| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 25 | 41.5x | 17.3x | Bottom tier | |
Growth | 60 | 10.9% | 7.1% | Around median | |
Quality | 57 | 3.0% | 4.5% | Around median | |
Safety | 68 | 0.9x | 2.6x | Top tier | |
Capital Return | 95 | 5.62% | 0.06% | Top tier | |
Momentum | 37 | -8.1% | -1.6% | Bottom tier | |
Sentiment | 61 | 8 | 3 | Around median |
The floor: what the company is worth if growth stopped today
73% of today's price is what a buyer pays for growth that has not happened yet.
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Realty Income Corporation is a real estate investment trust listed under the ticker O, with its core business centered on owning real estate assets leased under long-term contracts, while expanding its investment scope through industrial and retail properties, data centers, and European markets. Its revenue is generated primarily from rent, while the U.S. Core Plus fund and joint ventures add management fee income and allow the company to invest in assets that do not meet the required initial return when purchased directly on the balance sheet; management fees amounted to $3.2 million in Q2 FY2026.
In Q2 FY2026, revenue was $1.5 billion, net income was $344.0 million, and earnings per share were $0.37, equivalent to an approximate net income margin of 22.9%, while the data did not include a gross profit figure. Net income increased by approximately 10.3% from $311.8 million in Q1 FY2026, with reported revenue remaining at $1.5 billion, while trailing-twelve-month revenue for FY2026 was approximately $5.9 billion and net income was $1.1 billion.
AFFO, the most important metric for the REIT’s economics, was stronger than accounting earnings per share: AFFO per share reached $1.09 in Q2 FY2026, up 3.8%, and reached $2.22 in the first half, up 5.2%. In terms of the investment mix, industrial assets represented approximately 65% of global real estate investments during the quarter, while global investments totaled $2.6 billion, or $2.1 billion based on Realty Income’s proportionate share, at a weighted initial cash yield of 7.3%.
The average analyst price target is $67.52, within a range of $65 to $70.75, against a “Neutral” consensus. The average target is very close to the upper end of the 52-week range of $67.94, while the highest target exceeds that peak by only approximately $2.81; the data does not include a reliable price-to-earnings ratio that could be used as an additional valuation anchor.
Figures in the text are as of 2026-08-27; the live price is shown at the top of the page.
Revenue was $1.5 billion, net income was $344.0 million, and earnings per share were $0.37 in Q2 FY2026. AFFO per share was $1.09, up 3.8%, while first-half AFFO reached $2.22, up 5.2%. These results prompted management on August 5, 2026 to raise the FY2026 AFFO per share guidance range to $4.44–$4.45.
The company raised its investment target from $9.5 billion to $10 billion due to a strong opportunity pipeline and improved visibility into transaction closing timing. Gross investments in the first half of FY2026 totaled approximately $5.3 billion, while sourced opportunities exceeded $62 billion since the beginning of the year. The company expects its share of FY2026 investments to be approximately $9 billion.
The two companies established a $6 billion joint program to develop and own hyperscale data centers in major U.S. and European markets. Realty Income expects to invest up to $1.4 billion over time for a 45% ownership interest. The initial assets include three centers in Northern Virginia with capacity of less than 400 megawatts, and the company closed the acquisition of the first stabilized asset before the August 5, 2026 call.
Automated analysis for informational purposes only — not investment advice.
Occupancy was 98.8% in Q2 FY2026, and 482 re-leased units achieved an aggregate rent recapture rate of 102.7%. The rate reached 105.8% for industrial assets and 112.9% for international operations, while the share of investment-grade clients increased to 34% of annual rent. Conversely, the watchlist remained in the high-5% range and included 137 tenants, with expected credit losses of approximately 40 basis points of rental revenue for FY2026.
The company ended Q2 FY2026 with $3.5 billion in available liquidity, then increased it to more than $5.7 billion on a pro forma basis. It expanded the credit facility and commercial paper program to $5.5 billion each and issued €600 million of euro-denominated bonds at a 3.7% yield. It also reduced public equity’s share of investment financing to 18% since the beginning of FY2026, compared with an average of 47% over the previous three years, benefiting from funds and joint ventures with partners such as Apollo and GIC.
The primary risks include the need to finance a $10 billion investment plan with net debt equal to 5.4 times adjusted earnings before interest, taxes, depreciation, and amortization. The company faces competition that may pressure capitalization rates, while historically targeting an investment spread of approximately 150 basis points. Data centers also carry development, obsolescence, and residual value risks, while the “other” real estate category recorded a 5.1% decline in same-store rental revenue during Q2 FY2026 due to partial nonpayment of rent on a hotel asset.