📅 Realty Income Stock 2025: Is “The Monthly Dividend Company” Still a Buy?

🔹 Introduction: Monthly Income You Can Count On

Realty Income Corporation (NYSE: O) is a REIT unlike any other. With the nickname “The Monthly Dividend Company,” it has paid **monthly dividends for over 630 consecutive months** and increased its payout for **more than 100 quarters**. For investors seeking consistent income, O has been a top choice for decades.

But in 2025, with interest rates stabilizing and real estate stocks showing signs of recovery, does Realty Income still deserve a spot in your portfolio? Let’s dive in.

📌 Company Snapshot: Realty Income (O)

Category Detail
Company NameRealty Income Corporation
Ticker SymbolO
SectorReal Estate
IndustryRetail REIT
Market Cap (as of March 2025)$43 Billion
Dividend Yield5.78%
Dividend FrequencyMonthly
HeadquartersSan Diego, CA, USA

💹 O Stock Performance & Dividends (as of March 2025)

  • Current Price: $53.70
  • 52-Week Range: $45.10 – $62.43
  • YTD Return: +8.5%
  • Annual Dividend per Share: $3.10
  • Dividend Growth (5-Year): ~3.9% CAGR

Realty Income’s stock has begun rebounding in 2025, boosted by improving investor sentiment toward REITs and consistent rent collection rates over 99%.

💼 How Realty Income Makes Money

Realty Income operates under a **Triple Net Lease (NNN)** structure, meaning the tenant is responsible for property taxes, maintenance, and insurance. This creates:

  • ✔️ Predictable cash flows
  • ✔️ Lower operating risk for Realty Income
  • ✔️ High tenant retention

Its portfolio includes **over 13,000 commercial properties** across all 50 U.S. states and select international markets. Major tenants include:

  • Walgreens
  • Dollar General
  • 7-Eleven
  • CVS
  • FedEx

💡 Why Investors Love Realty Income

  1. Monthly Dividends: Rare among public companies, especially with decades of consistency.
  2. Dividend Safety: FFO payout ratio remains conservative (~75–80%).
  3. Strong Tenant Base: National retail and essential service chains offer resilient rental income.
  4. Global Expansion: Select growth into European markets with similar lease structures.

⚠️ What to Watch Out For

  • Interest Rate Sensitivity: As a bond proxy, O’s share price is highly rate-sensitive.
  • Retail Exposure: Despite focus on necessity retail, sector-wide disruptions still pose risk.
  • Slower Growth: Dividend growth is modest, making it more attractive for income than capital gains.

📊 Realty Income vs Other Dividend Stocks

Company Dividend Yield Dividend Growth (5Y) Payout Frequency Focus
Realty Income (O)5.78%

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