Realty Income Corporation (NYSE:O) Stock Has Consensus Price Target of $65.46 According to Analysts

Key Points

• Analysts maintain a consensus “Hold” rating on Realty Income, with 9 hold, 7 buy, 1 strong-buy and 1 sell recommendation. The average 12-month price target is $65.46 versus the reported share price of $54.17.
• Realty Income reported quarterly EPS of $1.09, in line with estimates, while revenue of $1.55 billion exceeded expectations and rose 9.7% year over year.
• The REIT increased its monthly dividend to $0.2715 per share, or $3.26 annualized, representing an approximate 6.0% yield; however, higher Treasury yields continue to pressure the rate-sensitive stock.

Shares of Realty Income Corporation (NYSE:O - Get Free Report) have been assigned an average rating of "Hold" from the eighteen analysts that are covering the stock, Marketbeat.com reports. One analyst has rated the stock with a sell recommendation, nine have issued a hold recommendation, seven have issued a buy recommendation and one has given a strong buy recommendation to the company. The average twelve-month target price among brokerages that have issued ratings on the stock in the last year is $65.46.

Several analysts have weighed in on O shares. Royal Bank Of Canada cut their price objective on Realty Income from $71.00 to $70.00 and set an "outperform" rating on the stock in a research report on Friday, August 7th. Huntington started coverage on Realty Income in a research note on Wednesday, July 15th. They issued an "outperform" rating and a $70.00 target price for the company. Stifel Nicolaus set a $63.75 price target on Realty Income in a research report on Friday. Scotiabank cut Realty Income from a "sector outperform" rating to a "sector perform" rating and reduced their price target for the stock from $67.00 to $59.00 in a research note on Wednesday, September 23rd. Finally, Robert W. Baird raised their price objective on Realty Income from $64.00 to $65.00 and gave the company a "neutral" rating in a research report on Monday, July 6th.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in O. DGS Capital Management LLC grew its stake in shares of Realty Income by 4.3% during the 4th quarter. DGS Capital Management LLC now owns 3,836 shares of the real estate investment trust's stock valued at $216,000 after purchasing an additional 158 shares during the period. Tactive Advisors LLC lifted its stake in shares of Realty Income by 1.8% in the 2nd quarter. Tactive Advisors LLC now owns 9,239 shares of the real estate investment trust's stock worth $572,000 after purchasing an additional 163 shares during the period. Nations Financial Group Inc. IA ADV lifted its stake in shares of Realty Income by 1.5% in the 1st quarter. Nations Financial Group Inc. IA ADV now owns 13,441 shares of the real estate investment trust's stock worth $822,000 after purchasing an additional 196 shares during the period. Florida Trust Wealth Management Co boosted its holdings in shares of Realty Income by 0.5% in the second quarter. Florida Trust Wealth Management Co now owns 41,359 shares of the real estate investment trust's stock worth $2,563,000 after buying an additional 219 shares during the last quarter. Finally, TD Waterhouse Canada Inc. boosted its holdings in shares of Realty Income by 2.6% in the second quarter. TD Waterhouse Canada Inc. now owns 8,797 shares of the real estate investment trust's stock worth $544,000 after buying an additional 225 shares during the last quarter. Hedge funds and other institutional investors own 70.81% of the company's stock.

Realty Income Trading Down 0.0%

NYSE:O opened at $54.17 on Friday. The company has a 50-day moving average price of $59.42 and a 200-day moving average price of $61.53. Realty Income has a 12 month low of $53.15 and a 12 month high of $67.93. The company has a current ratio of 5.88, a quick ratio of 5.88 and a debt-to-equity ratio of 0.73. The stock has a market cap of $51.25 billion, a price-to-earnings ratio of 39.54, a P/E/G ratio of 4.25 and a beta of 0.69.

Realty Income (NYSE:O - Get Free Report) last announced its quarterly earnings results on Wednesday, August 5th. The real estate investment trust reported $1.09 earnings per share (EPS) for the quarter, meeting the consensus estimate of $1.09. Realty Income had a net margin of 20.93% and a return on equity of 3.12%. The company had revenue of $1.55 billion for the quarter, compared to analysts' expectations of $1.40 billion. During the same quarter in the previous year, the company earned $1.05 earnings per share. Realty Income's quarterly revenue was up 9.7% on a year-over-year basis. Realty Income has set its FY 2026 guidance at 4.440-4.450 EPS. Equities analysts predict that Realty Income will post 4.42 EPS for the current year.

Realty Income Increases Dividend

The firm also recently declared a monthly dividend, which will be paid on Thursday, October 15th. Investors of record on Wednesday, September 30th will be paid a $0.2715 dividend. This represents a $3.26 annualized dividend and a dividend yield of 6.0%. The ex-dividend date is Wednesday, September 30th. This is a positive change from Realty Income's previous monthly dividend of $0.2710. Realty Income's dividend payout ratio (DPR) is 237.96%.

Realty Income News Summary

Here are the key news stories impacting Realty Income this week:

• Positive Sentiment: Realty Income’s diversified tenant base, 98.8% occupancy rate and 8.6-year average lease term help limit tenant and cash-flow risk. Rent recapture of 102.7% also supports contractual rental growth. Realty Income Strengthens Portfolio Resilience: Can It Protect Cash Flows?
• Positive Sentiment: One analyst argues the recent selloff has created an attractive entry point and forecasts substantial upside for patient investors if interest-rate pressure eases. Realty Income Fell 10% Over 12 Months: A Respected Analyst Predicts 40% Gains for Investors From Today
• Positive Sentiment: Realty Income’s long record of monthly dividend payments and increases continues to attract retirement and income investors, particularly with the yield near 6%. My Top Dividend Stock to Buy in October Yields 6% and Cuts Shareholders a Monthly Check
• Neutral Sentiment: Investors are looking ahead to Realty Income’s November 2 earnings release. Current expectations call for modest year-over-year growth in revenue and EPS, while previously raised full-year guidance could provide a support point if results meet or exceed forecasts. Realty Income (O) Just Gave Investors Something To Think About
• Negative Sentiment: The latest bearish commentary says the buy case is weakening, reflecting Realty Income’s recent underperformance and concerns that its valuation and income profile may not compensate investors adequately while rates remain elevated. Realty Income: The Buy Case Is Getting Weaker
• Negative Sentiment: Recent weakness has been sharper than the broader market, with higher Treasury yields identified as the main pressure on Realty Income and other rate-sensitive REITs. Realty Income Corp. Falls More Steeply Than Broader Market

Realty Income Company Profile

Realty Income Corporation is a real estate investment trust (REIT) that acquires, owns, and manages commercial properties leased to businesses under long-term agreements. The company is widely known as “The Monthly Dividend Company” for its focus on providing regular monthly dividend payments to shareholders.

Most of Realty Income's properties are operated under single-tenant, triple-net lease arrangements. Under these agreements, tenants generally are responsible for property taxes, insurance, and maintenance expenses, while Realty Income collects contractual rent.

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