Computed head-to-head · 6 dimensions
NLY vs NNN
Annaly Capital Management, Inc. versus NNN REIT, Inc. — yield, safety, growth trend, cost, scale, and tax treatment.
NLY wins 3–2 on our six-dimension comparison, but NNN can still be the better fit depending on your priorities — see each dimension below.
NLY wins this comparison 3–2 across 6 dimensions. NLY yields 12.92% — higher than NNN's 5.49% — and carries a 4.2/10 dividend safety score (Weak) vs 5.2/10 for NNN (Mixed). NLY wins 3–2 on our six-dimension comparison, but NNN can still be the better fit depending on your priorities — see each dimension below.
On yield alone, NLY generates 12.92% vs 5.49% — a 7.43% difference that translates to $7,430 more per year on a $100,000 investment. On dividend safety, NNN scores 5.2/10 (Mixed) vs 4.2/10 (Weak) for NLY — investors prioritizing income reliability should weight that gap alongside the yield difference.
Scorecard at a glance
| Dimension | NLY | NNN | Winner |
|---|---|---|---|
| Yield | 12.92% | 5.49% | NLY wins |
| Dividend safety | 4.2/10 | 5.2/10 | NNN wins |
| Growth trend | -0.72% vs 5y | +0.31% vs 5y | NLY wins |
| Volatility (beta) | 1.27 | 0.80 | NNN wins |
| Scale | $15.9B | $8.3B | NLY wins |
| Tax efficiency | Ordinary income | Ordinary income | Tie |
| Overall | 3 wins | 2 wins | NLY wins |
Dimension by dimension
NLY wins on yield (12.92% vs 5.49%)
On a $10,000 investment that's about $743 more in annual dividend income before taxes — though higher yield often comes with higher risk.
NLY's higher yield (12.92%) looks attractive but investors should weigh whether the extra income compensates for any additional risk versus NNN's 5.49% — especially if the higher yield is driven by covered calls or a falling share price.
NNN wins on safety (5.2/10 vs 4.2/10)
Our score combines yield zone, payout ratio, trend vs 5-year average, instrument type, and size. NNN scores better on the weighted average of those factors.
NNN (5.2/10) scores 1.0 points higher than NLY (4.2/10). A higher safety score means lower historical indicators of dividend cut risk — payout ratio, yield zone, and trend all factor in.
NLY shows healthier dividend-vs-price trend
NLY's yield is 0.72% below its 5y average, versus 0.31% for NNN. Lower (or below-average) yield trend often means price appreciation outpaced distributions — a healthier signal.
NNN is less volatile (beta 0.80 vs 1.27)
Lower beta means smaller swings vs the S&P 500 — generally a steadier hold for income investors.
NLY is 1.9× larger by market cap
Larger companies tend to have tighter spreads, deeper liquidity, and lower closure risk.
Both have similar tax-treatment concerns
Both pay primarily ordinary-income distributions (covered call ETF, REIT, or mREIT). Hold in a tax-advantaged account for the cleanest treatment.
How we compare these
Every comparison on this page is computed from current public data, not written by hand. Yield comes from the most recent dividend distribution annualized over current price. Safety scores combine yield zone, payout ratio, trend vs 5-year average, instrument type, and size — see our methodology for the exact formula. Tax-efficiency flags identify covered-call ETFs, REITs, and mREITs which distribute primarily as ordinary income.
This is educational, not investment advice.Scores reflect a snapshot of public data on the "as of" dates shown on each ticker's safety page. Verify on the issuer's investor relations page or your brokerage before making decisions.
Frequently asked
Which is better for income, NLY or NNN?
NLY wins 3–2 on our six-dimension comparison, but NNN can still be the better fit depending on your priorities — see each dimension below.
NLY vs NNN: which has a higher dividend yield?
NLY yields 12.92% and NNN yields 5.49%. On a $10,000 investment that's about $743 more in annual dividend income before taxes — though higher yield often comes with higher risk.
Is NLY or NNN a safer dividend in 2026?
NLY scores 4.2/10 (Weak) on the Infnits dividend safety scale. NNN scores 5.2/10 (Mixed). NNN is the safer pick on our scoring model.
Which has better dividend growth, NLY or NNN?
NLY's yield is 0.72% below its 5y average, versus 0.31% for NNN. Lower (or below-average) yield trend often means price appreciation outpaced distributions — a healthier signal.
NLY vs NNN: which is more tax-efficient?
Both pay primarily ordinary-income distributions (covered call ETF, REIT, or mREIT). Hold in a tax-advantaged account for the cleanest treatment.
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