DMOST
6 years ago
What's in the Cards for Realty Income's (O) Q4 Earnings?
Realty Income Corp. O is scheduled to report fourth-quarter 2018 results after the market closes on Feb 20. The company’s results are anticipated to reflect year-over-year increase in revenues, while its funds from operations (FFO) per share might witness a decline.
In the last reported quarter, this monthly dividend-paying real estate investment trust (REIT) delivered a better-than-expected performance in terms of FFO per share. The company benefited from year-over-year growth in revenues and also enjoyed high occupancy levels.
Notably, Realty Income has a mixed surprise history. The company surpassed estimates in two occasions, met in another and missed in the other, over the trailing four quarters, resulting in average positive surprise of 0.63%. This is depicted in the graph below:
Realty Income Corporation Price and EPS Surprise
Realty Income Corporation Price and EPS Surprise | Realty Income Corporation Quote
For full-year 2018, Realty Income expects adjusted FFO per share of $3.18-$3.21. The Zacks Consensus Estimate for the same is currently pinned at $3.13.
Let’s see how things are shaping up for this announcement.
Factors to Consider
This freestanding retail REIT derives more than 90% of its annualized retail rental revenues from tenants belonging to service, non-discretionary and low-price retail businesses. Such businesses are less susceptible to economic recessions, as well as competition from Internet retailing. Moreover, the company’s portfolio is well diversified with respect to tenant, industry, geography, and property type, which contributes to the stability of its cash flow.
In addition, the healthy U.S. economy and job-market gains are important catalysts for the retail real estate industry’s growth. Particularly, increase in corporate profits and tax cuts are pushing up wages. As such, consumer confidence is getting a boost, fueled by job growth and rising wages. And along with low gas prices, disposable income of consumers has increased as well which is likely to spur demand for retail goods. This is anticipated to have sent across positive ripple effects across the industry in the to-be-reported quarter.
In addition, the company focuses on external growth through exploring accretive acquisition opportunities. In the quarter under review, healthy property acquisition volume at decent investment spreads will likely aid the company’s performance.
Realty Income’s solid underlying real estate quality and prudent underwriting at acquisition has also helped the company maintain high occupancy levels consistently. Since 1996, the company’s occupancy level has not moved below 96%. This trend is likely to have continued in the soon-to-be-reported quarter as well. Further, same-store rent growth is likely to exhibit limited operational volatility.
These are anticipated to have helped the company enjoy higher revenues in the Oct-Dec quarter. In fact, the Zacks Consensus Estimate for fourth-quarter revenues is pegged at $343.2 million, indicating a year-over-year rise of 10.5%. The Zacks Consensus Estimate for rental revenues of $328 million also denotes a projected increase of 9.7%, year over year.
Nonetheless, despite all these efforts, the choppy retail real estate environment might limit its growth momentum to some extent. In fact, the recent data from Reis shows that the neighborhood and community shopping center vacancy rate remained flat in the fourth quarter at 10.2%. However, it inched up from 10% at year-end 2017. Mall vacancy rate edged down to 9% in the quarter from 9.1% in the third quarter. At year-end 2017, the mall vacancy was 8.3%. In addition, the company has substantial exposure to single-tenant assets which raises its risks associated with tenant default.
Further, prior to the fourth-quarter earnings release, there is lack of any solid catalyst. As such, the Zacks Consensus Estimate of FFO per share for the fourth quarter remained unchanged at 75 cents, over the past month. The figure also indicates a 1.3% decline from the comparable period last year.
Here is what our quantitative model predicts:
Realty Income does not have the right combination of two key ingredients — a positive Earnings ESP and Zacks Rank #3 (Hold) or higher — for increasing the odds of an earnings beat.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
https://finance.yahoo.com/news/whats-cards-realty-incomes-o-135501699.html
GO "O"
"PEACE"
DMOST
6 years ago
GO "O"
What's in the Cards for Realty Income (O) in Q3 Earnings?
[Zacks]
Zacks Equity Research
,Zacks•October 30, 2018
Realty Income (O) Q3 performance is likely to exhibit gains from its focus on tenants from service, non-discretionary and Internet-resilient business despite the choppy retail real estate market.
Realty Income (O) Q3 performance is likely to exhibit gains from its focus on tenants from service, non-discretionary and Internet-resilient business despite the choppy retail real estate market.
1 / 2
What's in the Cards for Realty Income (O) in Q3 Earnings?
Realty Income (O) Q3 performance is likely to exhibit gains from its focus on tenants from service, non-discretionary and Internet-resilient business despite the choppy retail real estate market.
Realty Income Corp. O is scheduled to report third-quarter 2018 results after the market closes on Oct 31. The company’s results are estimated to reflect year-over-year rise in funds from operations (FFO) per share and revenues.
