Realty Income Corporation [NYSE: O] closed the trading session at $59.52 on 12/18/20. The day’s price range saw the stock hit a low of $59.27, while the highest price level was $61.54. The company report on December 10, 2020 that Realty Income Prices $725 Million Of Dual-Tranche Senior Unsecured Notes.
Realty Income Corporation (Realty Income, NYSE: O), The Monthly Dividend Company®, announced the pricing of a public offering of $325 million of 0.75% senior unsecured notes due March 15, 2026 (the “2026 Notes”) and $400 million of 1.80% senior unsecured notes due March 15, 2033 (the “2033 Notes”). The public offering price for the 2026 Notes was 99.192% of the principal amount for an effective yield to maturity of 0.908% and the public offering price for the 2033 Notes was 98.470% of the principal amount for an effective yield to maturity of 1.941%.
Combined, the new issues of the 2026 Notes and 2033 Notes have a weighted average term of 9.1 years and a weighted average effective yield to maturity of 1.478%. The net proceeds from this offering will be used, along with available cash and additional borrowings, as necessary, to redeem all $950 million aggregate principal amount of the company’s outstanding 3.25% notes due 2022 at the applicable redemption price, plus accrued interest, and/or to use net proceeds for general corporate purposes, which may include acquisitions, improvements of existing properties and/or repayment of borrowings under our $3.0 billion revolving credit facility and/or our $1.0 billion commercial paper program. This offering is expected to close on December 14, 2020, subject to the satisfaction of customary closing conditions.
The stocks have a year to date performance of -19.16 percent and weekly performance of -1.55 percent. The stock has been moved at -3.13 percent over the last six months. The stock has performed -2.73 percent around the most recent 30 days and changed -0.95 percent over the most recent 3-months.
If compared to the average trading volume of 2.56M shares, O reached to a volume of 5541134 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here’s what leading stock market gurus have to say about Realty Income Corporation [O]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for O shares is $68.59 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on O stock is a recommendation set at 2.20. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Robert W. Baird have made an estimate for Realty Income Corporation shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on December 17, 2020. While these analysts kept the previous recommendation, UBS raised their target price to Buy. The new note on the price target was released on October 16, 2020, representing the official price target for Realty Income Corporation stock. Previously, the target price had yet another raise to $72, while Scotiabank analysts kept a Sector Outperform rating on O stock.
The Average True Range (ATR) for Realty Income Corporation is set at 1.42, with the Price to Sales ratio for O stock in the period of the last 12 months amounting to 13.13. The Price to Book ratio for the last quarter was 1.97, with the Price to Cash per share for the same quarter was set at 2.01. Price to Free Cash Flow for O in the course of the last twelve months was 148.75.
O stock trade performance evaluation
Realty Income Corporation [O] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -1.55. With this latest performance, O shares dropped by -2.73% in over the last four-week period, additionally sinking by -3.13% over the last 6 months – not to mention a drop of -17.73% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for O stock in for the last two-week period is set at 43.19, with the RSI for the last a single of trading hit 38.73, and the three-weeks RSI is set at 45.41 for Realty Income Corporation [O]. The present Moving Average for the last 50 days of trading for this stock 60.73, while it was recorded at 60.85 for the last single week of trading, and 58.80 for the last 200 days.
Realty Income Corporation [O]: An insightful look at the core fundamentals
Operating Margin for any stock indicates how profitable investing would be, and Realty Income Corporation [O] shares currently have an operating margin of +29.65 and a Gross Margin at +53.19. Realty Income Corporation’s Net Margin is presently recorded at +29.01.
Return on Total Capital for O is now 2.75, given the latest momentum, and Return on Invested Capital for the company is 2.70. Return on Equity for this stock inclined to 4.89, with Return on Assets sitting at 2.58. When it comes to the capital structure of this company, Realty Income Corporation [O] has a Total Debt to Total Equity ratio set at 82.15. Additionally, O Total Debt to Total Capital is recorded at 45.10, with Total Debt to Total Assets ending up at 43.28. Long-Term Debt to Equity for the company is recorded at 81.99, with the Long-Term Debt to Total Capital now at 45.01.
Reflecting on the efficiency of the workforce at the company, Realty Income Corporation [O] managed to generate an average of $2,249,907 per employee. Receivables Turnover for the company is 6.83 with a Total Asset Turnover recorded at a value of 0.09.
Earnings per share (EPS) analysis for Realty Income Corporation [O] stock
With the latest financial reports released by the company, Realty Income Corporation posted 0.39/share EPS, while the average EPS was predicted by analysts to be reported at 0.34/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 14.70%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for O. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Realty Income Corporation go to 5.45%.
Realty Income Corporation [O]: Insider Ownership positions
There are presently around $15,469 million, or 75.60% of O stock, in the hands of institutional investors. The top three institutional holders of O stocks are: VANGUARD GROUP INC with ownership of 54,297,694, which is approximately -1.059% of the company’s market cap and around 0.10% of the total institutional ownership; BLACKROCK INC., holding 32,250,320 shares of the stock with an approximate value of $1.92 billion in O stocks shares; and STATE STREET CORP, currently with $1.47 billion in O stock with ownership of nearly -7.72% of the company’s market capitalization.
Positions in Realty Income Corporation stocks held by institutional investors increased at the end of November and at the time of the November reporting period, where 380 institutional holders increased their position in Realty Income Corporation [NYSE:O] by around 18,124,744 shares. Additionally, 351 investors decreased positions by around 14,921,409 shares, while 129 investors held positions by with 226,853,453 shares. The mentioned changes placed institutional holdings at 259,899,606 shares, according to the latest SEC report filing. O stock had 90 new institutional investments in for a total of 5,094,797 shares, while 68 institutional investors sold positions of 926,143 shares during the same period.