M3 Wealth Management LLC Buys Shares of 43,009 Realty Income Corporation $O

Key Points

• M3 Wealth Management acquired 43,009 Realty Income shares worth approximately $2.665 million, making the REIT 1.7% of its portfolio. Institutional investors collectively own 70.81% of Realty Income.
• Analysts maintain a generally positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $67.42. Realty Income recently matched quarterly EPS expectations at $1.09 and exceeded revenue estimates with $1.55 billion.
• Realty Income continues to offer monthly income through a $0.271-per-share dividend, equating to a 5.2% yield, but analysts caution that the stock appears fully valued and could face pressure from higher interest costs or tenant weakness.

M3 Wealth Management LLC bought a new position in Realty Income Corporation (NYSE:O - Free Report) during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm bought 43,009 shares of the real estate investment trust's stock, valued at approximately $2,665,000. Realty Income comprises about 1.7% of M3 Wealth Management LLC's investment portfolio, making the stock its 27th largest position.

A number of other large investors have also made changes to their positions in O. Norges Bank bought a new position in shares of Realty Income in the 4th quarter worth approximately $558,775,000. Bank of New York Mellon Corp bought a new stake in Realty Income during the second quarter valued at approximately $340,180,000. Morgan Stanley grew its position in Realty Income by 21.6% during the fourth quarter. Morgan Stanley now owns 18,291,294 shares of the real estate investment trust's stock valued at $1,031,080,000 after buying an additional 3,252,091 shares during the period. Deutsche Bank AG grew its position in Realty Income by 45.1% during the fourth quarter. Deutsche Bank AG now owns 4,998,963 shares of the real estate investment trust's stock valued at $281,792,000 after buying an additional 1,554,726 shares during the period. Finally, Amundi increased its holdings in Realty Income by 56.7% during the first quarter. Amundi now owns 4,183,310 shares of the real estate investment trust's stock valued at $255,934,000 after buying an additional 1,514,119 shares during the last quarter. 70.81% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several research analysts have weighed in on O shares. Morgan Stanley set a $67.00 price target on shares of Realty Income in a research report on Monday, April 27th. Wells Fargo & Company boosted their price objective on shares of Realty Income from $64.00 to $65.00 and gave the company an "equal weight" rating in a research report on Wednesday, July 15th. Robert W. Baird upped their price objective on Realty Income from $64.00 to $65.00 and gave the stock a "neutral" rating in a research note on Monday, July 6th. Freedom Capital raised Realty Income from a "hold" rating to a "strong-buy" rating in a report on Monday, May 11th. Finally, Barclays lowered their target price on Realty Income from $68.00 to $67.00 and set an "equal weight" rating on the stock in a research report on Wednesday, July 22nd. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $67.42.

Realty Income Trading Down 0.3%

Realty Income stock opened at $62.75 on Friday. The firm has a 50 day moving average of $63.07 and a 200 day moving average of $63.08. The firm has a market capitalization of $59.38 billion, a price-to-earnings ratio of 45.80, a P/E/G ratio of 4.46 and a beta of 0.71. Realty Income Corporation has a 12-month low of $55.86 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.

Realty Income (NYSE:O - Get Free Report) last released its earnings results on Wednesday, August 5th. The real estate investment trust reported $1.09 EPS for the quarter, hitting analysts' consensus estimates of $1.09. The company had revenue of $1.55 billion for the quarter, compared to analysts' expectations of $1.40 billion. Realty Income had a net margin of 20.93% and a return on equity of 3.12%. The firm's revenue was up 9.7% compared to the same quarter last year. During the same quarter last year, the business earned $1.05 EPS. Realty Income has set its FY 2026 guidance at 4.440-4.450 EPS. As a group, research analysts predict that Realty Income Corporation will post 4.43 earnings per share for the current year.

Realty Income Announces Dividend

The company also recently disclosed a monthly dividend, which was paid on Friday, August 14th. Stockholders of record on Friday, July 31st were given a dividend of $0.271 per share. This represents a c) annualized dividend and a dividend yield of 5.2%. The ex-dividend date was Friday, July 31st. Realty Income's dividend payout ratio (DPR) is presently 237.23%.

Key Realty Income News

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

• Positive Sentiment: Realty Income completed a $1.0 billion offering of 3.750% convertible senior notes due 2031, including the full exercise of an additional $125 million option. The proceeds are expected to support a share repurchase of at least $750 million, debt repayment, property acquisitions and portfolio expansion. Realty Income Announces Closing of $1.0 Billion Convertible Senior Notes Offering
• Positive Sentiment: Capped-call transactions tied to the notes are designed to reduce potential shareholder dilution. The financing also gives Realty Income additional flexibility to pursue growth while maintaining its investment-grade balance sheet and A credit rating.
• Neutral Sentiment: The bull case emphasizes Realty Income’s 30.3% three-year total return and dependable monthly dividend. However, investors are debating whether the newly announced buyback and growth investments can materially improve returns from current valuation levels. The Bull Case For Realty Income Could Change Following $1 Billion Convertible Notes And Buyback Plan
• Negative Sentiment: Analysts characterize Realty Income as fully priced or expensive rather than a clear bargain. Its strong recent performance may leave less room for error, while higher interest costs or tenant weakness could pressure future results. Realty Income Stock Looks Fully Priced Despite Strong Returns And Income
• Negative Sentiment: Ashton Thomas Private Wealth LLC reduced its Realty Income position by 20.5%, selling 11,873 shares. The transaction is small relative to the company’s market value but adds a modest institutional-selling signal. Realty Income Corporation Stock Position Reduced by Ashton Thomas Private Wealth LLC

About Realty Income

Realty Income Corporation NYSE: O is a real estate investment trust (REIT) that acquires, owns and manages commercial properties subject primarily to long-term net lease agreements. The company's business model focuses on generating predictable, contractual rental income by leasing properties to tenants under agreements that typically place responsibility for taxes, insurance and maintenance on the tenant. Realty Income is publicly traded on the New York Stock Exchange and markets itself as a reliable income-oriented REIT.

Realty Income's portfolio is concentrated in single-tenant, retail and service-oriented properties such as drugstores, convenience stores, dollar and discount retailers, restaurants, and other essential-service businesses.

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