Realty Income (NYSE:O) Stock Price Down 1.6% on Analyst Downgrade

Realty Income Corporation (NYSE:O) shares were down 1.6% during trading on Wednesday after Mizuho lowered their price target on the stock from $68.00 to $66.00. Mizuho currently has a neutral rating on the stock. Realty Income traded as low as $61.18 and last traded at $61.5380. Approximately 6,435,829 shares traded hands during mid-day trading, an increase of 3% from the average daily volume of 6,249,056 shares. The stock had previously closed at $62.53.

Other equities analysts also recently issued research reports about the company. Deutsche Bank Aktiengesellschaft upgraded Realty Income from a “hold” rating to a “buy” rating and set a $69.00 price target for the company in a research note on Tuesday, January 20th. Freedom Capital upgraded Realty Income from a “hold” rating to a “strong-buy” rating in a research note on Monday. Evercore reiterated a “positive” rating on shares of Realty Income in a research note on Wednesday, February 25th. Barclays lifted their price target on Realty Income from $65.00 to $68.00 and gave the company an “equal weight” rating in a research note on Tuesday, April 21st. Finally, Stifel Nicolaus lifted their price target on Realty Income from $67.75 to $70.50 and gave the company a “buy” rating in a research note on Wednesday, February 25th. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $67.35.

Insider Activity at Realty Income

In other Realty Income news, insider Michelle Bushore sold 7,400 shares of Realty Income stock in a transaction that occurred on Thursday, April 2nd. The shares were sold at an average price of $62.42, for a total transaction of $461,908.00. Following the transaction, the insider owned 67,641 shares of the company’s stock, valued at $4,222,151.22. This trade represents a 9.86% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 0.10% of the stock is currently owned by corporate insiders.

Realty Income News Roundup

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

• Positive Sentiment: Scotiabank raised its price target on Realty Income and reiterated a sector outperform view, signaling confidence in the REIT’s dividend and earnings outlook.
• Positive Sentiment: Freedom Capital upgraded Realty Income from hold to strong-buy, and another note said the stock was raised to buy on an attractive risk-reward setup after Q1 earnings.
• Positive Sentiment: Realty Income’s latest quarterly operating results were solid, with net income, adjusted funds from operations, and revenue all coming in better than expected, reinforcing the company’s reputation as a stable income name.
• Neutral Sentiment: Mizuho lowered its price target on Realty Income from $68 to $66 while keeping a neutral rating, which may have tempered enthusiasm despite the target still implying some upside.
• Neutral Sentiment: Analyst coverage remains mixed overall, with reports describing the stock’s consensus rating as Hold, suggesting the market is waiting for more evidence that earnings growth can accelerate.

Hedge Funds Weigh In On Realty Income

Several hedge funds have recently modified their holdings of the company. Vanguard Group Inc. lifted its position in shares of Realty Income by 0.5% during the 4th quarter. Vanguard Group Inc. now owns 150,415,287 shares of the real estate investment trust’s stock worth $8,478,910,000 after buying an additional 684,949 shares in the last quarter. State Street Corp lifted its position in shares of Realty Income by 0.8% during the 4th quarter. State Street Corp now owns 63,559,987 shares of the real estate investment trust’s stock worth $3,599,676,000 after buying an additional 531,095 shares in the last quarter. Geode Capital Management LLC lifted its position in shares of Realty Income by 2.8% during the 4th quarter. Geode Capital Management LLC now owns 29,206,196 shares of the real estate investment trust’s stock worth $1,655,991,000 after buying an additional 793,100 shares in the last quarter. Morgan Stanley lifted its position in shares of Realty Income by 21.6% during the 4th quarter. Morgan Stanley now owns 18,291,294 shares of the real estate investment trust’s stock worth $1,031,080,000 after buying an additional 3,252,091 shares in the last quarter. Finally, Dimensional Fund Advisors LP lifted its position in shares of Realty Income by 1.2% during the 1st quarter. Dimensional Fund Advisors LP now owns 13,018,219 shares of the real estate investment trust’s stock worth $796,457,000 after buying an additional 154,581 shares in the last quarter. Institutional investors own 70.81% of the company’s stock.

Realty Income Stock Performance

The company’s 50-day simple moving average is $63.30 and its 200 day simple moving average is $60.83. The company has a current ratio of 1.56, a quick ratio of 1.56 and a debt-to-equity ratio of 0.72. The stock has a market cap of $57.38 billion, a P/E ratio of 50.44, a PEG ratio of 4.24 and a beta of 0.75.

Realty Income (NYSE:O) last posted its earnings results on Wednesday, May 6th. The real estate investment trust reported $1.13 EPS for the quarter, topping the consensus estimate of $1.10 by $0.03. The firm had revenue of $1.55 billion for the quarter, compared to analysts’ expectations of $1.39 billion. Realty Income had a net margin of 18.94% and a return on equity of 2.80%. The company’s quarterly revenue was up 12.2% compared to the same quarter last year. During the same quarter last year, the firm earned $1.06 EPS. Realty Income has set its FY 2026 guidance at 4.410-4.440 EPS. As a group, sell-side analysts expect that Realty Income Corporation will post 4.43 EPS for the current fiscal year.

Realty Income Dividend Announcement

The business also recently declared a monthly dividend, which will be paid on Friday, May 15th. Investors of record on Thursday, April 30th will be issued a $0.2705 dividend. This represents a c) dividend on an annualized basis and a dividend yield of 5.3%. The ex-dividend date of this dividend is Thursday, April 30th. Realty Income’s payout ratio is 266.39%.

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.