5 Best Affordable Dividend Stocks to Buy

4. Annaly Capital Management, Inc. (NYSE: NLY)

Dividend Yield: 9.53%
Price as of May 26, 2021: $9.19
No. of Hedge Fund Holders: 15

Ranking 4th on the list of 10 best affordable dividend stocks to buy now is capital manager Annaly Capital Management, Inc. (NYSE: NLY). Annaly has had a yearly dividend yield of around 10% over the past two decades. The mortgage REIT has been paying quarterly dividends since 1998 with no suspension. The company has returned over $20 billion to its shareholders since its initial public offering (IPO). The New York-based firm is engaged in investing and financing residential and commercial properties. Annaly Capital Management, Inc. invests in federal government-backed agency assets, which have lower long-term yields than non-agency assets yet guarantees safety due to governmental protection. As of March 2021, the company’s portfolio holds total residential and commercial investments of $83 million.

The company has a market cap of $12.9 billion. The company’s net interest income in the first quarter of 2021 came in at $687.4 million, up from $51.6 million in the same period in 2020. Shares of NLY jumped 45% over the past twelve months. 

At the end of the first quarter of 2021, 15 hedge funds in the database of Insider Monkey held stakes worth $140 million in Annaly Capital Management, Inc. (NYSE: NLY), down from 21 in the previous quarter worth $317 million.