Tuesday, June 3, 2025
News PouroverAI
Visit PourOver.AI
No Result
View All Result
  • Home
  • AI Tech
  • Business
  • Blockchain
  • Data Science & ML
  • Cloud & Programming
  • Automation
  • Front-Tech
  • Marketing
  • Home
  • AI Tech
  • Business
  • Blockchain
  • Data Science & ML
  • Cloud & Programming
  • Automation
  • Front-Tech
  • Marketing
News PouroverAI
No Result
View All Result

Realty Income: 100 REITs Compared, Only The Strong Survive (NYSE:O)

November 26, 2023
in Business
Reading Time: 2 mins read
0 0
A A
0
Share on FacebookShare on Twitter



Walgreens, as the largest client of Realty Income, accounts for 3.9% of the Annualized Contractual Rent. Realty Income, also known as “The Monthly Dividend Company,” is a real estate investment trust (REIT) that has paid monthly dividends for over 54 years. The company generates cash flow from over 13,250 properties, primarily owned under long-term net lease agreements with commercial clients, mainly in the retail sector.

In this report, we compare Realty Income to over 100 big-yield REITs, analyze its business strategy focused on growth through acquisition, discuss macroeconomic and secular headwinds, assess dividend safety, valuation, and risks. Our strong opinion on investing is also provided.

Realty Income’s business strategy is centered around growth through acquisition, which has been successful due to economies of scale and a stronger credit rating than most REITs. This advantage allows Realty Income to finance acquisitions at lower costs than its competitors. Furthermore, the market is highly fragmented, providing ample opportunities for the company to pursue attractive acquisitions.

In the current macro environment, rising interest rates pose challenges for property owners, increasing the cost to finance property purchases and refinance existing loans. However, Realty Income’s lower cost of capital and “net lease” strategy position it better than other REITs to deal with rising rates.

Secular changes in retail, particularly the rise of online shopping, have impacted REITs, including Realty Income. However, due to the types of properties it owns, Realty Income is in a better position compared to many other REITs.

Investors trust Realty Income’s steady growing monthly dividend, which is well covered by the company’s Funds From Operations (FFO) and Adjusted FFO. The current quarterly dividend is $0.77 per share, while FFO is $1.04 per share and Adjusted FFO is $1.02 per share.

From a valuation standpoint, Realty Income trades at a low price-to-AFFO ratio of 12.8, compared to its historical standards. The company also offers a high dividend yield of nearly 6%, signaling that management believes the shares are undervalued.

Risks for Realty Income include rising interest rates, the growing trend of sales-leasebacks, potential overconfidence from investors and management, and concentration risk due to the company’s focus on retail properties. However, Realty Income’s prudent growth strategy and strong position in the industry make it an attractive investment for income-focused investors seeking price appreciation potential.

In conclusion, we believe Realty Income is a promising investment with a high dividend yield, well-covered dividends, and a low valuation. We expect the share price and dividend to rise in the future, and we have ranked Realty Income #10 in our new report, Top 10 Big Yields.



Source link

Tags: ComparedIncomeNYSEORealtyREITsStrongsurvive
Previous Post

80s Twin-Turbo Muscle Truck (Automation + BeamNG.drive)

Next Post

Tech Remote Job Opening | Remote Jobs Worldwide | Front End Developer Remote Jobs

Related Posts

Can You Guess What Percentage Of Their Wealth The Rich Keep In Cash?
Business

Can You Guess What Percentage Of Their Wealth The Rich Keep In Cash?

