Realty Income Aktie News

The Fed is expected to cut interest rates in a few days. The rate cuts are a strong catalyst for the REIT sector. I highlight two REITs that have a lot to gain from this.

EPR Properties raised its monthly dividend by 3.5% earlier this year. Healthpeak Properties switched to paying monthly dividends in 2025.

Annaly Capital is a real estate investment trust with a huge 12% yield. Realty Income is also a REIT, but its yield is “just” 5.6%.

Realty Income leases properties to resilient retail leaders. It has paid a monthly dividend for more than 55 years.

Realty Income: Undervalued, Underappreciated, And Unloved

The S&P 500 index has a miserly dividend yield of roughly 1.2%. Realty Income is a giant net lease REIT with a giant 5.6% yield.

REITs have massively underperformed the market, while their earnings have grown. Given the likely base rate cuts that are on the horizon, the setup for a REIT renaissance could not be better. I think that such logic has a fundamental risk or flaw that many REIT bulls are missing.

Dollar General stock now trades at an attractive discount compared to previous highs. A recession could actually set up Realty Income for future growth.