Mortgage REITs have historically not been great long-term investments.
Annaly Capital Management's earnings fell short of its dividend payment in the first quarter.
NLY earnings call for the period ending March 31, 2024.
Although Annaly Capital and UDR are both REITs, only one is appropriate for dividend investors looking for a reliable income stream.
The premier name among retail REITs, along with a 14%-yielding REIT that's returned $25 billion to its shareholders since going public, make for sensational buys right now.
Why the stock is likely to trade higher in the coming years.
These REITs will likely cut their dividends again.
With a huge 13% dividend yield, Annaly Capital is enticing. But big yields often mean taking big risks.
Mortgage REITs can be good investments, but only in certain cycles.