m holding my NLY because if I sold, where else would I invest the money at a similar return?
7 Feb, 08:09 AM Reply Like

Connermalrose Comments (96)
 
well my stance is NLY is a hold, I dont wanna buy more at this point but i dont see many catalyst to shoot the stock lower. Also many people think u should stay out of the name, that being said conventional wisdom says i should be in. I personally wouldnt just automatically re-invest the dividend (DRIP) just because i think its better to save your money up and then buy in when u feel is attractive. I might however suggest a DRIP if the amount u have in the stock or portfolio is low and commisions on trades significantly effect performance.
I am long NLY and currently hold shares
7 Feb, 11:04 AM Reply Like

Floyd Brown Comments (47)
 
I like dividends & I like REITS I am not selling my REITS but looking for dividends in other stocks. I feel that I need a better mix.
10 Feb, 12:21 AM Reply Like