Tom Nash
patreon
A Dividend Beast With Massive Growth Potential
🕑 Added 2023-06-18 11:44:22 +0000 UTCGood morning team,
As I mentioned many times in the past one of the most important things in structuring your portfolio is diversification.
We have covered many technological growth stocks, many dividend options and multiple value investments and now I would like to offer you another point of diversifying your portfolio by opening up and exposure to Real Estate.
The company I’m looking into right now it’s called Realty Income Corp ticker symbol: O and it’s a NYSE stock trading for $61 as of June 2023.
This stock is one of the best in class so it won’t be cheap but you will own one of the best REIT stocks with good exposure to the rental real estate market.
Revenue growth is 42% over the past year and 180% over 5 years.
Net income is 900 million which is 190% spike from 5 years ago.
Assets to liabilities is 2x which is very good.
Net profit margin is 25% - 👍
Dividend yield is 5%
There is also significant tax benefits to being a REIT investor which I don’t detail here but you can research that after this post.
It’s 80% help by institutional investors which means a lot of stability for the stock.
Only issue is that it’s 45 PE - expensive but as you just saw for a good reason.
If you’re looking for exposure to the real estate market specifically to rental Real Estate market this stock is one of the best in class as far as fundamentals financials and business model. Having said that, it’s gonna come expensive so I would slowly build my position whenever the price goes down a little bit and nibble on the stock every time I can get it a bit cheaper.
Now let’s be honest the stock is not gonna make millionaires it’s not going to grow Tesla levels it’s a solid dividend stock in the great business. If there is something that interest you for your portfolio is definitely worth more research.
