Why Annaly Capital Management Stock Lagged the Market Today
Thursday was an excellent trading session for many stocks, but Annaly Capital Management (NYSE: NLY) wasn't invited to the party. On a new price-target cut from an analyst, the mortgage REIT (mREIT) barely traded up in price, comparing unfavorably to the nearly 3% surge in the S&P 500 index.
The rain on Annaly's parade was caused by JPMorgan Chase prognosticator Richard Shane. Before market open on Thursday, Shane cut his price target on the stock to $20 from his previous $26. He's maintaining his overweight (i.e., buy) recommendation on the prominent mREIT, however.
The reasons for Shane's downward move weren't clear. Regardless, it should sound vaguely familiar to those tracking Annaly because on Monday, Credit Suisse analyst Douglas Harter did exactly the same. He, too, now pegs the stock as being worth $20 a share after previously having a value at $26. And like Shane, he's keeping his recommendation intact, although interestingly, Harter's was and is neutral.
Source Fool.com