Dividend Battle: Annaly Capital vs. Vanguard Natural Resources
In the spirit of World Cup competition, we're holding our own tournament in search of the Better Stock Today. We're pitting 32 companies against each other and you, the reader, will determine the winner.
Annaly Capital takes on Vanguard Natural Resources for this last round-robin match up in our search for the better stock today.
Financials analyst David Hanson believes the number one reason Annaly Capital Management should win this match is the company's dirt cheap valuation. Shares of Annaly have rarely been this cheap in the company's very successful history, and management's recent push into the commercial real estate space should allow its portfolio to achieve higher yields without much additional leverage. The ride isn't likely to be smooth, but long-term investors can collect hefty dividends along the way as the company finds better yielding opportunities.
Joel South, an energy analyst at The Motley Fool, thinks Vanguard Natural Resources is a better investment today because of its mouthwatering yield and increasing payouts. Since 2007, Vanguard Natural Resources has increased its distribution by 48% and with de-risked mature assets; unit holders are getting their fill of Vanguards 8.2% distribution yield.
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Vote here to determine the winner of this match and sound off in the comments. Check back to Fool.com to see who advances in the tournament.
The article Dividend Battle: Annaly Capital vs. Vanguard Natural Resources originally appeared on Fool.com.David Hanson owns shares of Annaly Capital Management. Joel South has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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