In the last reported quarter, this monthly dividend-paying real estate investment trust (REIT) delivered a better-than-expected performance in terms of FFO per share. The company benefited from year-over-year growth in revenues and also enjoyed high occupancy levels.
Notably, Realty Income has a mixed surprise history. The company surpassed estimates in two occasions, met in another and missed in the other, over the trailing four quarters, resulting in an average positive surprise of 0.32%. This is depicted in the graph below:
Realty Income Corporation Price and EPS Surprise
Realty Income Corporation Price and EPS Surprise | Realty Income Corporation Quote
Let’s see how things are shaping up for this announcement.
Factors to Consider
Realty Income makes concerted efforts to have a well-diversified portfolio with respect to tenant, industry, geography and property type. Apart from retail properties, the company’s portfolio comprises industrial, office, as well as agricultural properties. This diversification helps it mitigate risks associated with a particular industry, geography or asset type.
Importantly, this freestanding retail REIT derives more than 90% of its annualized retail rental revenues from tenants belonging to service, non-discretionary and low-price retail businesses. Such businesses are less susceptible to economic recessions, as well as competition from Internet retailing.
Realty Income is focused on external growth through exploring accretive acquisition opportunities. The company’s solid underlying real estate quality and prudent underwriting at acquisition has helped the company maintain high occupancy levels consistently. Since 1996, the company’s occupancy level has never been below 96%. The trend is expected to have continued in the to-be-reported quarter as well. Also, its same-store rent growth is likely to exhibit limited operational volatility.
In addition, recovering economy, low unemployment level and rising incomes from tax cuts are likely to spur demand for retail goods. Furthermore, high consumer sentiment, upbeat consumer sales and improving net absorption are likely to aid occupancy levels.
These are expected to have helped the company enjoy higher retail revenues in the Jul-Sep quarter. In fact, the Zacks Consensus Estimate for third-quarter revenues is pegged at $334.2 million, indicating a year-over-year rise of 8.9%. The Zacks Consensus Estimate for rental revenues of $318 million also denotes a projected increase of 8.5% year over year.
Amid these, the Zacks Consensus Estimate for third-quarter FFO per share is 79 cents, indicating 2.6% growth from the comparable period last year.
Nonetheless, despite all these efforts, the choppy retail real estate environment may limit growth momentum to some extent. In addition, the company has substantial exposure to single-tenant assets which raises its risks associated with tenant default. Further, prior to the third-quarter earnings release, there is lack of any solid catalyst. As such, the Zacks Consensus Estimate of FFO per share for Q3 remained unchanged at 79 cents, over the past two months.
Earnings Whispers
Our proven model does not conclusively show that Realty Income will likely beat estimates this season. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or at least 3 (Hold) for this to happen.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: The Earnings ESP is -1.61%.
Zacks Rank: Realty Income has a Zacks Rank of 3, which increases the predictive power of ESP. However, we also need a positive ESP to be confident of a positive surprise.
https://finance.yahoo.com/news/apos-cards-realty-income-o-223110696.html
"PEACE"
DMOST
6 years ago
Way to go "O"
580th Consecutive Common Stock Monthly Dividend Declared By Realty Income
[PR Newswire]
PR Newswire•October 17, 2018
SAN DIEGO, Oct. 16, 2018 /PRNewswire/ -- Realty Income Corporation (Realty Income, NYSE: O), The Monthly Dividend Company®, today announced that its Board of Directors has declared the 580th consecutive common stock monthly dividend. The dividend amount of $0.2205 per share, representing an annualized amount of $2.646 per share, is payable on November 15, 2018 to shareholders of record as of November 1, 2018. The ex-dividend date for November's dividend is October 31, 2018.
Realty Income Corporation - The Monthly Dividend Company. (PRNewsFoto/Realty Income Corporation)
Realty Income Corporation - The Monthly Dividend Company. (PRNewsFoto/Realty Income Corporation)
About the Company
Realty Income, The Monthly Dividend Company®, is an S&P 500 company dedicated to providing shareholders with dependable monthly income. The company is structured as a REIT, and its monthly dividends are supported by the cash flow from over 5,400 real estate properties owned under long-term lease agreements with regional and national commercial tenants. To date, the company has declared 580 consecutive common stock monthly dividends throughout its 49-year operating history and increased the dividend 98 times since Realty Income's public listing in 1994 (NYSE:O). Additional information about the company can be obtained from the corporate website at www.realtyincome.com.
https://finance.yahoo.com/news/580th-consecutive-common-stock-monthly-200600416.html
GO "O"
"PEACE"
DMOST
6 years ago
Way to go "O"
578th Consecutive Common Stock Monthly Dividend Declared By Realty Income
SAN DIEGO, Aug. 21, 2018 /PRNewswire/ -- Realty Income Corporation (Realty Income, NYSE: O), The Monthly Dividend Company®, today announced that its Board of Directors has declared the 578th consecutive common stock monthly dividend. The dividend amount of $0.22 per share, representing an annualized amount of $2.64 per share, is payable on September 14, 2018 to shareholders of record as of September 4, 2018. The ex-dividend date for September's dividend is August 31, 2018.
