Realty Income (NYSE:O) Shares Down 1.1% - Should You Sell?

Key Points

• Realty Income's stock dropped 1.1% to $57.90, with trading volume down 77% from its average.
• Analysts have issued mixed ratings, with the consensus rating for Realty Income being "Hold" and a target price of $62.00.
• The company announced an increase in its monthly dividend to $0.269 per share, reflecting an annualized yield of 5.6%.

Realty Income Corporation (NYSE:O - Get Free Report) dropped 1.1% during trading on Thursday . The stock traded as low as $57.87 and last traded at $57.90. Approximately 1,261,907 shares traded hands during trading, a decline of 77% from the average daily volume of 5,521,739 shares. The stock had previously closed at $58.55.

Analysts Set New Price Targets

O has been the topic of several analyst reports. Wolfe Research lowered Realty Income from an "outperform" rating to a "peer perform" rating in a report on Monday, July 14th. Stifel Nicolaus boosted their price objective on shares of Realty Income from $65.50 to $68.00 and gave the company a "buy" rating in a report on Tuesday, May 6th. Wedbush restated a "neutral" rating and issued a $61.00 price objective on shares of Realty Income in a report on Wednesday, May 7th. JPMorgan Chase & Co. reduced their price objective on shares of Realty Income from $64.00 to $61.00 and set a "neutral" rating on the stock in a report on Monday, May 5th. Finally, Barclays boosted their price objective on shares of Realty Income from $58.00 to $59.00 and gave the company an "equal weight" rating in a report on Wednesday, August 20th. Three equities research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus target price of $62.00.

Realty Income Trading Down 1.1%

The firm has a market cap of $52.96 billion, a PE ratio of 56.23, a PEG ratio of 4.44 and a beta of 0.76. The business has a 50-day moving average price of $57.60 and a two-hundred day moving average price of $56.78. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.85 and a quick ratio of 1.85.

Realty Income (NYSE:O - Get Free Report) last announced its quarterly earnings results on Wednesday, August 6th. The real estate investment trust reported $1.05 earnings per share for the quarter, missing analysts' consensus estimates of $1.06 by ($0.01). The firm had revenue of $1.34 billion during the quarter, compared to analysts' expectations of $1.33 billion. Realty Income had a net margin of 16.77% and a return on equity of 2.34%. The company's quarterly revenue was up 5.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.07 EPS. Analysts forecast that Realty Income Corporation will post 4.19 EPS for the current year.

Realty Income Increases Dividend

The business also recently disclosed a monthly dividend, which will be paid on Monday, September 15th. Investors of record on Tuesday, September 2nd will be given a dividend of $0.269 per share. The ex-dividend date is Tuesday, September 2nd. This represents a c) dividend on an annualized basis and a yield of 5.6%. This is a boost from Realty Income's previous monthly dividend of $0.26. Realty Income's dividend payout ratio (DPR) is 312.62%.

Institutional Trading of Realty Income

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Compagnie Lombard Odier SCmA purchased a new stake in Realty Income during the 2nd quarter worth about $25,000. Keystone Global Partners LLC purchased a new stake in Realty Income during the 1st quarter worth about $26,000. Avion Wealth boosted its stake in Realty Income by 142.4% in the 2nd quarter. Avion Wealth now owns 526 shares of the real estate investment trust's stock worth $30,000 after buying an additional 309 shares during the last quarter. Twin Peaks Wealth Advisors LLC acquired a new stake in Realty Income in the 2nd quarter worth about $31,000. Finally, Country Trust Bank boosted its stake in Realty Income by 806.5% in the 2nd quarter. Country Trust Bank now owns 562 shares of the real estate investment trust's stock worth $32,000 after buying an additional 500 shares during the last quarter. Hedge funds and other institutional investors own 70.81% of the company's stock.

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.

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