Annaly upgraded to Overweight on 25% return potential at Piper Sandler

Piper Sandler upgraded Annaly Capital to Overweight from Neutral with a price target of $21.50, up from $20, after taking over coverage of the name. Despite the volatility in Q1 for agency mortgage backed securities, Annaly was able post a positive economic return and keep tangible book value flat, outpacing agency mortgage real estate investment trust peers, the analyst tells investors in a research note. The firm likes the company’s "diversified model with multiple avenues to double-digit returns." It sees 25% total return over the next year.