Realty Income Corporation - The Monthly Dividend Company. (PRNewsFoto/Realty Income Corporation)
Realty Income Corporation - The Monthly Dividend Company. (PRNewsFoto/Realty Income Corporation)
About the Company
Realty Income, The Monthly Dividend Company®, is an S&P 500 company dedicated to providing shareholders with dependable monthly income. The company is structured as a REIT, and its monthly dividends are supported by the cash flow from over 5,400 real estate properties owned under long-term lease agreements with regional and national commercial tenants. To date, the company has declared 578 consecutive common stock monthly dividends throughout its 49-year operating history and increased the dividend 97 times since Realty Income's public listing in 1994 (NYSE:O). Additional information about the company can be obtained from the corporate website at www.realtyincome.com.
https://finance.yahoo.com/news/578th-consecutive-common-stock-monthly-200500647.html
GO "O"
"PEACE"
DMOST
7 years ago
As the Divy's just keep on coming........
97th Common Stock Monthly Dividend Increase Declared By Realty Income
[PR Newswire]
PR Newswire•June 20, 2018
SAN DIEGO, June 19, 2018 /PRNewswire/ -- Realty Income Corporation (Realty Income, NYSE: O), The Monthly Dividend Company®, today announced its Board of Directors has declared an increase in the company's common stock monthly cash dividend to $0.22 per share from $0.2195 per share. The dividend is payable on July 13, 2018 to shareholders of record as of July 2, 2018. This is the 97th dividend increase since Realty Income's listing on the NYSE in 1994. The ex-dividend date for July's dividend is June 29, 2018. The new monthly dividend represents an annualized dividend amount of $2.64 per share as compared to the current annualized dividend amount of $2.634 per share.
Dividend Increases Chart
Dividend Increases Chart
"We are pleased that our Board of Directors has once again determined that we are able to increase the amount of the monthly dividend we pay to our shareholders," said John P. Case, Chief Executive Officer of Realty Income. "With the payment of the July dividend, we will have made 576 consecutive monthly dividend payments and paid over $5.5 billion in dividends throughout our 49-year operating history."
About the Company
Realty Income, The Monthly Dividend Company®, is an S&P 500 company dedicated to providing shareholders with dependable monthly income. The company is structured as a REIT, and its monthly dividends are supported by the cash flow from over 5,300 real estate properties owned under long-term lease agreements with regional and national commercial tenants. To date, the company has declared 576 consecutive common stock monthly dividends throughout its 49-year operating history and increased the dividend 97 times since Realty Income's public listing in 1994 (NYSE:O). Additional information about the company can be obtained from the corporate website at www.realtyincome.com.
Forward-Looking Statements
Statements in this press release that are not strictly historical are "forward-looking" statements. Forward-looking statements involve known and unknown risks, which may cause the company's actual future results to differ materially from expected results. These risks include, among others, general economic conditions, local real estate conditions, tenant financial health, the availability of capital to finance planned growth, continued volatility and uncertainty in the credit markets and broader financial markets, property acquisitions and the timing of these acquisitions, charges for property impairments, and the outcome of legal proceedings to which the company is a party, as described in the company's filings with the Securities and Exchange Commission. Consequently, forward-looking statements should be regarded solely as reflections of the company's current operating plans and estimates. Actual operating results may differ materially from what is expressed or forecast in this press release. The company undertakes no obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date these statements were made.
https://www.prnewswire.com/news-releases/97th-common-stock-monthly-dividend-increase-declared-by-realty-income-300669045.html
GO "O"
DMOST
7 years ago
Business
Read This Before Buying Realty Income Corporation (NYSE:O) For Its Upcoming $0.22 Dividend
Investors who want to cash in on Realty Income Corporation’s (NYSE:O) upcoming dividend of $0.22 per share have only 3 days left to buy the shares before its ex-dividend date, 30 April 2018, in time for dividends payable on the 15 May 2018. Should you diversify into Realty Income and boost your portfolio income stream? Well, keep on reading because today, I’m going to look at the latest data and analyze the stock and its dividend property in further detail. View our latest analysis for Realty Income
5 checks you should use to assess a dividend stock
When assessing a stock as a potential addition to my dividend Portfolio, I look at these five areas:
Is their annual yield among the top 25% of dividend payers?
Has it paid dividend every year without dramatically reducing payout in the past?
Has dividend per share amount increased over the past?
Is it able to pay the current rate of dividends from its earnings?
Will it be able to continue to payout at the current rate in the future?