June 10, 2024
UGRO Capital: Targeting to hit milestone of Rs 20,000 cr loan book in 8-10 quarters: Shachindra Nath
Business

UGRO Capital: Targeting to hit milestone of Rs 20,000 cr loan book in 8-10 quarters: Shachindra Nath

June 10, 2024
Blinken set to arrive in Egypt for Gaza ceasefire push By Reuters
Business

Blinken set to arrive in Egypt for Gaza ceasefire push By Reuters

June 10, 2024
Volvo is moving EV production from China to Belgium as the EU eyes tariffs on Beijing
Business

Volvo is moving EV production from China to Belgium as the EU eyes tariffs on Beijing

June 9, 2024
France’s Macron calls for snap election after losing big to the far right in EU vote
Business

France’s Macron calls for snap election after losing big to the far right in EU vote

June 9, 2024
Upgrades for Best Buy and Lululemon By Investing.com
Business

Upgrades for Best Buy and Lululemon By Investing.com

June 9, 2024
Next Post
Tech Remote Job Opening | Remote Jobs Worldwide | Front End Developer Remote Jobs

Tech Remote Job Opening | Remote Jobs Worldwide | Front End Developer Remote Jobs

SAP HANA Cloud and CAP to Build Full-Stack Applications Using VSCode

SAP HANA Cloud and CAP to Build Full-Stack Applications Using VSCode

Why Blockchain Matters More Than You Think – Jack Ma, Bill Gates, Elon Musk, Vitalik|Simplilearn

Why Blockchain Matters More Than You Think - Jack Ma, Bill Gates, Elon Musk, Vitalik|Simplilearn

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

  • Trending
  • Comments
  • Latest
Is C.AI Down? Here Is What To Do Now

Is C.AI Down? Here Is What To Do Now

January 10, 2024
Accenture creates a regulatory document authoring solution using AWS generative AI services

Accenture creates a regulatory document authoring solution using AWS generative AI services

February 6, 2024
23 Plagiarism Facts and Statistics to Analyze Latest Trends

23 Plagiarism Facts and Statistics to Analyze Latest Trends

June 4, 2024
Managing PDFs in Node.js with pdf-lib

Managing PDFs in Node.js with pdf-lib

November 16, 2023
Turkish Airlines Marketing Strategy: Beyond “Globally Yours”

Turkish Airlines Marketing Strategy: Beyond “Globally Yours”

May 29, 2024
The 15 Best Python Courses Online in 2024 [Free + Paid]

The 15 Best Python Courses Online in 2024 [Free + Paid]

April 13, 2024
Can You Guess What Percentage Of Their Wealth The Rich Keep In Cash?

Can You Guess What Percentage Of Their Wealth The Rich Keep In Cash?

June 10, 2024
AI Compared: Which Assistant Is the Best?

AI Compared: Which Assistant Is the Best?

June 10, 2024
How insurance companies can use synthetic data to fight bias

How insurance companies can use synthetic data to fight bias

June 10, 2024
5 SLA metrics you should be monitoring

5 SLA metrics you should be monitoring

June 10, 2024
From Low-Level to High-Level Tasks: Scaling Fine-Tuning with the ANDROIDCONTROL Dataset

From Low-Level to High-Level Tasks: Scaling Fine-Tuning with the ANDROIDCONTROL Dataset

June 10, 2024
UGRO Capital: Targeting to hit milestone of Rs 20,000 cr loan book in 8-10 quarters: Shachindra Nath

UGRO Capital: Targeting to hit milestone of Rs 20,000 cr loan book in 8-10 quarters: Shachindra Nath

June 10, 2024
Facebook Twitter LinkedIn Pinterest RSS
News PouroverAI

The latest news and updates about the AI Technology and Latest Tech Updates around the world... PouroverAI keeps you in the loop.

CATEGORIES

  • AI Technology
  • Automation
  • Blockchain
  • Business
  • Cloud & Programming
  • Data Science & ML
  • Digital Marketing
  • Front-Tech
  • Uncategorized

SITEMAP

  • Disclaimer
  • Privacy Policy
  • DMCA
  • Cookie Privacy Policy
  • Terms and Conditions
  • Contact us

Copyright © 2023 PouroverAI News.
PouroverAI News

No Result
View All Result
  • Home
  • AI Tech
  • Business
  • Blockchain
  • Data Science & ML
  • Cloud & Programming
  • Automation
  • Front-Tech
  • Marketing

Copyright © 2023 PouroverAI News.
PouroverAI News

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In