Realty Income Valuation
| O Stock | USD 52.03 0.75 1.46% |
At this time, the company appears to be undervalued. Realty me Corp holds a recent Real Value of $57.76 per share. The prevailing price of the company is $52.03. Our model determines the value of Realty me Corp from analyzing the company fundamentals such as Return On Equity of 0.0283, shares outstanding of 861.15 M, and Operating Margin of 0.45 % as well as examining its technical indicators and probability of bankruptcy. In general, most investors support obtaining undervalued entities and abandoning overvalued entities since, at some point, asset prices and their ongoing real values will merge together. Key fundamental drivers impacting Realty Income's valuation include:
Price Book 1.3599 | Enterprise Value 65.8 B | Enterprise Value Ebitda 18.4706 | Price Sales 10.9752 | Forward PE 35.7143 |
Undervalued
Today
Please note that Realty Income's price fluctuation is very steady at this time. Calculation of the real value of Realty me Corp 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.
Our valuation method for Realty Income Corp is useful when determining the fair value of the Realty stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Realty Income. 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 52.03 | Real 57.76 | Target 63.36 | Hype 51.33 |
The real value of Realty Stock, also known as its intrinsic value, is the underlying worth of Realty me Corp Company, which is reflected in its stock price. It is based on Realty Income's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. 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 Corp 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: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Realty Income's intrinsic value based on its ongoing forecasts of Realty Income's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Realty Income's closest peers. When choosing an evaluation method for Realty me Corp, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Realty Income Investments |
|
Realty Valuation Trend
Knowing Realty Income's actual value is paramount for traders to make sound investment determinations. Realty Income's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Realty Income's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Realty Income's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Realty Market Cap
Realty Income Corp is considered to be number one stock in market capitalization category among related companies. Market capitalization of Real Estate industry is now estimated at about 48.57 Billion. Realty Income totals roughly 43.75 Billion in market capitalization claiming about 90% of equities listed under Real Estate industry.Realty Income Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Realty Income's current stock value. Our valuation model uses many indicators to compare Realty Income value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Realty Income competition to find correlations between indicators driving Realty Income's intrinsic value. More Info.Realty Income Corp is considered to be number one stock in price to earning category among related companies. It is regarded third in price to book category among related companies fabricating about 0.02 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Realty Income Corp is roughly 48.17 . As of the 18th of April 2024, Price To Book Ratio is likely to grow to 1.27. Comparative valuation analysis is a catch-all model that can be used if you cannot value Realty Income by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Realty Income's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Realty Income's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Realty Income's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Realty Income and how it compares across the competition.
About Realty Income Valuation
The stock valuation mechanism determines the current worth of Realty Income Corp on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Realty Income Corp. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Realty me Corp based exclusively on its fundamental and basic technical indicators. By analyzing Realty Income's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Realty Income's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Realty Income. We calculate exposure to Realty Income's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Realty Income's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 3.8 B | 4 B | |
| Pretax Profit Margin | 0.23 | 0.36 | |
| Operating Profit Margin | 0.42 | 0.64 | |
| Net Profit Margin | 0.21 | 0.20 | |
| Gross Profit Margin | 0.92 | 1.05 |
8 Steps to conduct Realty Income's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Realty Income's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Realty Income's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Realty Income's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Realty Income's revenue streams: Identify Realty Income's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Realty Income's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Realty Income's growth potential: Evaluate Realty Income's management, business model, and growth potential.
- Determine Realty Income's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Realty Income's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of Realty Income represents a small ownership stake in the entity. As a stockholder of Realty, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Realty Income Dividends Analysis For Valuation
At this time, Realty Income's Dividend Yield is very stable compared to the past year. As of the 18th of April 2024, Dividend Paid And Capex Coverage Ratio is likely to grow to 1.52, though Dividends Paid is likely to grow to (2 B). . As of the 18th of April 2024, Retained Earnings is likely to grow to about (6.4 B). In addition to that, Retained Earnings Total Equity is likely to grow to about (4.7 B)
| Last Reported | Projected for Next Year | ||
| Dividends Paid | -2.1 B | -2 B | |
| Dividend Yield | 0.05 | 0.07 | |
| Dividend Payout Ratio | 2.42 | 1.38 | |
| Dividend Paid And Capex Coverage Ratio | 1.45 | 1.52 |
There are various types of dividends Realty Income can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Realty shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Realty Income Corp directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Realty pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Realty Income by the value of the dividends paid out.
Realty Income Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Realty Income does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 693 M | |
| Quarterly Earnings Growth Y O Y | -0.16 | |
| Forward Price Earnings | 35.7143 |
Realty Income Current Valuation Indicators
Valuation refers to the process of determining the present value of Realty Income Corp and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Realty we look at many different elements of the entity such as Realty's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Realty Income's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Realty Income's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Realty Income, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Realty Income's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Realty Income's worth.When determining whether Realty me Corp offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Realty Income's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Realty Income Corp Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Realty Income Corp Stock: Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Realty Income Corp. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in persons. You can also try the Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
Complementary Tools for Realty Stock analysis
When running Realty Income's price analysis, check to measure Realty Income's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Realty Income is operating at the current time. Most of Realty Income's value examination focuses on studying past and present price action to predict the probability of Realty Income's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Realty Income's price. Additionally, you may evaluate how the addition of Realty Income to your portfolios can decrease your overall portfolio volatility.
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites |
Is Realty Income's industry 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.
Quarterly Earnings Growth (0.16) | Dividend Share 3.059 | Earnings Share 1.26 | Revenue Per Share 5.896 | Quarterly Revenue Growth 0.214 |
The market value of Realty me Corp 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.