NYSE:O Historical Dividend Yield Apr 26th 18
NYSE:O Historical Dividend Yield Apr 26th 18
How well does Realty Income fit our criteria?
Although REITs are expected to payout a high portion of the earnings, Realty Income currently pays out more than double its net income, which suggests that the dividend is not well-covered by earnings by any means. In the near future, analysts are predicting a more sensible payout ratio of 185.99%, leading to a dividend yield of 5.43%. Furthermore, EPS should increase to $1.36, meaning that the lower payout ratio does not necessarily implicate a lower dividend payment. If dividend is a key criteria in your investment consideration, then you need to make sure the dividend stock you’re eyeing out is reliable in its payments. In the case of O it has increased its DPS from $1.65 to $2.63 in the past 10 years. It has also been paying out dividend consistently during this time, as you’d expect for a company increasing its dividend levels. This is an impressive feat, which makes O a true dividend rockstar. Compared to its peers, Realty Income generates a yield of 5.31%, which is high for REITs stocks.
Next Steps:
With this in mind, I definitely rank Realty Income as a strong dividend stock, and makes it worth further research for anyone who likes steady income generation from their portfolio. Given that this is purely a dividend analysis, I recommend taking sufficient time to understand its core business and determine whether the company and its investment properties suit your overall goals. Below, I’ve compiled three fundamental aspects you should further examine:
Future Outlook: What are well-informed industry analysts predicting for O’s future growth? Take a look at our free research report of analyst consensus for O’s outlook.
Valuation: What is O worth today? Even if the stock is a cash cow, it’s not worth an infinite price. The intrinsic value infographic in our free research report helps visualize whether O is currently mispriced by the market.
https://www.yahoo.com/finance/news/read-buying-realty-income-corporation-175434971.html
"PEACE"
DMOST
7 years ago
Realty Income To Report First Quarter 2018 Operating Results
PR Newswire PR Newswire•April 3, 2018
SAN DIEGO, April 2, 2018 /PRNewswire/ -- Realty Income Corporation (Realty Income, NYSE: O), The Monthly Dividend Company®, today announced the company will release its operating results for the quarter ended March 31, 2018 after the market closes on May 8, 2018. The company will host its conference call on May 9, 2018 at 11:30 a.m. PT to discuss the operating results.
"PEACE"
DMOST
7 years ago
SAN DIEGO, March 27, 2018 /PRNewswire/ -- Realty Income Corporation (Realty Income, NYSE: O), The Monthly Dividend CompanY®, today announced the pricing of $500 million of senior unsecured notes due 2025. The public offering price for the notes was 99.500% of the principal amount for an effective yield to maturity of 3.957%. The net proceeds from this offering will be used to repay a portion of the borrowings outstanding under our $2.0 billion revolving credit facility and, to the extent not used for that purpose, to fund potential investment opportunities and/or for other general corporate purposes. This offering is expected to close on April 4, 2018, subject to the satisfaction of customary closing conditions.
https://finance.yahoo.com/news/realty-income-prices-500-million-200900019.html
"PEACE"
ShortIdeas
7 years ago
New report out from Spruce Point Capital Management that sees 30% downside in the shares
[url]
www.sprucepointcap.com/realty-income-corp/[/url][tag]insert-text-here[/tag]
The Allure of Rising Magic Dividends: Realty Income (“O Realty” or “the Company”) promotes itself as “The Monthly Dividend Company®” and preaches“The Magic of Rising Dividends” – it even goes so far as to market itself differently to retail investors vs. sophisticated institutional investors. The Company is very dependent on issuing stock at inflated prices to fund its acquisitive growth strategy, keep its cost of capital low, and consistently raise its dividend. The model has worked well for years when times were good, but we believe this magic cycle is about to break down as investors reassess O Realty’s growth profile amidst deteriorating tenant quality, rising interest rates, and a more volatile and discerning capital market backdrop.
DMOST
7 years ago
"O"
Is Realty Income Running Out of Steam, or Taking a Breather?
.................
Realty Income's business is doing just fine
The most important point is that the stock-price drop has little to do with Realty Income's business itself. Sure, it could get a little more expensive for the company to borrow money, but Realty Income isn't a particularly heavily leveraged REIT.
Businesswise, Realty Income is doing quite well. The company's portfolio is more than 98% occupied and releasing activity has been rather impressive. And the company is seeing a steady stream of attractive opportunities in the market: For 2017, the company expected to acquire $1.5 billion worth of properties. (We won't find out for sure until Realty Income reports year-end earnings.)
In addition, the balance sheet is as strong as ever. Realty Income's fixed-charge coverage ratio is the highest it's ever been, and recent acquisitions have been largely funded with equity, not debt................
https://finance.yahoo.com/news/realty-income-running-steam-taking-115200411.html
GO "O"
"PEACE"
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