Realty Income (NYSE:O) Trading Down 0.4% on Disappointing Earnings

Realty Income Co. (NYSE:O - Get Free Report)'s share price dropped 0.4% during mid-day trading on Tuesday after the company announced weaker than expected quarterly earnings. The stock traded as low as $55.01 and last traded at $55.22. Approximately 1,282,110 shares traded hands during trading, a decline of 81% from the average daily volume of 6,780,162 shares. The stock had previously closed at $55.45.

The real estate investment trust reported $0.16 earnings per share for the quarter, missing analysts' consensus estimates of $1.03 by ($0.87). Realty Income had a net margin of 21.39% and a return on equity of 4.06%. The company had revenue of $1.26 billion for the quarter, compared to the consensus estimate of $1.15 billion. During the same quarter last year, the company earned $0.98 EPS. The firm's revenue for the quarter was up 33.5% on a year-over-year basis.

Realty Income Dividend Announcement

The company also recently announced a may 24 dividend, which will be paid on Wednesday, May 15th. Shareholders of record on Wednesday, May 1st will be issued a $0.257 dividend. This represents a yield of 5.9%. The ex-dividend date is Tuesday, April 30th. Realty Income's dividend payout ratio is 244.45%.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on O shares. Stifel Nicolaus cut their price objective on shares of Realty Income from $67.75 to $65.00 and set a "buy" rating for the company in a research report on Wednesday, February 21st. Royal Bank of Canada boosted their price objective on Realty Income from $58.00 to $60.00 and gave the company an "outperform" rating in a research note on Thursday, January 11th. StockNews.com raised Realty Income from a "sell" rating to a "hold" rating in a report on Thursday, February 8th. BMO Capital Markets initiated coverage on Realty Income in a research note on Tuesday, February 13th. They issued a "market perform" rating and a $57.00 price objective for the company. Finally, Mizuho lowered their price target on Realty Income from $60.00 to $56.00 and set a "buy" rating on the stock in a report on Thursday, March 7th. Eight equities research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Hold" and an average target price of $60.96.

Insider Buying and Selling at Realty Income

In related news, Director A. Larry Chapman sold 5,000 shares of the stock in a transaction dated Tuesday, April 9th. The shares were sold at an average price of $54.23, for a total value of $271,150.00. Following the sale, the director now directly owns 6,257 shares of the company's stock, valued at approximately $339,317.11. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 0.10% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. Verdence Capital Advisors LLC raised its holdings in shares of Realty Income by 12.1% in the third quarter. Verdence Capital Advisors LLC now owns 9,780 shares of the real estate investment trust's stock valued at $488,000 after acquiring an additional 1,058 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank grew its stake in Realty Income by 11.8% in the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 463,987 shares of the real estate investment trust's stock valued at $23,172,000 after purchasing an additional 48,962 shares during the last quarter. Mackenzie Financial Corp raised its holdings in Realty Income by 5.2% in the third quarter. Mackenzie Financial Corp now owns 77,109 shares of the real estate investment trust's stock worth $3,770,000 after purchasing an additional 3,807 shares in the last quarter. GPS Wealth Strategies Group LLC boosted its holdings in shares of Realty Income by 25.0% in the 3rd quarter. GPS Wealth Strategies Group LLC now owns 1,707 shares of the real estate investment trust's stock valued at $85,000 after buying an additional 341 shares in the last quarter. Finally, IFM Investors Pty Ltd grew its position in shares of Realty Income by 4.8% in the 3rd quarter. IFM Investors Pty Ltd now owns 125,804 shares of the real estate investment trust's stock worth $6,283,000 after buying an additional 5,772 shares during the last quarter. 70.81% of the stock is currently owned by institutional investors.

Realty Income Stock Performance

The firm's 50 day moving average is $52.94 and its 200 day moving average is $53.74. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.28 and a current ratio of 1.28. The stock has a market cap of $47.38 billion, a P/E ratio of 43.67, a price-to-earnings-growth ratio of 5.73 and a beta of 0.92.

Realty Income Company Profile

Realty Income, The Monthly Dividend Company, is an S&P 500 company and member of the S&P 500 Dividend Aristocrats index. We invest in people and places to deliver dependable monthly dividends that increase over time. The company is structured as a real estate investment trust ("REIT"), and its monthly dividends are supported by the cash flow from over 15,450 real estate properties (including properties acquired in the Spirit merger in January 2024) primarily owned under long-term net lease agreements with commercial clients.