Schnieders Capital Management LLC Reduces Stake in Realty Income Co.

Schnieders Capital Management LLC has decreased its holdings in Realty Income Co. (NYSE:O) by 22.2% in the last quarter of the year, based on the firm’s recent 13F filing with the Securities and Exchange Commission. After selling 6,716 shares during the quarter, Schnieders Capital Management now possesses 23,557 shares of this real estate investment trust (REIT), representing a total value of $1,258,000 as reported in the SEC filing.

Investment Activity by Other Firms

In addition to Schnieders Capital Management's actions, several other hedge funds and institutional investors have also made changes to their stakes in Realty Income. For instance, Convergence Financial LLC increased its position by 4.9% in the fourth quarter, resulting in ownership of 16,878 shares, valued at $901,000 following an acquisition of 795 additional shares. Likewise, Nwam LLC raised its position by 5.3%, bringing its total ownership to 18,007 shares worth approximately $962,000 after adding 914 shares.

Whipplewood Advisors LLC entered into a new investment position in Realty Income during the same period, with an investment of about $272,000. Meanwhile, Oregon Public Employees Retirement Fund slightly raised its holdings by 0.7%, now owning 75,040 shares, valued at $4,008,000 after an acquisition of 500 shares. National Pension Service also increased its stake significantly by 9.3%, now holding 2,175,931 shares worth $116,216,000, following the purchase of an additional 185,314 shares. Currently, institutional investors control 70.81% of Realty Income's shares.

Stock Performance and Financials

As of Thursday, the stock opened at $56.07. Realty Income Co. has seen its shares reach a one-year low of $50.65 and a high of $64.88. The company reports a current ratio and quick ratio of 1.40, alongside a debt-to-equity ratio of 0.68. Realty Income has a market capitalization of $49.07 billion, with a price-to-earnings ratio of 53.40, a PEG ratio of 2.10, and a beta of 1.00. The stock's 50-day moving average price stands at $54.07, with a 200-day moving average at $57.98.

Earnings Report Insights

Realty Income released its earnings results on February 24th, revealing earnings per share (EPS) of $1.05 for the quarter, which was slightly below analysts' expectations of $1.06 by $0.01. The company had a net margin of 17.57% and a return on equity of 2.35%. During the quarter, Realty Income recorded revenue of $1.34 billion, surpassing the estimated $1.28 billion by analysts. Analysts expect Realty Income to report 4.19 EPS for the current year.

Dividend Announcement

Recently, Realty Income announced an increase in its upcoming dividend, set to be paid on March 14th. Shareholders recorded as of March 3rd will receive $0.268, reflecting a yield of 5.7%. This is an increase from the prior dividend of $0.26. The ex-dividend date for this payment is March 3rd, and the firm's payout ratio currently stands at 305.71%.

Analytical Perspective

Recent updates from equities research analysts regarding Realty Income's stock have seen some changes. Scotiabank reduced its price target from $61.00 to $59.00, maintaining a "sector perform" rating. Mizuho similarly decreased its target from $60.00 to $54.00, assigning a "neutral" rating. Royal Bank of Canada also revised their target downward from $62.00 to $60.00, labeling it as "outperform." Deutsche Bank initiated coverage with a "hold" stance and a $62.00 price target. On the other hand, BNP Paribas downgraded Realty Income from "outperform" to "neutral," setting the target at $61.00. Currently, eleven investment analysts have issued hold ratings for Realty Income, while three analysts have given it a buy rating, leading to an average consensus rating of "Hold" with a target price around $61.96.

Realty Income Company Overview

Realty Income is recognized as The Monthly Dividend Company and is a member of the S&P 500 Index as well as the S&P 500 Dividend Aristocrats index. The company focuses on providing dependable monthly dividends that are expected to grow over time. Realty Income functions as a real estate investment trust (REIT) and manages a portfolio comprising over 15,450 real estate properties, primarily rented out to commercial clients under long-term net lease agreements.

Realty, Income, Stocks