Realty Income Stock Current Valuation
| O Stock | USD 60.41 0.88 1.44% |
Valuation analysis of Realty Income helps investors to measure Realty Income's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. As of the 30th of October 2024, Enterprise Value is likely to grow to about 54.9 B, while Enterprise Value Over EBITDA is likely to drop 12.43. Fundamental drivers impacting Realty Income's valuation include:
Price Book 1.3834 | Enterprise Value 79.1 B | Enterprise Value Ebitda 19.8003 | Price Sales 11.3136 | Forward PE 39.0625 |
Fairly Valued
Today
Please note that Realty Income's price fluctuation is very steady at this time. Calculation of the real value of Realty Income is based on 3 months time horizon. Increasing Realty Income's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Realty Income is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Realty Stock. However, Realty Income's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 60.41 | Real 59.77 | Target 63.36 | Hype 60.49 | Naive 60.04 |
The intrinsic value of Realty Income's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Realty Income's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Realty Income helps investors to forecast how Realty stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Realty Income more accurately as focusing exclusively on Realty Income's fundamentals will not take into account other important factors: Realty Income Company Current Valuation Analysis
Realty Income's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current Realty Income Current Valuation | 79.09 B |
Most of Realty Income's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Realty Income is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Realty Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for Realty Income is extremely important. It helps to project a fair market value of Realty Stock properly, considering its historical fundamentals such as Current Valuation. Since Realty Income's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Realty Income's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Realty Income's interrelated accounts and indicators.
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Realty Current Valuation Historical Pattern
Today, most investors in Realty Income Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Realty Income's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's current valuation growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Realty Income current valuation as a starting point in their analysis.
Realty Income Current Valuation |
| Timeline |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, Realty Income has a Current Valuation of 79.09 B. This is much higher than that of the Retail REITs sector and significantly higher than that of the Real Estate industry. The current valuation for all United States stocks is significantly lower than that of the firm.
Realty Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Realty Income's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Realty Income could also be used in its relative valuation, which is a method of valuing Realty Income by comparing valuation metrics of similar companies.Realty Income is currently under evaluation in current valuation category among its peers.
Realty Income Current Valuation Drivers
We derive many important indicators used in calculating different scores of Realty Income from analyzing Realty Income's financial statements. These drivers represent accounts that assess Realty Income's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Realty Income's important valuation drivers and their relationship over time.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Market Cap | 22.5B | 20.8B | 29.7B | 38.8B | 34.9B | 36.7B | |
| Enterprise Value | 30.4B | 28.8B | 44.9B | 58.1B | 52.3B | 54.9B |
Realty Income ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Realty Income's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Realty Income's managers, analysts, and investors.Environmental | Governance | Social |
Realty Fundamentals
| Return On Equity | 0.0242 | ||||
| Return On Asset | 0.0211 | ||||
| Profit Margin | 0.18 % | ||||
| Operating Margin | 0.44 % | ||||
| Current Valuation | 79.09 B | ||||
| Shares Outstanding | 870.87 M | ||||
| Shares Owned By Insiders | 0.11 % | ||||
| Shares Owned By Institutions | 78.82 % | ||||
| Number Of Shares Shorted | 16.32 M | ||||
| Price To Earning | 65.51 X | ||||
| Price To Book | 1.38 X | ||||
| Price To Sales | 11.31 X | ||||
| Revenue | 4.08 B | ||||
| Gross Profit | 3.11 B | ||||
| EBITDA | 3.69 B | ||||
| Net Income | 876.91 M | ||||
| Cash And Equivalents | 171.1 M | ||||
| Cash Per Share | 0.31 X | ||||
| Total Debt | 21.99 B | ||||
| Debt To Equity | 0.63 % | ||||
| Current Ratio | 1.46 X | ||||
| Book Value Per Share | 44.30 X | ||||
| Cash Flow From Operations | 2.96 B | ||||
| Short Ratio | 3.44 X | ||||
| Earnings Per Share | 1.06 X | ||||
| Price To Earnings To Growth | 6.16 X | ||||
| Target Price | 64.75 | ||||
| Number Of Employees | 418 | ||||
| Beta | 0.99 | ||||
| Market Capitalization | 53.38 B | ||||
| Total Asset | 57.78 B | ||||
| Retained Earnings | (6.76 B) | ||||
| Working Capital | 1.01 B | ||||
| Current Asset | 121.97 M | ||||
| Current Liabilities | 220.13 M | ||||
| Annual Yield | 0.05 % | ||||
| Five Year Return | 4.31 % | ||||
| Net Asset | 57.78 B | ||||
| Last Dividend Paid | 3.09 |
About Realty Income Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Realty Income's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Realty Income using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Realty Income based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Realty Income
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Realty Income position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Realty Income will appreciate offsetting losses from the drop in the long position's value.Moving together with Realty Stock
Moving against Realty Stock
The ability to find closely correlated positions to Realty Income could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Realty Income when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Realty Income - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Realty Income to buy it.
The correlation of Realty Income is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Realty Income moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Realty Income moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Realty Income can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Realty Income Piotroski F Score and Realty Income Altman Z Score analysis. To learn how to invest in Realty Stock, please use our How to Invest in Realty Income guide.You can also try the Money Managers module to screen money managers from public funds and ETFs managed around the world.
Is Retail REITs space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Realty Income. If investors know Realty will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Realty Income listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Dividend Share 3.088 | Earnings Share 1.06 | Revenue Per Share 6.01 | Quarterly Revenue Growth 0.316 | Return On Assets 0.0211 |
The market value of Realty Income is measured differently than its book value, which is the value of Realty that is recorded on the company's balance sheet. Investors also form their own opinion of Realty Income's value that differs from its market value or its book value, called intrinsic value, which is Realty Income's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Realty Income's market value can be influenced by many factors that don't directly affect Realty Income's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Realty Income's value and its price as these two are different measures arrived at by different means. Investors typically determine if Realty Income is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Realty Income's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.