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

Realty Income Co. (NYSE:O)’s stock price was down 0.4% during trading on Tuesday following a dissappointing earnings announcement. The stock traded as low as $55.01 and last traded at $55.22. Approximately 1,282,110 shares traded hands during mid-day 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 EPS for the quarter, missing analysts’ consensus estimates of $1.03 by ($0.87). The firm had revenue of $1.26 billion for the quarter, compared to analyst estimates of $1.15 billion. Realty Income had a return on equity of 4.06% and a net margin of 21.39%. The company’s revenue for the quarter was up 33.5% on a year-over-year basis. During the same period in the previous year, the firm posted $0.98 earnings per share.

Realty Income Announces Dividend

The firm also recently announced a may 24 dividend, which will be paid on Wednesday, May 15th. Stockholders of record on Wednesday, May 1st will be paid a dividend of $0.257 per share. The ex-dividend date of this dividend is Tuesday, April 30th. This represents a dividend yield of 5.9%. Realty Income’s dividend payout ratio is presently 285.19%.

Wall Street Analysts Forecast Growth

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

Insider Buying and Selling

In other news, Director A. Larry Chapman sold 5,000 shares of the stock in a transaction that occurred on Tuesday, April 9th. The stock was sold at an average price of $54.23, for a total transaction of $271,150.00. Following the sale, the director now directly owns 6,257 shares in the company, valued at approximately $339,317.11. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.10% of the stock is owned by company insiders.

Hedge Funds Weigh In On Realty Income

Several institutional investors have recently modified their holdings of the company. American National Bank bought a new stake in Realty Income during the 4th quarter valued at $25,000. Vima LLC bought a new stake in shares of Realty Income during the fourth quarter valued at about $25,000. Manchester Capital Management LLC lifted its holdings in Realty Income by 423.0% in the third quarter. Manchester Capital Management LLC now owns 523 shares of the real estate investment trust’s stock worth $26,000 after purchasing an additional 423 shares during the period. WASHINGTON TRUST Co lifted its holdings in Realty Income by 65.7% in the first quarter. WASHINGTON TRUST Co now owns 497 shares of the real estate investment trust’s stock worth $27,000 after purchasing an additional 197 shares during the period. Finally, Northwest Investment Counselors LLC bought a new position in Realty Income in the 1st quarter valued at about $27,000. Institutional investors own 70.81% of the company’s stock.

Realty Income Stock Performance

The stock has a market cap of $47.17 billion, a price-to-earnings ratio of 50.72, a PEG ratio of 5.73 and a beta of 0.92. The company’s 50 day simple moving average is $52.94 and its 200 day simple 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.

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.